There's been plenty of speculation on when Microsoft was going to enter the handheld gaming fray. The Xbox maker appears to have something in the works that may be further along than expected. Microsoft is working with an unknown manufacturer to make its own Xbox-branded gaming handheld,

To be worthy of the Xbox brand, Microsoft needs to design a front-end that is built from the ground up for handheld use case. That means large, easy-to-read design elements that can be easily navigated and selected without a mouse. It also means following SteamOS's example in surfacing the settings and tools most important to gamers.