Microsoft plans to ship prototype of next Xbox to developers in 2027

Microsoft The company said Wednesday that it will ship prototypes of its next-generation Xbox console to video game developers in 2027 as it tries to narrow the gap with Nintendo and Sony.

There will be a special chip in the hardware Advanced Micro DevicesJason Ronald, vice president of Microsoft’s Xbox division, said: blog post.

“Ray tracing delivers a quantum leap in performance and capability, integrating intelligence directly into graphics and the pipeline and delivering meaningful gains in efficiency, scale, and visually,” Ronald wrote. “The result is more realistic, immersive and dynamic worlds for players.”

Microsoft’s announcement comes weeks after the company said its longtime gaming chief Phil Spencer was retiring and would be replaced by AI chief Asha Sharma. In a message to employees, Sharma said the company would renew its commitment to Xbox, starting with console games.

Just over 7% of Microsoft’s revenue in the December quarter came from games, while Xbox hardware revenue fell 32%. The company took an unspecified impairment charge on its gaming business during the quarter.

Xbox consoles have outsold alternatives from Nintendo and Sony since the launch of the flagship Xbox Series In the fall, Asus released Xbox-branded handheld devices.

The Xbox Series S and X, which were first released in 2020, also included AMD processors.

“I’m excited to share that we plan to ship alpha versions of the hardware to developers starting in 2027,” Ronald wrote.

Microsoft reportedly is pushing for its video game unit to achieve 30% profit margins. Last year, the company laid off some employees and scrapped titles in development.

Sharma was referring to the next-generation console, known internally as Project Helix. x post last week.

“Project Helix will lead in performance and play your Xbox and PC games,” he wrote.

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