American publisher Valve, the company behind the Steam online gaming store, has announced the upcoming launch of a new type of device called the Steam Machine. This computer is designed to work equally well on a desk in a bedroom or next to a living room television. For Valve, this launch represents the culmination of a process that began over a decade ago.
A Computer with a TV-Friendly Interface
The Steam Machine is a small cube-shaped computer measuring 16 cm. It’s a full-fledged PC running a modified version of the Linux operating system, capable of being placed on a desk for web browsing or word processing tasks.
However, the device is primarily marketed as a gaming console. By default, when powered on, it displays the Steam gaming store, with an interface designed for large television screens and controller-based navigation rather than keyboard and mouse, though these peripherals can also be connected.
While final specifications haven’t been fully revealed, Valve indicates the device will be powerful enough to run the most demanding games on the market with high quality graphics.
Extensive Game Library Access
Typically, a console only works with games specifically designed or optimized for it. A PS5 game cannot be installed on a computer, and vice versa. In some cases, consoles launch with only a handful of compatible titles. The PS3 launched in 2006 with 16 games in North America, and the PS4 with 24 games (the PS5 was backward compatible with previous generation games).
The Steam Machine will have access to all PC games available on the Steam store—over 100,000 titles. Its catalog will be more extensive than any console, and many buyers will already own dozens of games they can install on the device.
It will also be possible to install alternative operating systems like Windows 11 on the Steam Machine, providing access to competing game stores such as the Epic Games Store.
A Decade of Preparation
This isn’t Valve’s first attempt at such a device. The company launched a similar product 10 years ago, but that ahead-of-its-time experiment was short-lived. The original Steam Machines faced numerous problems: incompatibility with Windows games, a controller poorly adapted to keyboard-and-mouse games, and insufficient performance.
Much has changed since then. Valve has improved its SteamOS operating system, particularly for the Steam Deck portable console launched in 2022. The vast majority of PC games on Steam are now compatible with SteamOS, and nearly all games have been optimized for standard controller play. Valve has also designed a new Steam Controller, inspired by the Steam Deck’s controls, which should be better suited to different game types.
In essence, this is a new type of device, but its main building blocks—software and hardware—come largely from products already on the market.
Xbox Also Aims to Merge Genres
Valve isn’t alone in its ambition to unite the PC and console worlds. Microsoft—which currently has separate stores for Windows computers and Xbox consoles, though some games work on both—has repeatedly hinted at its intention to merge these two ecosystems.
While not explicitly confirmed, Xbox executives have indicated that the next console should follow the spirit of the new ROG Xbox Ally, a portable console launched last month equipped with Windows 11 but with an interface optimized for gaming.
Potentially More Affordable Than a PC
Valve hasn’t announced the Steam Machine’s price, but—and this is where those shopping for a new gaming computer or console should pay attention—the device could be significantly cheaper than an equivalently powerful PC.
The reason is simple: for every game sold on Steam, Valve retains 20% to 30% of revenues. The company doesn’t just make money on the devices it sells, but also on games afterward. The more Steam Machines replace PS5s in living rooms, the more money Valve will make over time. The company can therefore afford to sell its hardware with thin profit margins. This isn’t the case for computer manufacturers, who must make their profit on each device sold.
The strategy isn’t new—console manufacturers often sell their devices at a loss, especially at launch (this was the case with Sony’s PS5 and Microsoft’s Xbox Series), with the goal of selling games afterward.
However, this is the first time consumers can benefit from this business model with a device capable of playing PC games. And since these games are generally cheaper than their console equivalents, especially excluding new releases, players who typically turn to PlayStation and Xbox ecosystems might also find value here.
Those interested will need to be patient for their holiday gifts, as the device won’t launch until early 2026.
