Rumors have been flying all year that Xbox is working on a PC gaming handheld. On Wednesday, Microsoft Gaming CEO Phil Spencer confirmed that plans are underway, though it sounds like an actual portable device is still a few years out.

Xbox's expansion plans go beyond consoles, with experiments in handheld tech and an eye toward mobile gaming platforms.

It’s no secret that Microsoft – and the Xbox department within it – has an interest in handheld consoles. Microsoft Gaming CEO Phil Spencer has said as much many times, praising existing handheld gaming PCs like the Steam Deck and the Asus ROG Ally and hinting that it might be something Microsoft itself dips its toes into.

Xbox boss Phil Spencer has confirmed that Microsoft really is working on a handheld gaming device, with prototypes already in the works, but believes that the actual product is still a few years away.