AMD CEO Lisa Su: Microsoft's Next-Generation Xbox Console Could Launch in 2027
During AMD's latest earnings call, CEO Lisa Su stated that the development of a new Xbox, featuring an AMD semi-custom system-on-a-chip (SoC), is progressing well towards a 2027 launch.
This timeline aligns with industry speculation regarding the next generation of consoles from both Microsoft and Sony.
Development Progress
AMD CEO Lisa Su confirmed during the company's latest earnings call that the development of a new Xbox console is advancing smoothly. The new console, which will incorporate an AMD semi-custom system-on-a-chip (SoC), is on track for its anticipated launch in 2027. This timeframe is consistent with broader industry expectations for the release of next-generation consoles from both Microsoft and Sony.
AMD's Role
AMD's significant involvement in the upcoming console suggests a major performance leap for the Xbox, distinguishing it from a minor refresh of the existing Xbox Series X and S models.
Beyond its work on the Xbox, AMD is also co-developing chips for other prominent devices. These include Valve's upcoming Steam Machine, which is anticipated to ship early this year, and Sony's PlayStation 6.
Expected Features
The next Xbox is projected to feature a new semi-custom chip based on AMD's RDNA 5 architecture. This advanced technology is anticipated to enable:
- 4K gaming at 120 frames per second
- Advanced ray tracing
- AI-enhanced upscaling via AMD's FSR Redstone technology
According to Su, the upcoming console will represent a significant evolution:
"This next-generation console won’t just be faster; it should be smarter, smoother and more future-proof than today’s systems."
Microsoft has previously indicated that the next Xbox will incorporate AI-driven functionalities and potentially offer hybrid functionality, combining console, PC, and cloud gaming. However, ongoing global memory shortages and increasing component costs may result in a higher launch price for the console.
Financial Context
This announcement follows a reported 32% year-on-year drop in Xbox hardware sales for Microsoft during the quarter ending December 2025.