Asus ROG Xbox Ally sales stall, with Steam Deck still the preferred handheld gaming PC

Microsoft hoped that the ROG Xbox Ally would help it establish a foothold in the handheld gaming PC market. While sales started off strong, that momentum has faded in recent months. On an Xbox Expansion Pass podcast, Circana analyst Matt Piscatella confirmed that Valve’s Steam Deck remains more popular.

How much have ROG Xbox Ally sales dropped off?

Unfortunately, the companies haven’t made recent sales data public. Still, Piscatella, who monitors retail performance, denied that Microsoft and Asus had “put a dent in the Steam Deck.” He said, “It had a nice month one,” but “has come back down quite significantly since then.”

Despite the trend, ROG Xbox Ally sales haven’t come to a complete halt. The analyst explained, “It’s kind of just chugging along at you know what you would expect for that price point for that type of audience.”

When the Windows handheld gaming PCs launched in October, the pricier ROG Xbox Ally X sold out immediately in some regions. Its more affordable cousin was easier to find in stock. Regardless, an enthusiastic Asus projected that the devices would generate up to $160 million in sales during Q4 2025.

The same issues plague Windows handhelds

Besides cost concerns, Microsoft’s introduction of the Xbox Full Screen Experience has faced setbacks. Some gamers continue to lament clunky navigation and frequent, time-consuming updates. These aren’t common complaints with the Steam Deck, which provides a seamless console-like experience.

It’s unlikely that any Linux or Windows gaming handheld has been able to dethrone the Steam Deck. As of early 2025, the IDC firm reported that Valve had moved as many as 4 million units. In 2024, nearly 50% of purchases among all candidates were for the SteamOS device. With increased competition from the Lenovo Legion Go and MSI Claw lineup, it’s possible those numbers have dropped.

The problem Valve faces currently is availability. Admitting to the challenges of the storage and memory shortage, the Steam Deck OLED is out of stock in many countries. The LCD model was discontinued late in 2025, but few similar budget alternatives exist.

Using in-demand components, a widespread ROG Xbox Ally price increase may also be inevitable. Recently, stores in Japan raised the asking price of the Ryzen Z2 Extreme model by more than 20%.