Next-Gen Xbox Could Still Launch in 2027, AMD Confirms Chip Progress

AMD expects Microsoft's next-generation Xbox console to be ready for a 2027 debut, despite earlier rumours about possible delays. During AMD's latest earnings call, the company said work on the new custom chip is advancing well, bringing fresh clarity to a launch window that had seemed increasingly uncertain for both Microsoft and Sony.

Leaks over the past year suggested the next Xbox and Sony's PS6 were pencilled in for 2027, but rising hardware costs raised doubts. Industry analysts later warned that both platforms might slip past initial targets, as Sony and Microsoft reconsidered timelines in response to component prices and plans for longer current-generation life cycles.

Next-gen Xbox Launch in 2027 and AMD Development Update

AMD chief executive Dr. Lisa Su addressed the roadmap directly during the firm's fourth-quarter FY 2025 earnings call on Tuesday, as reported by GamesBeat. “From a product standpoint, Valve is on track to begin shipping its AMD-powered Steam Machine early this year, and development of Microsoft's next-gen Xbox, featuring an AMD semi-custom SoC, is progressing well to support a launch in 2027,” the executive said during the call.

The same semi-custom division at AMD is building chips for three major systems: Valve's Steam Machine, the next-gen Xbox and Sony's PS6. Valve has already stated that the Steam Machine, a PC and console hybrid using SteamOS, is scheduled for an early 2026 release, although Valve has not yet provided a specific launch date.

PS6 Leaks and Possible Delays

Earlier reports described the next-gen Xbox itself as a hybrid device, combining console hardware with Windows-style PC features. Initial leaks tied its launch to Sony's PS6 in 2027, placing both machines in the same tenth console generation. However, later coverage suggested that escalating memory prices could push those plans back for both manufacturers.

In October, leaker KeplerL2 said Sony aimed to release the PS6 in 2027, “unless any unexpected delays happen”. Around that period, YouTube channel Moore's Law is Dead claimed Microsoft's next machine, reportedly codenamed “Xbox Magnus”, was “targeting a 2027 launch”. Neither Sony nor Microsoft has publicly endorsed those leaked timeframes.

Current Consoles and Future Hardware

An Insider Gaming report in December said increasing RAM costs might delay both the PS6 and the next-gen Xbox beyond their previously expected windows. Last month, an unnamed industry analyst also argued there was a “high likelihood” the PS6 would release after 2028, as Sony intends to extend the PS5 generation.

The PS5 and Microsoft's Xbox Series S/X systems arrived in late 2020, and both companies have since outlined that future consoles are in development. Firm launch schedules, however, remain undisclosed. In October, Sony and AMD discussed new graphics techniques that could underpin “a future console in a few years' time”, reinforcing that hardware research is continuing even while dates stay fluid.