Handheld Xbox rumours resurface

Posted by T3 Online on Tue 21 Mar 2006

Is Microsoft trying to muscle in on the PSP and DS with a portable games gadget?

Microsoft is beavering away on a handheld version of the Xbox - according to the author of a book on the launch of the Xbox 360. Dean Takahashi claims that "sources familiar with the project" have told him that the device will also boast music and movie playback.

The project is being headed up by Xbox executive J Allard and 360 system designer Greg Gibson, and Takahashi says that chip manufacturer Transmeta has assigned 30 engineers to work on a top secret Microsoft-related project. Transmeta has dabbled with handheld device design in the past. Put two and two together and it all starts to sound quite plausible.

It also appears that Microsoft's digital content distribution service, codenamed Alexandria, would be used with the device - at least as a means of music distribution.

Takahashi's sources claim that the handheld won't see the light of day for at least a year, since many of the key staff on the project have only just finished launching the Xbox 360.

Earlier this year, Xbox chief Peter Moore did not rule out Microsoft's entry into the portable entertainment market - in fact, as we reported, he confirmed that the company had been weighing up the idea, and that any such gadget would have to be multitalented (i.e. music, movies and games compatible) and marketed under the Xbox brand.

Our money is on some new teasing snippets of information emerging over the next few months. Keep it locked here for all the latest news.