ASUS could be Microsoft's partner for the first-ever Xbox-branded PC gaming handheld, and new reports say that a unified Xbox+PC store is top priority.

I understand the Xbox work that has hit the headlines this week is actually called Project Kennan, not Keenan. I’m told that Kennan is the codename for a handheld that is being manufactured by Asus, and it’s part of a larger effort from Microsoft to unify Windows and Xbox towards a universal library of Xbox and PC games.

Microsoft apparently wants its own handheld PC. The first generation is to be developed in collaboration with Asus.