Microsoft is working on a streaming device that will allow users to play games without a console in the future.
It has been suggested for years that Microsoft wants to make gaming accessible to more people by cutting out the need to invest in a pricey console. The company's software-based answer to that challenge is the Xbox Cloud gaming platform, which works on many devices including the iPad.
According to Microsoft, it is working on new hardware for the Xbox. The streaming device sounds like it would be similar to Chromecast and Stadia in that it will connect to any TV or monitor via HDMI, allowing users to tap into Microsoft's vast games catalog, as well as any other streaming content it chooses.
The company didn't provide any more details about the device or a potential launch date, but said that it had recently taken the decision to "pivot away" from its original vision for the device.
Along with access to triple-A console games, Microsoft's device is likely to double as a set-top box on which users can access popular streaming services as well as the company's own media apps like Microsoft Movies and TV.
At one point, Apple was working on a low-cost Apple TV accessory, but those plans have been abandoned. Apple is planning to release a new version of the Apple TV in the second half of 2022, according to an Apple analyst. The new Apple TV will have an improved cost structure, which suggests a lower price point than the current Apple TV, which is more competitive with other streaming media.
Apple Arcade will struggle to compete with a Microsoft dongle that can stream titles like Need for Speed, The Sims, and many if the next iteration of Apple TV is any indication.