Microsoft is set to revolutionize the handheld gaming PC market by combining the best of Xbox and Windows, according to Jason Ronald, the company's VP of Next Generation. Speaking at an AMD and Lenovo event, Ronald hinted that significant changes are coming to the Windows handheld gaming experience this year, rather than waiting for a potential Xbox handheld device.

Ronald emphasized that Microsoft's goal is to bring the Xbox experience to Windows PCs, rather than the other way around. This means that the company is focused on merging the two platforms to create a seamless gaming experience on handheld devices. "We've been really innovating for a long time in the console space, and as we partner across the industry, it's really about how do we bring those innovations that we've incubated and developed in the console space and bring them to PC and bring them to the handheld gaming space," Ronald explained.

The current state of Windows on handheld devices is less than ideal, with a community-created fork of Valve's SteamOS experience often providing a better gaming experience. Ronald acknowledged the issues, stating that Microsoft is focused on simplifying the experience and making it more like a console experience. "Our goal is to put the player and their library at the center of the experience and not all the [Windows] work that you have to do today," he said.

Microsoft has already made some Xbox apps more handheld-friendly over the past year, but Ronald teased that there is more to come. "I think we'll have a lot more to share later this year," he said. "I think it's going to be a journey, and I think you'll see a lot of investments over time that you're starting to see already, but we'll have a lot more to share later this year."

It's unclear how Microsoft plans to merge Xbox and Windows, but it doesn't seem like the company is planning to port a custom Xbox operating system to Windows. Instead, Microsoft wants to make Windows better at gaming with an Xbox experience on top, hiding away the pesky desktop, notifications, and legacy of Windows. "I think, at the end of the day, our goal is to make Windows great for gaming on any device," Ronald said.

The Xbox operating system is built on top of Windows, which means that Microsoft can leverage its infrastructure to deliver a premium gaming experience on any device. However, the company still needs to tackle the basics of making Windows more friendly to controllers and getting the Xbox experience to drive things instead of the taskbar, Start menu, and other elements. "There's just certain things in Windows that were not designed for if you don't have a keyboard and mouse, like thumbstick support or joypads and stuff like that," Ronald admitted.

Microsoft's ultimate goal is to put an Xbox experience at the center, rather than the Windows desktop. "There's fundamental interaction models that we're working on to make sure that regardless of the operating system details, it feels very natively like a gaming-centric device and a gaming-centric experience," Ronald said.

The implications of Microsoft's plans are significant, as it could potentially disrupt the handheld gaming PC market and provide a more seamless experience for gamers. With the company promising changes this year, it will be interesting to see how this merger of Xbox and Windows plays out in the coming months.