Key Takeaways
1. Microsoft and Asus initially saw strong sales of the ROG Xbox Ally, but growth has slowed significantly, with no recent sales figures reported.
2. The Steam Deck remains the preferred choice among gamers, with a substantial lead in sales over the ROG Xbox Ally.
3. Despite declining sales, Asus is optimistic about future revenue from the ROG Xbox Ally, projecting up to $160 million in Q4 2025.
4. Microsoft faces challenges with the Xbox Full Screen Experience, which has been criticized for its navigation and update issues, unlike the Steam Deck’s smoother experience.
5. Valve is experiencing availability problems due to component shortages, leading to stock issues for the Steam Deck and potential price increases for the ROG Xbox Ally.
Microsoft had high hopes that the ROG Xbox Ally would help the company gain a strong presence in the handheld gaming PC sector. Initially, sales were robust, but that growth has slowed down in recent months. On an Xbox Expansion Pass podcast, analyst Matt Piscatella from Circana noted that Valve’s Steam Deck is still the more favored option among gamers.
Sales Insights
Unfortunately, neither Microsoft nor Asus have released recent sales figures. However, Piscatella, who tracks retail sales, stated that Microsoft and Asus have not made a significant impact on the Steam Deck’s sales. He mentioned that the ROG Xbox Ally had a good launch month but has seen a noticeable decline since then.
Current Status of ROG Xbox Ally
Despite the downward trend, sales of the ROG Xbox Ally continue, albeit at a slower pace. Piscatella remarked, “It’s just kind of moving along at what you might expect for that price for that type of market.”
When the Windows handheld gaming PCs debuted in October, the higher-priced ROG Xbox Ally X quickly sold out in various areas, while its cheaper counterpart was found more easily. Nevertheless, an optimistic Asus has projected that these devices could bring in as much as $160 million in revenue during Q4 2025.
Challenges Ahead
Apart from pricing issues, Microsoft has also faced challenges with the launch of the Xbox Full Screen Experience. Many gamers have voiced frustrations about its awkward navigation and frequent, lengthy updates. These problems are not as prevalent with the Steam Deck, which offers a more fluid console-like experience.
It seems unlikely that any Linux or Windows handheld will surpass the Steam Deck’s popularity. As of early 2025, IDC reported that Valve has sold around 4 million units. In 2024, nearly half of all purchases in this segment were for the SteamOS device. With rising competition from products like the Lenovo Legion Go and MSI Claw series, those sales figures might have taken a hit.
Availability Issues
Currently, Valve is grappling with availability challenges. The company has acknowledged the difficulties stemming from storage and memory shortages, resulting in the Steam Deck OLED being out of stock in numerous countries. The LCD version was discontinued towards the end of 2025, and there are not many budget-friendly alternatives available.
Given the demand for components, a price hike for the ROG Xbox Ally could be on the horizon. Recently, retailers in Japan increased the price of the Ryzen Z2 Extreme model by over 20%.
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