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XBOX is rarely the focus of the Windows Wrap, but when reports claim that clashes have occurred between Microsoft’s Windows and XBOX teams, gaming comes to the forefront.
Last week I explained how Windows 11 retains the Surface Laptop Ultra. This week we learned that another Microsoft hardware division has expressed its frustrations with Windows. Apparently things got so heated between the XBOX and Windows teams that a XBOX leader threatened to cancel gaming handheld if you are required to run Windows 11 on the device.
Over the past few years, we’ve seen XBOX and Windows 11 come together. The Windows 11 experience on gaming handhelds has improved significantly since day one, although there is still a way to go. The XBOX app on Windows has been updated multiple times to align more with the console experience, which has a ripple effect across all Windows-powered gaming handhelds.
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But despite the growth of Windows 11, the operating system still does not meet the requirements of the XBOX team, at least according to the latest reports.
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There are some caveats to this whole discussion. Notably, Microsoft’s Xbox CTO Scott Van Vliet refutes Fortune’s claims.
@WinC_Gaming Helix OS is built on Windows, and the XBOX and Windows teams are working closely on the next generation of devices. The story cited here misrepresents both the technical work and the relationships between the teams.October 21, 2026
Van Vliet said Helix OS was “built on top of Windows.” He did not say that Helix OS East Windows. For what it’s worth, I don’t think we’ll ever see an operating system called “Helix OS.” But his post makes it clear that the operating system that powers the Helix project is built on Windows. It’s not the same as saying it East Windows. At a minimum, the Xbox is very unlikely to run the traditional Windows desktop that you see on laptops and desktops.
Microsoft used a customized version of Windows for several generations of XBOX hardware. The Xbox One and Xbox Series X|S consoles already run a Windows-based operating system. Even the original XBOX ran a Windows-based operating system, although the Xbox One used an operating system much closer to Windows.
I asked Van Vliet if Project Helix was an evolution of the operating system of already used XBOX consoles or a freshly created custom operating system, but he did not answer.
Microsoft never clarified that Project Helix would run Windows 11 and the Windows desktop, but several reports suggest that was the plan for the console.
His article on X claims that the original report “distorts both the technical work and the relationships between the teams.” Let’s assume for a moment that this is correct and that the Windows and XBOX teams are working side by side in harmony. There is still a clear implication that Microsoft no longer considers Windows 11 and the desktop to be the right starting points for an operating system for Project Helix.
Previous reports on Project Helix indicated that the next generation of XBOX would run a customized version of Windows 11, much like the Xbox Ally and other gaming handhelds. It appears that Microsoft has changed its plans, although it is still unclear to what extent.
If you’ve used a gaming handheld running Windows 11, you might even agree with the sentiment that the operating system isn’t the best starting point for a console gaming experience. Some of the best gaming handhelds are held back by Windows rather than enhanced by it. For example, the ROG XBOX Ally X20’s out-of-the-box experience is terrible because you have to go through three different rounds of updates.
Moving from Windows 11 powering XBOX consoles to devices running a Windows-based operating system is a massive change of plan. Ironically, this doesn’t change much from what Microsoft is already doing with XBOX.
Project Helix has reportedly been delayed until 2028, so it may be a while before Microsoft explains exactly what has changed.
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This week’s biggest news may be XBOX and gaming, but my biggest buying recommendations of the week are laptops. Whether you want an Intel chip or a Snapdragon processor, there are great deals available.
Join us on Reddit on r/WindowsCentral to share your ideas and discuss our latest news, reviews and more.
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