***SOLUTION***
Very simple fix guys. I was having the same issue as most of you here - Xbox controller connected and recognised but not working.
Follow the below steps;
- Make sure the latest Windows update has installed and isn't pending etc.
- Unpair your Xbox controller from your bluetooth settings
- Plug controller in to PC via USB cable
- Download and launch Xbox Accessories app
- You will see a message on Xbox Accessories saying that an update is required for the controller
- Click the the update required button
- One update is complete re connect your Xbox controller via bluetooth
- Done
As mentioned with multiple previous posts... This does work for the most part... but there are still issues when connecting with Bluetooth... Although it could be certain PC setups/hardware.
As of late last night, it still has issues with Steam/Steam Games, that could be something to do with Valve needing to update. Currently the Steam controller settings now populates it as a Xbox One controller as well as a 16 axis gamepad when connected via Bluetooth. Buttons don't seem to be mapped correctly and buggy experience when even trying to navigate in Steam Big Picture Mode. The left analog stick is hyper sensitive and certain areas of the menu pressing A to launch a game doesn't work or you get a different menu that pops up. Plugging the controller direct to USB all issues resolved at the moment.
I initially posted when trying to play AC: Valhalla when launching the game it was consistent controller disconnect and reconnects on the screen and unable to use the controller Bluetooth wireless. Plugged in is fine.
Only last night I saw there was another optional intel Bluetooth driver for my setup (already installed an optional update the previous day, I have a Asus X570-E Gaming motherboard) which after unpairing/uninstalling the new xbox series x controller, multiple restarts trying to get it to work with Steam and repairing it now seems to work without disconnects in Valhalla. I didn't play extended periods of time just testing. I haven't tried other games as primarily I play FPS with mouse and keyboard, just wanted a controller to play certain games.
From what I'm reading if you are using a xbox controller adapter dongle for wireless these issues are remedied. So I'm leaning towards an issue with the Bluetooth drivers for the controller, something with windows, or the controller firmware . I do not have access to the windows preview update as some people mentioned. Only the 20H2
Update: controller still is buggy in Steam Big Picture Mode connected with bluetooth wireless. In big picture mode I did launch Star Wars Squadrons with my mouse, in game it shows loading controller config and controller appears to be working. I did get a low battery notification from windows, looking at the bluetooth settings it shows 0% which is incorrect since it was just at 100%.
Update 2: Steam has a fix for the controller issue. Have to download the latest beta version of Steam, easy to enable beta participation in Account menu in Settings. Tested and everything seems to be working properly.