Microsoft Reportedly Developing Xbox Emulation for Xbox Ally and Windows Devices

by Ali Haider

Microsoft may be preparing to take a major step toward unifying its gaming ecosystem. According to journalist and insider Jez Corden, the company is reportedly developing an emulation system that would allow select Xbox games to run natively on Windows devices, including the recently launched ROG Xbox Ally. Corden discussed the potential development during the latest episode of the Xbox Two podcast and further elaborated on the Xbox Era Discord, suggesting that this technology could make the Xbox Ally feel “more like an Xbox” by late 2025 or early 2026.

On the Xbox Era Discord, Corden stated, “The people saying that the Xbox Ally isn’t an Xbox because it can’t play actual Xbox games might eat crow next year if what I’ve heard is true.” He added, “I’ve heard there’s work being done on an emulator that will run at least some actual Xbox games on Windows PC, think the Xbox 360 back compat emulator as an example of the subset.” Corden also noted that Microsoft would need to secure licensing approvals from publishers and developers before making certain titles compatible, meaning not every Xbox game would be supported at launch.

The discussion first surfaced during the Xbox Two podcast, where Corden touched on the user experience of the ROG Xbox Ally and its potential future improvements. “When we talk about the console experience, the issue is about launching a game and having it work instantly. That is not what you get on the Xbox Ally today,” he explained. Corden described the current device as a “PC at the end of the day” that still requires manual configuration for optimal use. However, he hinted that changes could be coming soon, adding, “I’ve heard that there are some cool things coming for the Xbox Ally over the next year that will make it feel more like an Xbox.”

When asked whether this evolution would come through Microsoft’s Play Anywhere initiative or via emulation, Corden confirmed, “Emulation.” He clarified that the company appears to be exploring a backward compatibility-like solution that would allow more Xbox titles to run directly on Windows systems. Though Corden emphasized that his comments should be taken as rumor and not confirmation, his remarks suggest that Microsoft may be developing an internal emulator similar to the technology behind the Xbox 360 backward compatibility program.

Corden also briefly referenced Microsoft’s future hardware roadmap, noting, “You’ll get a wide variety of Xbox hardware over the coming years. Some will be more PC-like for TVs, not supporting your entire back catalog, and the generation after that will be with the new AMD chips that do support Xbox games as well as Windows.” His comments imply that the company could be pursuing a long-term strategy to merge the boundaries between traditional consoles and PC-based systems.

The ROG Xbox Ally, which launched on October 16, 2025, is the result of a collaboration between ASUS’s Republic of Gamers brand and Microsoft. Available in two versions—the standard Xbox Ally and the higher-end Xbox Ally X—the device runs on Windows 11 and is designed to offer a portable Xbox-like experience. While it currently functions as a gaming PC requiring manual setup, Microsoft’s rumored emulation technology could bridge the gap between the Ally and the core Xbox ecosystem, giving players the ability to enjoy native Xbox gameplay on handheld hardware.

If these reports prove accurate, the development could mark a significant milestone for Microsoft’s cross-platform strategy, potentially transforming devices like the Xbox Ally into fully integrated members of the Xbox family. For now, though, Corden urges caution, reminding fans that “this is still speculation, not a confirmed report.” Nonetheless, his statements have reignited discussions about the future of Xbox’s approach to portability, compatibility, and the convergence of console and PC gaming.

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