Asus has beaten Nintendo Switch 2 to the punch with its next generation ROG Ally gaming handheld. And yes, it is the Xbox handheld we’ve been waiting for to take on the Steam Deck. Teased just now, we’re seeing hints of an updated design, upgraded storage and new internals (possibly the AMD Ryzen Z2 chipset).

We first heard rumors of Asus and Xbox working together on a handheld earlier this year, and now we might have our first look at the device.

If the teaser video's performance upgrades are any indication, the next-gen ROG Ally model could arrive with the AMD Ryzen Z2 Extreme APU, which was unveiled earlier this year. This octa-core processor is built on AMD's Zen 5 architecture and is equipped with 16 GPU cores.