SteamOS is putting Microsoft under strain in the gaming sector, prompting the company to potentially reposition its Copilot+ initiative to better suit the demands of players.
According to company leaders, Microsoft's 2026 approach includes reducing emphasis on standalone Copilot AI features and prioritizing enhancements to the operating system for better user satisfaction. Gaming represents a key segment of Windows users that will receive targeted attention.
Windows Latest recently discovered a potential early indicator of this shift in the form of a November document named 'How to optimize your gaming PC setup.' Surprisingly, it positions Copilot+ PCs as the next step in advancing PC gaming.
The guide explains that an excellent gaming setup assembles strong hardware components, fine-tuned software, helpful peripherals, and reliable connections to maintain engagement. Assembling these elements creates a personalized gaming environment beyond a mere configuration.
The document further states that Copilot+ PCs elevate this setup to peak efficiency. They outperform the MacBook Air M4 in speed and deliver up to five times the performance of Windows machines from five years ago, fully leveraging gaming technologies in Windows such as DirectStorage and Auto HDR.
The Asus ROG Z1 Extreme handheld device, designed for gaming and branded with Xbox, operates on a customized edition of Windows.
As highlighted by Windows Latest, this messaging feels unexpected because Copilot+ PCs originated with neural processing units (NPUs) as a core element, and initial versions using Snapdragon X Elite chips prioritized office tasks and extended battery runtime over gaming capabilities.
Company officials have long indicated that NPUs will evolve into standard components in laptops and later desktops, effectively transforming every PC into a Copilot+ device.
Microsoft anticipates Copilot+ PCs comprising roughly 50% of the market in the coming year, after which the branding could fade or become less prominent.
Although 2025 laptop chips lacked strong gaming prowess, the 2026 lineup shows marked progress. Leading the pack is Intel's Core Ultra 300 series, codenamed Panther Lake, which offers impressive gaming performance—not uniformly across all variants, however. AMD's Ryzen AI 400 series typically seeks to surpass Intel, while recent benchmarks for Qualcomm's Snapdragon X2 Elite suggest enhanced gaming feasibility in this era as well.
Handheld gaming emerges as a critical focus area. Intel is developing a variant of Panther Lake for portable devices, dubbed the G series, to compete against AMD's Z-series processors.
Performance gains can stem from hardware advancements or software refinements, and Microsoft recognizes the need for effort in the latter. Beyond the 'fullscreen experience' in Windows for portables, this includes core OS accelerations. Discussions with Microsoft executives reveal plans to intensify efforts on 'native game performance' compared to SteamOS. Utilizing DirectX capabilities, including DirectStorage and Auto HDR, remains a priority, sources confirm.
NPU integration might play a role in these enhancements. Microsoft's vision for AI intelligence in Windows involves interpreting user intentions, enabling automatic shifts to 'game mode' upon starting a title, suppressing alerts, and similar adjustments. While Windows leads in handheld gaming, the Steam Deck's Linux foundation poses a real threat, and hobbyists can adapt SteamOS to units like the Lenovo Legion Go.
These ideas build on prior initiatives. During the release of the Xbox Ally and Ally X, Microsoft portrayed the 'fullscreen experience' as extending past interface changes. It featured tweaks to curb background processes and postpone secondary operations, allocating greater resources to gaming. This results in increased available memory, smoother frame rates, and deeper immersion, all enabled by Windows' flexibility.
Microsoft has secured dominance in traditional PCs, yet the portable segment remains contested. Insights gained from handhelds are likely to influence broader PC developments.
Merging user intent recognition with performance boosts clarifies the document's concluding slogan: 'Game smarter. Game faster. Game your way. Start your next adventure on a Copilot+ PC today.'
The success of Microsoft's 2026 plans remains uncertain. Nonetheless, the pivot is positive, as leaders acknowledge that overemphasizing AI integration fell short and that speed is essential. Such priorities should appeal to portable gamers and extend benefits to Windows overall. Further updates expected.