Yes, the Xbox Series X does need a cooling system. It features a custom-designed thermal solution with a “quiet and efficient” air-flow system. This system is designed to draw air in from the bottom side, while air is released from the top and back of the console into the environment.

Above you'll see a photo of the Xbox Series X's cooling system photographed by iFixit. On the left is an array of metal fins attached to a copper vapor chamber. The fins pull heat from the chamber, the chamber touches the board via thermal paste. The metal plate (in the photo just to the right of the copper) acts as EM shield.

The vapor chamber cooler used in the Xbox One X uses what is known as a two-piece design consisting of upper and lower stamped plates sandwiched together to create a chamber with a sintered wick material on the inner walls.

All Xbox consoles are designed to ventilate air to keep them at an optimal temperature during use. Your console may feel hot around the vents, but this is normal. Hot air is being ventilated from the console to cool the interior. Keeping the console free from obstructions and clutter will allow it to ventilate properly.

The system features a combination of liquid cooling and a custom-designed fan that work together to dissipate heat and maintain optimal performance. The liquid cooling system uses a closed-loop design to keep the internal components cool, while the fan is designed to move air through the system to prevent hot spots from forming.