AMD is on Track to Support 2027 Launch of Next Xbox With Semi-Custom Chips, Says CEO

During a recent earnings call, AMD CEO Dr. Lisa Su confirmed that its development of the chips powering Xbox is "progressing well".

Posted By | On 04th, Feb. 2026

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While reports have indicated that the global memory shortage might mean that both Sony and Microsoft might have to delay their next-gen consoles beyond 2027, AMD has said that the chip-maker is on schedule to support new Xbox hardware. In a recent earnings call, AMD CEO Dr. Lisa Su has confirmed that development on the semi-custom system-on-a-chip (SoC) has been going well and that the company is on track to support a 2027 launch for the Xbox.

“Development of Microsoft’s next-gen Xbox featuring an AMD semi-custom SoC is progressing well to support a launch in 2027,” said Dr. Su during the earnings call, as caught by Tom’s Hardware. While she didn’t mention Sony, it is likely that AMD’s close work with the PlayStation maker as part of Project Amethyst also means that it has been working on chips for the PS6 as well.

The Xbox chip being developed by AMD has been codenamed Magnus, and is said to be powered by Zen 6 and 6c cores handling CPU duties and RDNA5-based compute units for GPU tasks. CPU cores will be helped by a 12 MB L3 cache, while the GPU is expected to run off 68 compute units, 4 shader engines, and a 24 MB L2 cache.

Little is currently known about the next-generation Xbox. However, a report from back in October has indicated that it will be priced at over $1,000. This is due to the fact that it will be a powerful machine and the bill of materials that has already exceeded $999. Microsoft is also not expected to sell the console at a loss since the next Xbox is rumored to also support third-party game platforms like Steam and GOG.

Typically, quite a bit of revenue from console games comes from the sale of each piece of software through the Microsoft or PlayStation Stores or physical copies. If a console were to allow the installation of Steam, however, Sony or Microsoft would be missing out on that money.

This rumored high price of the console is also supported by Xbox president Sarah Bond having previously referred to the next-gen console as offering a high-end experience with a “very premium” design. “The next-gen console is going to be a very premium, very high-end curated experience,” she said during a tour of Xbox’s research and development building.

While the consoles might be in danger of being delayed by an extra year while everyone waits for memory prices to stabilize, Microsoft has also been making some moves in the software department to improve the gaming experience. With the console reportedly capable of running “full bore” Windows, the company has been working on a “Full Screen Experience” for Windows 11’s Xbox PC app, with planned “major updates” for the latter.

Sony, for its part, has also reportedly finalized the hardware specs for the PlayStation 6, with a report indicating that it will run on an AMD chip codenamed Orion, and will have a relatively low power draw of around 160 watts. For comparison’s sake, the PS5 Pro draws between 200 and 240 watt.


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