Microsoft reportedly developing better and more efficient chips for Xbox Series X|S

Microsoft has reportedly begun work on a new chip for its next-gen consoles Xbox Series X|S. The rumored chip would be smaller in size, more power-efficient and would reduce the production costs as well.

The information came from journalist Brad Sams on his YouTube channel via Pure Xbox. He was heard saying around the 25th-minute mark, "I believe this is true--I know that Microsoft was working on revisions of the chip.” Brad added that he was very confident about this and that “Microsoft is always working on making cooler, more efficient chips because that lowers the cost of production. I believe it is accurate that Microsoft is working on a smaller, more power-efficient chip."

Microsoft Xbox Series X and S may get updated processors

Sams also mentioned that Microsoft would be looking to keep the new chip cool and efficient. This means the new chip for Xbox Series X and Xbox Series S is unlikely to pack more power. The reason Microsoft is focused more on an efficient chip that costs less to produce is a global chip shortage. The shortage arose due to the current global pandemic. Microsoft and Sony have both been struggling to build more consoles and meet the demands due to the shortage.

Microsoft wants to create a chip with improved performance which is cheaper, smaller, and easier to manufacture. This way, more Xboxes can be shipped and sold to meet the console demand. This will also allow Microsoft to take more share of the market as PS5 continues to be in high demand but with very little supply to fulfill that demand. Many have switched sides due to the unavailability of the PlayStation 5 and picked the Xbox Series X|S.

If Microsoft can make their next-gen consoles readily available, there can be more such instances. The PlayStation 5 and Xbox Series X are equally good on paper with both consoles offering exclusive features to tilt gamers to their sides rather than key differences in power and performance. Microsoft has sold 12 million units of Xbox Series X|S consoles by January of this year since its launch.

Microsoft is also working on a new Xbox hardware as well. Liz Hamren, former CVP of Gaming Experiences and Platforms at Microsoft, confirmed during a press briefing about the same last year. She said the move is key for the future of cloud gaming. However, the new hardware will not be arriving anytime soon.