AMD repeats Steam Machine “early” 2026 window
During AMD’s Q4 2025 earnings call, CEO Lisa Su pointed to two semi-custom projects. Su said Valve is on track to ship an AMD-powered Steam Machine early this year. Su didn’t go into detail about when exactly.
More importantly, Su also said development of Microsoft’s next-gen Xbox SoC is “progressing well to support a launch in 2027.” That line frames a 2027 target for the chip program. Microsoft still controls the console release timing.
“For 2026, we expect semi-custom SoC annual revenue to decline by a significant double-digit percentage as we enter the seventh year of what has been a very strong console cycle. From a product standpoint, Valve is on track to begin shipping its AMD-powered Steam Machine early this year. And development of Microsoft’s next-gen Xbox featuring an AMD semi-custom SoC is progressing well to support a launch in 2027.”
— Dr Lisa Su, AMD CEO
AMD also guided for a decline in semi-custom SoC revenue in 2026 as the current console cycle ages. The Steam Machine and the next Xbox SoC comments were part of that same outlook section.
Next-gen consoles powered by RDNA5
Microsoft and AMD announced a multi-year partnership in June 2025. The announcement described co-engineered silicon across future consoles and cloud gaming servers. As we recall, earlier internal documents that surfaced during the FTC case had pointed to 2028 at the time. These documents mentioned RDNA5 based architecture specifically.
Leak chatter has linked the next-gen Xbox chip to Zen 6 and Zen 6c CPU cores and an RDNA 5 GPU, often under the “Magnus” label. Meanwhile, Sony has not announced PlayStation 6, but they did announce a close partnership with AMD . Some rumors suggest that Sony is exploring a standalone handheld that can play PlayStation 5 games, and that work could carry into the PlayStation 6 timeframe. Microsoft is pushing a more PC-like Xbox strategy, and the ASUS ROG Xbox Ally handhelds are the current example of that approach.
Source: AMD
