When the PlayStation 5 and Xbox Series S|X launched four years ago, both promised players a more powerful gaming experience. While each console boasts unique features, they fundamentally share similar AMD architecture, leading to a gradual shrinking of hardware differences.
Xbox head Phil Spencer recently stated on The Destin Show podcast that this homogenization is not a positive trend. He expressed a desire for Xbox to break this status quo through hardware innovation, rather than solely relying on exclusive games to attract players.

Spencer candidly remarked that current-generation game consoles are too close in their technical specifications, making exclusive titles almost the sole basis for consumers to choose a platform. He believes this is not an ideal direction for the industry and hopes future Xbox hardware can deliver more competitive innovation, offering players a truly distinct gaming experience.
"I want hardware to be the key differentiator in the market. Our consoles have entered an era where the differences are shrinking," Spencer said. 
This perspective is particularly noteworthy because both the Xbox Series X|S and the PS5 utilize AMD's RDNA architecture and Zen 2 CPUs. Although each console features unique technologies, such as Xbox's Velocity Architecture and PlayStation's I/O processing, their impact on the actual gaming experience isn't as pronounced as it was in previous generations.
Next-Gen Xbox Could Bring Major Changes
Spencer further hinted that Xbox's next-generation console will feature significant changes and could potentially launch as early as 2026. He hopes that hardware innovation will give Xbox stronger market competitiveness, moving beyond merely competing with PlayStation on exclusive game lineups.
Additionally, Spencer mentioned his interest in the handheld market, noting that portable devices offer a different gaming experience compared to traditional home consoles. Consequently, Microsoft is now investing in the development of its own handheld device, while PlayStation is also reportedly planning a new portable gaming device.
via: Destin