According to Warren, Microsoft's larger goal is to unify Windows and Xbox with a universal library of PC and Xbox games. He says the Xbox handheld being made by ASUS will run a version of Windows but with an interface that's more akin to the GUI on Xbox consoles.

The Asus ROG Ally, along with its premium sibling, the Asus ROG Ally X, stand among the best handheld gaming consoles you can get, so Microsoft would do well to partner up with the company for a new handheld device — especially if it comes with an all-new OS platform that caters to Xbox.

I understand the Xbox work that has hit the headlines this week is actually called Project Kennan, not Keenan. I’m told that Kennan is the codename for a handheld that is being manufactured by Asus, and it’s part of a larger effort from Microsoft to unify Windows and Xbox towards a universal library of Xbox and PC games.