At CES 2025, Lenovo took the wraps off its latest gaming handheld, the Legion Go S, which marks a significant shift in the company's strategy by offering SteamOS as an alternative to Windows. This move is seen as a major challenge to Microsoft's dominance in the handheld gaming market, and could potentially pave the way for a new era of Steam-powered gaming devices.

The Legion Go S boasts a more traditional form-factor compared to its predecessor, featuring a large 8-inch display surrounded by controllers on each side of the screen. Gone are the detachable controllers and kickstand, giving the device a sleeker and more streamlined design. But what's most interesting about the Legion Go S is its customizable configurations, allowing customers to choose between two AMD chipsets: the newly announced budget processor Ryzen Z2 Go, and the Ryzen Z1 Extreme.

Customers will also have the option to decide whether they want to buy the Legion Go S with SteamOS pre-installed or Windows 11. While SteamOS offers a better interface, out-of-the-box experience, and support for sleep/wake, some customers might prefer Windows if they rely on Xbox Game Pass or Windows-only anti-cheat software for their favorite multiplayer games.

The pricing for the Legion Go S varies depending on the configuration, with the Z2 Go version available for $599 with Windows 11, or $499 with SteamOS. The Z1 Extreme variant, on the other hand, will cost $729. Lenovo plans to release the Z1 Extreme version in January, while the Z2 Go configurations will be available in May 2025. The entry-level device comes with 16GB of RAM, while the $729 one features 32GB of RAM.

In terms of specifications, the 8-inch display has a 16:10 aspect ratio and supports resolutions of up to 1920×1200 with a 120Hz variable refresh rate. The Legion Go S also comes with a 55Wh battery, two USB 4 ports, and a microSD slot. Weighing in at 730g (1.61 pounds), the device features an extremely tiny touchpad to navigate the desktop interface.

Lenovo also showcased an early prototype of the Legion Go 2 at CES 2025, indicating that the company plans to update the original Legion Go and maintain two separate product lines. This move could potentially create a new category of gaming handhelds that cater to different user preferences and needs.

What's notable about the Legion Go S is that Valve, the company behind Steam, has collaborated with Lenovo to tweak SteamOS for the new machine. This partnership could signal a shift in Valve's strategy, as the company seems more focused on growing the Steam ecosystem than becoming a major console maker. With Valve taking a cut on every Steam purchase, the partnership could be a win-win for both companies.

The implications of the Legion Go S are far-reaching, as it could potentially challenge the dominance of Windows in the handheld gaming market. With SteamOS offering a more seamless gaming experience, it will be interesting to see how Microsoft responds to this new challenger. One thing is certain, however: the handheld gaming market just got a whole lot more interesting.