AMD may keep FSR 4.1 away from Radeon 600M, 700M and 800M iGPUs
Radeon 890M, 880M and Strix Halo iGPUs are not on the confirmed list.

When AMD announced FSR Upscaling 4.1 support for older Radeon GPUs in mid-May, the company named Radeon RX 7000 and Radeon RX 6000 series graphics cards. It did not mention integrated graphics based on RDNA 2, RDNA 3 or RDNA 3.5.
That omission was easy to notice. Radeon 600M, Radeon 700M and Radeon 800M graphics are used in many Ryzen APUs and gaming handhelds. The same applies to Radeon 8050S and Radeon 8060S graphics in Ryzen AI Max “Strix Halo,” which offer much higher GPU performance than standard laptop iGPUs.
No FSR 4.1 for RDNA 3.5
According to Hardware Luxx, AMD does not currently plan to bring FSR 4.1 to RDNA 3.5 integrated graphics. This would affect Radeon 890M, 880M, 860M and 840M graphics used by Ryzen AI 300 and 400 processors.
According to McAfee, FSR 4.1 is not currently planned for RDNA 3.5. They stated that they need to weigh the pros and cons of implementation. Currently, the decision seems to be leaning towards “no”.
— HardwareLuxx (translation)
This is an issue for gaming handhelds. Many current and upcoming devices use Ryzen APUs with integrated Radeon graphics, where AI-based upscaling and frame generation can be more useful than on desktop GPUs. If AMD keeps FSR 4.1 limited to discrete Radeon cards, handheld users will remain on FSR 3.1 or AFMF-based options.
Meanwhile, Intel offers AI-based upscaling and multi-frame gen for the Core 100-300 series
Intel has now launched Arc G3 and Arc G3 Extreme for handhelds, and the company is already promoting XeSS 3 for those chips. Intel says “XeSS Super Resolution provides AI-based upscaling,” while “XeSS Multi-Frame Generation adds multiple interpolated frames for a smoother gameplay experience.”
I find it also surprising that McAfee apparently said that FSR4 for RDNA2/3 was long planned, and yet the company did not say anything for nearly a year after leaking the version themselves. The good news? Well, gamers have used this leaked FSR4 INT8 on the Radeon 800M series and it works.
What about Steam Machine?
Steam Machine uses RDNA3 GPU, which is older than RDNA3.5. However, if AMD is not bringing FSR4 to integrated graphics, the Machine may still be affected. It depends on how AMD treats the GPU inside this system—is it powerful and worthy enough? Could Valve get a special support instead? Unfortunately, neither the Valve nor AMD confirms it.

Steam Machine uses RDNA3 GPU, Source:Valve
It is worth adding that SteamOS exposed a special setting to enable the “FSR4 Upgrade” flag. At the time, it was suspected that AMD might officially enable FSR 4 on older GPUs at some point, and that this flag could become part of official support for the new upscaling technology.
With this new statement, there are two possible outcomes. Steam Machine may also be excluded from the official FSR 4 support list, or this flag could become a semi-official way to enable it. Perhaps this will happen with newer FSR 4 files when they are released in July.
Source: HardwareLuxx