The forthcoming new app, which will arrive in time for the Xbox One's November 22 release date will be faster and more useful than the current iteration.
According to the company, SmartGlass for Xbox One pairs up almost instantly with the the console and is three times faster at doing so than the Xbox 360 app.
Interestingly, Microsoft is allowing up to 16 smart devices to be connected to the console via the SmartGlass app, which is great if you're having a few friends over and want to let them all in on the Xbox action.
While users are on the go, the new SmartGlass app will be enabled for mobile shopping, allowing users to purchase content that can be instantly viewed on the device.
SmartGlass team leader Ron Pessner told Engadget: "We definitely want to make sure it's a seamless process for customers and they're able to find a piece of content regardless of where they are -- the web or the SmartGlass app -- and being able to have that content ready for them to play when they return to their Xbox One."
SmartGlass functionality will be built into some games, including launch titles Dead Rising 3 and Project Spark, while DVR clips recorded on the passport will be available to view on the SmartGlass app too. The company also refused to rule out the potential for SmartGlass to be used as a dedicated game controller.
"It has to be the right fit for the right game to use SmartGlass as a dedicated controller," Pessner said.
One feature that will be present within SmartGlass is an online multiplayer 'matchmaker,' which will allow gamers to queue for matches while playing in other games.