First, Microsoft is building a traditional console that you would expect from the Xbox brand. I think it’s important to point this out so that those who prefer to have all their hardware locally, will have an option with the next generation Xbox.



The second ‘console’ that the company is working on is a lower-powered device that is currently planned to ship with the next generation device that is designed for game-streaming. But the catch here is that Microsoft thinks it has figured out how to handle the latency sensitive aspects of gaming.


The cloud version of Scarlett is further along in the development cycle than the traditional console that will also be released in 2020. This device does make me wonder if it has any relationship to the Xbox Hobart streaming device that was nearly released two years ago but was canceled late in the development cycle.

The Cloud Box will cost around 99-125$,

All "Scarlett" (next gen games) will run both on the "Cloud Box" as well as on the Scarlett Console.