San Francisco, Aug 1 (IANS): Global technology brand Lenovo is reportedly working on a Windows PC gaming handheld named 'Legion Go' that will compete with Valve's Steam Deck and ASUS' ROG Ally.

The Legion Go handheld is expected to sport Windows 11 for maximum PC gaming compatibility, reports Windows Central. The gaming handheld will likely feature AMD's new Phoenix processors, which the chip-maker describes as ultra-thin, focused on gaming, artificial intelligence (AI) and graphics for ultrabooks.

It is also expected to come with an eight-inch screen, making it larger than the ASUS ROG Ally or the Steam Deck as they both feature a seven-inch display PC and console games ported to PC are normally designed for larger screens or TVs, and on smaller screens, user interface (UI) elements can be difficult to see, especially if the game doesn't have a UI scaling option.

If the Legion Go can maintain its balance and small weight, a larger display might offer it a sizable advantage over rivals. The handheld PC gaming market is witnessing intense competition, with successful products like Valve's Steam Deck and ASUS' ROG Ally.

"Other long-time competitors in the space like AYANEO are also doing well, and Microsoft itself has tasked Xbox with improving the Windows experience on handhelds for this emerging category," the report said.

Last month, a report revealed that Lenovo maintained its leading position in PC shipments despite an 18 per cent (year-on-year) decline. Meanwhile, in June, the global technology brand had announced that it will invest $1 billion over three years in the expansion of infrastructure solutions to accelerate the AI deployment for businesses globally.