{"id":11474,"date":"2025-11-24T11:31:16","date_gmt":"2025-11-24T11:31:16","guid":{"rendered":"https:\/\/nextlevelnews.co.uk\/blog\/2025\/11\/24\/valve-confirms-steam-machine-will-not-be-subsidized-hardware-like-consoles-and-some-are-questioning-that-strategy-while-bracing-themselves-for-a-current-pc-market-price\/"},"modified":"2025-11-24T11:31:16","modified_gmt":"2025-11-24T11:31:16","slug":"valve-confirms-steam-machine-will-not-be-subsidized-hardware-like-consoles-and-some-are-questioning-that-strategy-while-bracing-themselves-for-a-current-pc-market-price","status":"publish","type":"post","link":"https:\/\/nextlevelnews.co.uk\/blog\/2025\/11\/24\/valve-confirms-steam-machine-will-not-be-subsidized-hardware-like-consoles-and-some-are-questioning-that-strategy-while-bracing-themselves-for-a-current-pc-market-price\/","title":{"rendered":"Valve Confirms Steam Machine Will Not Be Subsidized Hardware Like Consoles, and Some Are Questioning That Strategy While Bracing Themselves for a ‘Current PC Market’ Price"},"content":{"rendered":"
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<\/section>\n

Valve has provided the strongest indication yet that the Steam Machine<\/a> price will be set with similar performance PCs in mind, and confirmed it has no plans to subsidize the hardware like console manufacturers do by eating a big loss on each unit sold.<\/p>\n

The Steam Machine is a mid-level gaming-focused PC designed to be more accessible than a standard desktop PC, with a sleek, cube-like design and SteamOS on-board. We here at IGN have offered our thoughts on how much the Steam Machine will cost<\/u><\/a>, suggesting it\u2019ll probably be higher than people think. Chatter about pricing recently ramped up after Linus Sebastian of Linus Tech Tips<\/u><\/a> suggested it wouldn\u2019t follow a \u201cconsole pricing model\u201d of $500<\/u><\/a>, after mentioning the figure in a meeting with Valve staff.<\/p>\n

Then last week, a former Xbox executive called on Valve to allow third-parties to use SteamOS to make their own Steam Machines<\/a>, amid concern over the potential price of the next-gen living room PC (as IGN pointed out at the time, third-parties already can use SteamOS \u2014 just look at the Lenovo Legion Go S).<\/p>\n

<\/section>\n

Now, in a new interview with Skill Up<\/a>, Valve’s Lawrence Yang and Pierre-Loup Griffais discussed the price of Steam Machine without actually confirming what it is. The conversation began with software engineer Pierre-Loup Griffais confirming that Steam Machine is more powerful than 70% of gaming PCs that Valve registers on its hardware survey, in terms of general GPU level, saying: \u201cWe have looked at that number as part of speccing the machine, so it\u2019s possible it\u2019s evolved a little bit over time, but I think ballpark, it\u2019s about there.\u201d<\/p>\n

He then said that fans should expect the Steam Machine price to be around the same as if you were to build a PC from parts to get \u201cbasically the same level of performance.\u201d<\/p>\n

\u201cI think that if you build a PC from parts and get to basically the same level of performance, that’s the general price window that we aim to be at,\u201d he said. \u201cIdeally we’d be pretty competitive with that and have a pretty good deal, but we’re working on refining that as we speak. Right now is just a hard time to have a really good idea of what the price is going to be because there’s a lot of different things\u2026 a lot of external things.\u201d<\/p>\n

<\/section>\n

In that context, Valve\u2019s Steam Machine will likely cost above $750. We\u2019ve suggested Steam Machine will cost $700-$800. To put that into perspective, the base PS5 with a disc drive currently costs $549.99, while the PS5 Digital Edition costs $499.99. The PS5 Pro, meanwhile, costs $749.99.<\/p>\n

Skill Up then asked Valve to rule out the Steam Machine being subsidized hardware, saying, \u201clike Valve is not going into this thinking we’re going to eat a big loss on this so that we can grow market share or category or anything like that, correct?”<\/p>\n

Pierre-Loup Griffais\u2019 answer here was unequivocal:<\/p>\n

\u201cNo. It’s more in-line with what you might expect from the current PC market. Obviously, our goal is for it to be a good deal at that level of performance.\u201d<\/p>\n

<\/section>\n

He then went on to make the case for Steam Machine at that sort of price, pointing to the value you get from the various features it includes that simply wouldn\u2019t be easy to replicate if you were to build your own PC from similar parts.<\/p>\n

\u201cAnd then you have features that are actually really hard to build if you’re making your own gaming PC from parts, right?\u201d he continued. \u201cLike things like, obviously the small form factor and I think the noise level that we achieved \u2014 or lack thereof \u2014 is really impressive, and we’re excited that the people are going to find out how quiet this thing is. But also some integration features like HDMI CEC, right? Like being able to turn on your TV, turn off your TV, control it with your TV remote, change the volume, all that kind of stuff.<\/p>\n

\u201cLike the Bluetooth and wireless work that we’ve done, the four antennas, the very deliberate design to make sure that you can have a great experience with four Bluetooth controllers from any manufacturer, plus our Steam Controller receiver integrated as well \u2014 that\u2019s all hard to do. But more importantly, you can turn on the machine from your controller, which is not something that is actually straightforward depending on the type of PC you have or the main chipset and all that.<\/p>\n

\u201cSo being able to sit down on your couch, press one button on your controller, and the whole thing lights up like you’d expect for a thing that’s in your living room, I think that’s really valuable. And there’s not really a price point to that because it’s not really something that exists in the PC market right now.<\/p>\n

\u201cThere’s people that are going to be perfectly happy building their PC at whatever level of spec, and that’s going to be a great experience for them. We’re building Steam OS so that if they want to use it for that they can and they can have essentially the same experience. And if they’re happy with that, that’s perfectly good with us. But we expect the machine is a nice baseline offering that lets you have some features that are really hard to get to otherwise.\u201d<\/p>\n

Valve designer Lawrence Yang then chimed in with his own thought: “for me one of the benefits of Steam Machine is, I’m someone who used to build my PC in college and I am too old and tired to do that now!\u201d<\/p>\n

<\/section>\n

These latest comments chime with Linus Tech Tips<\/u><\/a>\u2019 recent episode of the WAN Show<\/u><\/a>, where he recalled that he had expressed his disappointment to Valve that Steam Machine wouldn\u2019t follow a console pricing model where it is subsidized by the manufacturer because it takes a 30% cut of sales made on the platform, as the likes of Sony, Microsoft, and Nintendo do with their consoles.<\/p>\n

Linus said he was then asked by Valve what he meant by a \u201cconsole price,\u201d to which he responded $500. \u201cNobody said anything, but the energy of the room wasn’t great,\u201d Linus continued.<\/p>\n

Here are the comments in full:<\/p>\n

\u201cSo basically, it’s a 7600 CPU and a 7600 GPU. This is not a super powerful machine. Valve is upfront saying that they are going to be relying on FSR in order to achieve 4K. And even then man, like 8 gigs of VRAM, anyone else would be taking a ton of flak for shipping a game console today with 8 gigs of VRAM.<\/p>\n

\u201cI can\u2019t tell you what the price will be because I literally don’t know but, when I said, \u2018I’m disappointed that it isn’t going to follow a console pricing model where it’s subsidized by the fact that the manufacturer is going to be taking 30% of every game sold on it over the lifespan of this thing, because I feel that would be a more meaningful product,\u2019 they kind of asked what I meant by, well, \u2018what do you mean by console price?\u2019 And I said, \u2018Well, $500.\u2019<\/p>\n

\u201cNobody said anything, but the energy of the room wasn’t great.\u201d<\/p>\n

Now, some are questioning Valve\u2019s refusal to subsidize the Steam Machine and thus theoretically at least miss out on having a greater number of people buying games through Steam. Larian publishing director Michael Douse, who is in charge of business development regarding the likes of Steam megahit Baldur\u2019s Gate 3, took to social media<\/a> to suggest Valve will lose \u201cfar more\u201d than the approx. $200 difference by not having more users on the Steam storefront, \u201cwhich is essentially a money printing machine.\u201d<\/p>\n

\u201cThat said it isn’t stupid to not sell things at a loss, just peculiar in this case,\u201d Douse continued.<\/p>\n

We\u2019ve got plenty more on all Valve\u2019s recent hardware announcements, and have a handy roundup<\/u><\/a> so you don\u2019t miss a thing. We went hands-on with Steam Machine<\/u><\/a> and Steam Controller<\/u><\/a>, and if you\u2019re wondering about Steam Deck 2, we asked Valve about that as well<\/u><\/a>.<\/p>\n

<\/section>\n

Wesley is Director, News at IGN. Find him on Twitter at @wyp100. You can reach Wesley at wesley_yinpoole@ign.com or confidentially at wyp100@proton.me.<\/em><\/p>\n<\/section>","protected":false},"excerpt":{"rendered":"

Valve has provided the strongest indication yet that the Steam Machine price will be set with similar performance PCs in mind, and confirmed it has no plans to subsidize the hardware like console manufacturers do by eating a big loss on each unit sold. 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