back in 2019, I was thinking of getting an MBA and as part of the exploration, shadowed an MBA class at University of Washington for a day. It was so fun. One of the things they were discussing in the class that day was a case study of Valve, specifically around the Steam Machine. The team's consensus was that Valve was carefully arranging money in a barrel, lovingly soaking it in high octane gasoline, and was about to light a match.

Proton, the Steam machine, the Steam deck, etc. were probably never about making money. It's Valve's "Plan B".

They started with Proton after Microsoft suddenly made a move with the Windows store and also started bolting down Windows a bit. As with most things Microsoft that initiative quietly died over time. But at that time Valve probably couldn't afford to take any chances. It probably also made them realize they had build a castle on someone elses land.

If you are making money in the amounts Valve is, then even the simplest risk analyses is going to show that "Microsoft rug pulling you" is one of your few existential threats. Even though the probability is low or medium-ish at best, the impact is massive. Even anti-trust isn't going to save you. By the time Microsoft gets convicted, you are already dead. Just look at Netscape.

Yeah people forget about it now because it ended up being a failure and Microsoft rolled it back a couple years later, but Windows 8 was basically an attempt by Microsoft to take over software distribution on Windows. They made an entirely new API (WinRT) as the main API for the platform, and all WinRT software had to be distributed via the Windows Store. The existing Win32 software could only be run inside the "Desktop" app, and the flagship Windows 8 device, the Surface, could only run WinRT software. This is when Valve started supporting Linux and came out with the first generation of Steam Machines.

Windows 7 was the last good one.

Valve makes it very very easy to be a PC gamer, and, importantly, slightly harder to be a PC gamer who buys games in places other than Steam.

Yes you can buy games on GoG or Epic and play them on a steam deck or a steam machine. But it's juuuuust enough faff to be annoying enough, that you'd rather just get them on steam. I know people (and am a person) who have rebought games they already own so they are on steam, to make playing between steam deck and desktop more reliable.

It's the same with the steam controller. You _can_ use it with games outside of steam, but it's enough of a faff that you find yourself avoiding it.

It's incredibly effective, and why they are an effective monopoly in PC gaming.

Why is the gasoline high octane in your metaphor? It's not like it's going to burn better.

If you're going to be burning barrels of $100 banknotes, why settle for plebian unleaded when you can use artisanal premium high-octane, if not avgas?

/s

This only goes to show how MBAs are destructively myopic.

Valve understands that inextricably tying themselves to Windows is a long-term death sentence. SteamOS represents a lifeboat for when Microsoft goes full iOS and decides to lock down Windows in exchange for taking 30% of all software purchases. Valve has been taking this threat seriously since at least 2010, which is why they've been investing in Linux gaming. Both Steam Deck and the Steam Machine are further steps toward complete independence from Microsoft.

this Steam Machine hadn’t been announced back then? Not even the steam deck, which has been a massive success.

We know they've been kicking the idea around since the first line up and I believe pretty decent leaks saying they were working on it were out around 2019.

Of course it was, they are talking about the 2012~2015 (not sure about the exact date) steam machine that was released and failed. It took a long time for enough pieces to fall into place that would lead to the success of the steam deck and now the, too soon to call a success, launch of the new steam machine (2026).

The original Steam Machines were a line of pre-made PCs with SteamOS from various vendors. Valve made a reference machine, but it was never widely available. The device released today is their first product that's actually called "Steam Machine".

Also this was back before Proton. You could only play games that natively supported linux, which was hardly any back then.

Yeah there was the steam link, but that was also way before 2019, so not sure what they could be referring to.