Next-Gen Xbox On Track For 2027 Launch Says AMD CEO

Advanced Micro Devices (AMD) CEO Lisa Su shared some interesting information about two upcoming video game devices, Valve’s Steam Machine and Xbox’s next-gen console, both of which are powered by her company’s chips.

As reported by Gamesbeat on February 3, Su shared some new info about when to expect Valve’s upcoming console-like PC gaming box, the Steam Machine, and further teased a possible launch window for Microsoft’s previously confirmed-to-be-in-development next-generation Xbox.

“From a product standpoint, Valve is on track to begin shipping its AMD-powered Steam Machine early this year,” claimed Su in prepared remarks ahead of a financial call.  “And development of Microsoft’s next-gen Xbox featuring an AMD semi-custom [System on Chip] is progressing well to support a launch in 2027.”

This isn’t a confirmation that the next Xbox will launch in 2027, but Su did point out that both the PS5 and Xbox Series X/S will be entering their seventh year on the market at that point, and that’s a good time for a refresh.

Valve’s Steam Machine has a confirmed release date of 2026, but nothing any more specific. Valve says the Steam hardware family will expand in early 2026, but didn’t specify if that was all three recently announced devices, just one, or some other combo like the VR headset and new controller. Su’s comments seem to indicate that Valve could start selling and shipping Steam Machines to customers within the next few months. Meanwhile, we’ve known for some time that Microsoft is trying to get the next Xbox out around 2027 or possibly 2028. Microsoft execs have also teased that the next-gen Xbox will be a “very premium, very high-end” device, so it doesn’t sound cheap.

The next generation of game consoles will be expensive

While Su didn’t talk about prices, it’s pretty clear to anyone paying attention that any video game consoles or console-like devices arriving in the near future are going to cost quite a bit. President Trump’s tariffs have led to increased prices on many goods made overseas. Meanwhile, AI hyperscalers and tech giants are scooping up more and more PC parts, like RAM and GPUs, to help build out massive AI data centers. This has led to memory prices skyrocketing, and Nvidia is even reportedly looking to start making old GPUs again as the parts needed to make newer cards are routed toward making high-end cards for data centers.

Existing consoles, like the Switch 2 and Xbox Series X/S, could also see price increases in the future due to memory shortages and the rising cost of PC parts. Even AMD’s cheaper GPUs are reportedly going to see price increases. Meanwhile, when we’ve seen new gaming-adjacent tech launch in the last 12 months, the prices have been high, as in the case of Xbox and ROG’s handheld PC which costs $1,000. And it looks like the Steam Machine will possibly cost $800 to $1000 or more when it launches later this year.

What does all of this mean for the PlayStation 6 and next Xbox? It means you probably need to start saving now if you want to afford one of these devices when they launch in the next 24 months or so. And maybe be prepared to go without one for a while, as it’s likely there will be shortages for a long time following either console’s future launch.