The most notable difference between the Xbox Ally and the Steam Deck is the operating system. Like the ROG Ally, the Xbox Ally will also use Windows 11, while the Steam Deck uses Valve's SteamOS.

Microsoft also revealed details on how game compatibility works for the handheld gaming PCs.

We also got a release date: the Xbox Ally and Xbox Ally X will be released worldwide on October 16th. There's still no official price tag, though, but rumor has it that it won't come cheap.