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Yes, Xbox Ally isn't an Xbox console, and that's the point — it’s a Windows handheld by design, part of Microsoft’s battle with Steam Deck

Reviews for the Xbox Ally and Xbox Ally X have gone live, and it's apparent that some people thought this was going to be an Xbox console that could run native Xbox games. But that's never been the ...
PC World

Did PCs win the console war? The next Xbox will run Windows, report claims

Microsoft’s next Xbox will run Windows, a report says, blurring the line between PCs and consoles and making the latest Xbox Ally X the model of what Microsoft hopes to achieve in gaming. Windows ...