Microsoft Reportedly Developing Cloud Gaming and Elite Controllers

Microsoft’s push into cloud gaming hardware may soon extend beyond consoles and mobile apps. Regulatory filings and leaked images published by Brazilian outlet Tecnoblog have revealed two unannounced Xbox controllers. The devices include a compact controller reportedly designed for Xbox Cloud Gaming and a successor to the Xbox Elite Series 2.

The smaller controller appears aimed at players streaming Xbox titles across mobile devices, TVs, and other non-console platforms.

Images show a compact rectangular design with smaller grips and reduced triggers while retaining the standard Xbox button layout. A dedicated cloud-branded button placed near the top of the device suggests Microsoft may be developing hardware specifically optimized for cloud streaming.

The report pointed out that the controller includes a 500mAh rechargeable battery, along with Bluetooth and Wi-Fi 6 connectivity. Documentation cited by the outlet references the Realtek RTL8730E chip with dual ARM Cortex-A7 cores clocked at 1.2 GHz, potentially enabling direct communication with Xbox cloud servers to reduce streaming latency.

The report also stated that Microsoft is preparing two color options, including a white model.

Xbox Elite Series 3 Leak Reveals New Controls and Cloud Features

The filings also revealed what appears to be the Xbox Elite Series 3 controller. The premium device retains the interchangeable D-pad and modular components associated with Microsoft’s Elite lineup while introducing several visible hardware changes. Most notable are two wheel-like controls positioned near the lower front section of the controller.

The Verge’s Tom Warren suggested the new inputs could be intended for games such as Microsoft Flight Simulator or for rapid control adjustments and profile switching. The controller also reportedly includes a new pairing button capable of switching between local and cloud gaming modes.

Leaked specifications indicate the Elite Series 3 may use a removable rechargeable battery rated at 1,528mAh, lower than the 2,050mAh battery found in the Elite Series 2. Both controllers are also said to support Bluetooth and Wi-Fi 6 connectivity.

Questions Remain Around Stick-Drift Improvements

Despite the new features, the leaked documents do not reference Hall effect or tunneling magnetoresistance (TMR) analog stick technology. Players have increasingly requested both technologies as a way to reduce stick drift and improve controller lifespan. Meanwhile, durability concerns surrounding the Elite Series 2 remain one of the most common criticisms of Microsoft’s premium controller hardware.

Microsoft has not officially announced either device.

However, the appearance of both controllers in regulatory filings has fueled speculation that Microsoft could unveil them during its Xbox showcase in June 2026. The potential launch would align with the company’s continued expansion of its cloud gaming ecosystem.

Disclaimer: Source materials have been machine-translated from Portuguese.