If that's what you actually wanted then Valve could just sell them at auction and at least have the money going to the company actually making the thing instead of a useless middleman.

Moreover, that's what happens anyway. If you get one of the slots and you value the difference between what you paid and the "real" (resale) price more than you value having the console, you can still sell it. But then more of the money goes to ordinary customers rather than rewarding people who snipe with bots etc.

I would also point out that you can build a PC to run SteamOS with approximately the same specs for approximately the same price, so it's not clear who is going to be paying a significant premium over the sticker price instead of doing that if they don't get a slot.

That is precisely what Valve should do. It is unfortunate that we need scalpers, simply because companies are bizarrely unwilling to adjust their pricing based on market conditions.

> bizarrely unwilling to adjust their pricing based on market conditions.

When they do this, customers have a conniption.

This works fine for luxury goods, because the whole point is that they are expensive, thus exclusive (see: Porsche, Rolex). But for regular goods, this ends up being penny wise, pound foolish. Yeah, there's a short-term bump in revenues and profits, but it gives competition a massive attack surface, as they can pull away the most loyal customers who are angry over price gouging, and those customers are probably lost forever.

> When they do this, customers have a conniption.

In general customers don't actually care. They want the product and are equally annoyed by it selling out before they can get one and it selling for a price they can't afford, both caused by the company not having enough supply to meet current demand.

The actual reason companies don't like scalpers in contexts like this has to do with why Valve is making a console to begin with. Is it because they want to compete with Dell and HP in the market for gaming PCs? No, it's because they want to compete with Microsoft and Sony in the market for distributing games. Which in turn means they want their device to have an attractive price so that more people get one instead of getting a competitor's console. Their expected profit is primarily from selling games rather than hardware.

Selling the initial batch for a higher price is bad for that, because who is going to pay the higher initial price? Their most dedicated customers, who would have bought one from the next batch anyway if they don't get one of these. The ones who would only pay the intended sticker price are the ones who would buy the competitor's console instead of theirs if they had to pay more, and those are the customers they most want to get one immediately before the competition gets their money first.

> In general customers don't actually care.

We'll have to agree to disagree here because in my little bubble people are livid and have been swearing off things due to perceived price gouging. For me it was cereal. I like it but manufactures trying to squeeze $12 a box for it put me off enough that I just don't go down that aisle anymore. Now I eat granola.

I will note that raising the price on something you already produce and have a healthy supply of is quite different from a high introductory price on a new product you can't make enough of.

It's not that bizarre. Not everyone is trying to optimize for maximum profit. Some creators or companies want to build a community by increasing the consumer surplus received by their buyers. They are willing to trade profit for that. Scalpers slip into the middle, take the surplus for themselves, and prevent the community building or other social goods that the seller is trying to create.

Valve is where they are at because Gabe knows he is rich enough and doesn't need to squeeze every penny out of their customers' pocket, nor is there any investors making him do so. Maximizing the price of the steam machine which is already going way above the anticipated price due to component prices skyrocketing will be perceived as a giant fuck you move and burn years of goodwill, erasing a major competitive advantage valve holds over other game storefronts.

The outcome is that only people with the means to pay a lot get a product, so the optics are extremely bad. The optics are much better with a lottery system, as it trades wealth disparity determination for a dumb luck determination.

I don't think we "need" scalpers though, but they are a fundamental part of markets, and arise when you are trying to break the natural flow of markets. Scalpers are the markets punishment for trying to have your cake and eat it too.

Nobody "needs" a scalper.

We do not, in fact, "need scalpers". They don't provide value to anyone except themselves.

[deleted]