This study proposed and implemented a system combining the advantages of both educational games and wireless handheld technology to promote the interactive English learning in the classroom setting. An interactive English vocabulary acquisition board game was designed with the system being implemented on handheld devices. Thirty sixth-grade elementary students in Northern Taiwan were assigned to the experimental group and the control group and played the game with or without handheld devices. Both quantitative and qualitative data were collected from surveys, interviews, and observations. The results revealed that game-embedded handheld devices could increase the interdependence of the group and lead the learners into better immersion and interactions. We further proposed the cross-device-mediated interaction in the game-embedded face-to-face mobile computer-supported collaborative learning model that could be considered as one of the new literacies in the participatory culture. Six essential elements to develop a successful interactive game-embedded environment were identified from the interplay among the face-to-face environment, handheld devices, and educational game.