Microsoft has reportedly halted the development of its own in-house Xbox handheld due to AMD's requirement for a substantial order of 10 million CPUs. This information was shared by hardware leaker KeplerL2, who indicated that Microsoft decided against pursuing an in-house handheld because it could not meet AMD's expectations. Currently, Microsoft is collaborating with Asus for an Xbox-branded handheld, the ROG Xbox Ally, set to release on October 16, featuring AMD processors. Jez Corden from Windows Central has expressed skepticism about the rumors regarding Microsoft's internal handheld plans.