The Keystone project was initially announced in June 2008 by TransCanada Corporation, now known as TC Energy2. It was proposed as an additional phase to the original Keystone Pipeline to provide a more direct route between Alberta, Canada, and the U.S. Gulf Coast.
Microsoft canceled Keystone in its original form because it was more expensive than the company wanted it to be. The device was designed to be an affordable streaming-only console, but the cost of the hardware inside made it difficult to meet the desired price point. As a result, Microsoft decided to focus on developing a smart TV streaming app instead.
The patent for the electronic console device was filed with the US Patent and Trademark Office in June 2022. This was several months after Microsoft announced it would no longer be proceeding with its Keystone cloud gaming device in its existing form.