At GDC 2026, Microsoft unveiled several gaming improvements coming to Windows 11, including a new full-screen Xbox mode designed to enhance the PC gaming experience. The company also shared additional details about its upcoming next-generation Xbox console, whose codename - Project Helix - was officially revealed earlier this week. The system will serve as the successor to the Xbox Series X|S, and Microsoft has now provided a clearer look at the hardware powering it.
Microsoft confirmed that its long-running collaboration with AMD will continue with Project Helix. AMD has powered the last two generations of Xbox consoles, and the new system will feature a custom system-on-chip (SoC) built to support the next evolution of DirectX and AMD’s FSR technologies. One key highlight is the integration of frame generation capabilities, including AMD’s multi-frame generation technology.
The upcoming console will also introduce next-generation ray tracing capabilities, along with GPU-directed Work Graph Execution, which aims to improve how complex rendering tasks are handled. In addition, Project Helix will support AMD’s “FSR Next” technologies, bringing advancements such as machine-learning-based upscaling, ML-powered multi-frame generation, and next-generation ray regeneration designed for path-traced gaming.

Image source: IGN
Microsoft also introduced several supporting technologies, including Neural Texture Compression and support for DirectStorage combined with Zstd compression. These improvements are expected to boost memory efficiency and allow for more effective game data compression.
Beyond the hardware announcements, Microsoft hinted at plans to celebrate the 25th anniversary of Xbox by bringing back some of the platform’s most iconic titles. According to the company, players can expect new ways to experience classic Xbox games in the near future.
Overall, Project Helix appears to be built with AI-powered technologies and advanced ray tracing in mind, positioning it as a major leap beyond the current Xbox Series consoles. These developments could also influence the broader gaming ecosystem, particularly as Microsoft’s next-generation DirectX technologies are likely to impact PC gaming as well.
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