During the firm's keynote at GDC today, Microsoft revealed that its Zune portable music player was staking a claim in the handheld gaming space by being able to play games made using XNA Game Studio.
XNA general manager Chris Satchell demonstrated the portability of code between Zune, Xbox 360 and Games for Windows platforms, saying games could be developed on PC using XNA Game Studio and then loaded onto others.
Developers aiming to make Zune games can also make use of the handheld's WiFi functions for wireless multiplayer.
Zune, however, is currently only available in the US, with Microsoft still have not committed to a wider release globally - so Microsoft's handheld gaming efforts remain in its domestic territory amongst aspiring and amateur developers only. For now, at least.