Microsoft is expanding its Xbox Cloud Gaming service by letting players use smartphones as controllers on smart TVs. The company also introduced the Xbox Nano, which uses direct Wi-Fi to connect to cloud servers. Microsoft said these experiences are still in the testing phase, so supported games may be limited.

Microsoft is expanding its Xbox Cloud Gaming service with two new features: a phone controller and direct Wi-Fi connectivity for the Xbox Nano. The new capabilities will let players use their smartphones as controllers on smart TVs and connect directly to cloud servers via the Xbox Nano. This development was first reported yesterday and has now been officially confirmed by Microsoft.

The new Xbox Nano can connect directly to the cloud server hosting your game, instead of relying on a Bluetooth connection to your TV.

This direct Wi-Fi connection could help reduce input latency, making gameplay feel more responsive.

The feature is currently available for preview in the US, while users outside the country can try out the new phone controller option on smart TVs.

Microsoft has cautioned that both experiences are still in the testing phase and their availability, as well as supported games or devices, may be limited.

To set up cloud connect on the Nano controller, users will have to use either the Xbox beta app for Android or the Xbox Accessories app on PC.

The smart TV phone controller can be activated by toggling preview features from Settings > Account section of Xbox Cloud Gaming.