Though Valve produced 300 steam Machines for testing purposes, the company will not be rolling out its own small form-factor PC as a retail product. Instead, it’s leaving that the bevy of third-party hardware manufacturers that have signed on to support Valve’s conquest of the living room. Those manufacturers are a little concerned, worrying that they may be throwing money at something that wont see them returns.
“It’s going to be very challenging,” Alienware general manager Frank Azor told the Wall Street Journal. “This will absolutely be the least profitable system we ever sell.”
The reason for that is that the manufacturers will have to price them against consoles, which means releasing decently specced PC’s for not very much more than $500. that in itself is possible, but take in to account the fact that these manufacturers will make no royalties off of the games sold on Steam – where Microsoft, Nintendo and Sony make some money on every single copy of a game sold on their platform. Plus, they’ll be releasing a new one every year to compensate for the lack of roust upgrade options.
Tuan Nguyen, director at one of Valve’s Steam Machine partners, iBuyPower, is worried that fragmentation in the Steam Machine arena will lead to a situation similar to the one we see in Android.
“It’s like the Android phone marketplace,” he noted. “You have phones all over the place with wild specs and pricing.”
So why then, are these people, who’re worried that they’re potentially going to lose money keen on jumping in on this Steam Machine business? Basically, because it’s Valve, and there’s a perception that everything they touch turns to gold.
“If anyone can do this,” says Kelt Reeves, president of Falcon Northwest Computer Systems Inc,“ Valve can do it.”
Honestly though, I think Steam Machines are destined for failure. I’m still not sure who they’re targeted at. the concept is neat, but Pc enthusiasts are already well aware that PC functions perfectly fine in a living room, and the sort of people who want consoles and the simplicity they promise (but often fail to deliver) will buy consoles. and the bargain hunters? The people who’re turning to PC games because they’re cheaper? They’re not going to spend a premium on what’s little more than a PC in a little box.
The mainstream won’t want a Steam-focused box either; not only is it missing all of the games that don’t work in it’s Linux-based SteamOS, but it’s missing all of those EA sports games that people buy in droves every year. Tell us! Are you tempted by the allure of the Steam Machine, or does it make you scratch your head as well?
Last Updated: May 20, 2014
InsanityFlea
May 20, 2014 at 12:34
I don’t need a steam machine. Steam Home Streaming FTW.
Admiral Chief in Space
May 20, 2014 at 12:37
^This
InsanityFlea
May 20, 2014 at 12:48
larajon
May 20, 2014 at 15:23
$97/hr pavivdv by Google, I am making a good salary from home $5500-$7000/week , which is amazing, under a year ago I was jobless in a horrible economy. I thank God every day I was blessed with these instructions and now it’s my duty to pay it forward and share it with Everyone, Here is I started,,,
slamwork.COM
Skyblue
May 21, 2014 at 14:14
Yeah it works very well. Installing a laptop in my lounge specifically for Steam streaming and XBMC. Very cool.
Admiral Chief in Space
May 20, 2014 at 12:38
I already have a “Steam machine”
DarthZA
May 20, 2014 at 12:41
Yeah, my “Steam machine” works just fine as well.
Umar_Zero
May 20, 2014 at 12:42
I’ve got Steam on my machine…does that count?
Kensei Seraph
May 20, 2014 at 12:48
I’ve been meaning to say this but nice pic and now nice background.
Umar_Zero
May 20, 2014 at 12:50
Thanx 😉 you gonna buy the game too lol ??
Kensei Seraph
May 20, 2014 at 12:51
eventually, I need to earn more first.
Umar_Zero
May 20, 2014 at 12:55
LOL DEM feels……I feel it
Kensei Seraph
May 20, 2014 at 12:55
As it is I might have to push getting Child of Light to next month.
Umar_Zero
May 20, 2014 at 12:56
Damn man. Are you on PSN?
Kensei Seraph
May 20, 2014 at 13:02
Yeah, but I’m not even sure what my PSN name is and I don’t have PS+.
Umar_Zero
May 20, 2014 at 13:03
I see, was gonna say we can even halfsies. You seem like a trustworthy guy, from what I know, based SOLEY off your LG persona lol
Kensei Seraph
May 20, 2014 at 13:04
Lol.
I’m going to try get the Deluxe Edition for PC.
Umar_Zero
May 20, 2014 at 13:05
That comes with all the goodies?
Kensei Seraph
May 20, 2014 at 13:27
Yes.
(refresh for image of all the goodies)
Umar_Zero
May 20, 2014 at 13:28
Dat dragon Quest key ring lol, but damn man, worth it for art book alone
ElimiNathan
May 20, 2014 at 15:06
Just bought the PS4 version, looking forward to getting home and playing
RinceofFuturePast
May 20, 2014 at 12:50
I think she’s got something in her eye though. Not going to be very good at fighting if she has to worry about hayfever too?
Admiral Chief in Space
May 20, 2014 at 12:52
Eish, dat cluttered desktop, and the taskbar……oh well, it explains a bit about you though 😛
Alien Emperor Trevor
May 20, 2014 at 12:53
lol
Kensei Seraph
May 20, 2014 at 12:54
Wow there’s some really random stuff there.
Admiral Chief in Space
May 20, 2014 at 12:56
Well, PuTTy is there, so can’t be all bad though?
Umar_Zero
May 20, 2014 at 12:54
Hehehe, ain’t it a beauty to look at? All dat icons
Admiral Chief in Space
May 20, 2014 at 12:57
There are exactly 0 icons on my desktop
Umar_Zero
May 20, 2014 at 12:57
Well then you’re not living life to the fullest
Admiral Chief in Space
May 20, 2014 at 12:59
Words cannot explain how much I disagree with you on that one 😛
Umar_Zero
May 20, 2014 at 13:02
LOL I used to be like you, all starry-eyed, thinking the world is mine for the taking. A clear desktop is what I used to live for….Till I took an arrow to laziness and started to not give a flip anymore…
Admiral Chief in Space
May 20, 2014 at 13:03
Oh no mine is hidden by default, desktop is for Steam, nothing else 😛
Umar_Zero
May 20, 2014 at 13:06
Such a PC guy you are lol
Kensei Seraph
May 20, 2014 at 13:04
At least keep the important parts of your background clear.
You have stuff covering parts of the blade and cloak.
Umar_Zero
May 20, 2014 at 13:06
I used to do that!!! lol move them around as to not cover up the good bits…
Alien Emperor Trevor
May 20, 2014 at 13:07
Your desktop is a reverse-ION?
Umar_Zero
May 20, 2014 at 13:08
You not turned on by that flower in her eye?
Alien Emperor Trevor
May 20, 2014 at 13:10
I kinda like the woman’s eye on the Watch Dogs sidebar ad.
guest
May 20, 2014 at 14:25
My friend, let me introduce you to Launchy.
Less click-click, more tap-tap 😉
http://www.launchy.net/
Mossel
May 20, 2014 at 13:36
You cant have zero unless you set it so that icons do not show on the background. Recycle bin can’t be moved or deleted. Unless I am mistaken.
Kensei Seraph
May 20, 2014 at 13:47
It can be moved and can be hidden.
Mossel
May 20, 2014 at 13:52
I know about hiding it, never really tried moving it. Now I can finally clear my desktop and cure my OCD!
Admiral Chief in Space
May 20, 2014 at 13:48
Hide all the shit
RinceofFuturePast
May 20, 2014 at 13:04
lol
Mossel
May 20, 2014 at 13:34
LOL! Thought the same thing. I have one icon on my desktop: recycle bin. And the taskbar is where it should be.
guest
May 20, 2014 at 14:27
What madness is this?!
What kind of a sick, crazy person puts their taskbar on top?! 😉
Alien Emperor Trevor
May 20, 2014 at 12:43
It’s a pointless waste of time.
Admiral Chief in Space
May 20, 2014 at 12:52
Indeed, like having your asshole where your elbow is, it just won’t work
Kensei Seraph
May 20, 2014 at 12:47
Oh I’m tempted, but my PC will always come first.
RinceofFuturePast
May 20, 2014 at 12:49
Also not really sure who these are targeted at. Nice idea, but in practical they are pretty redundant aren’t they?
Alien Emperor Trevor
May 20, 2014 at 12:58
It was a good idea to release a “standardised” PC… then they released 1,000 different ones. *sigh*
RinceofFuturePast
May 20, 2014 at 13:00
Really confused. I thought a standardised PC was called a Console? 🙂
Alien Emperor Trevor
May 20, 2014 at 13:01
Close, it’s a lobotomised PC.
MakeItLegal
May 20, 2014 at 13:16
i am not sure “who” is gana buy this , neat idea , but “target market “?
Jedi JJ
May 20, 2014 at 13:21
I’m a big Steam fan, but the Steam Machine doesn’t have a place in the market.
Viking Of Science
May 20, 2014 at 13:25
I hope I can buy JUST a Steam controller thing, that looks interesting…..
Jedi JJ
May 20, 2014 at 13:31
It does. I must agree.
Admiral Chief in Space
May 20, 2014 at 13:49
Agreed!
Kromas
May 20, 2014 at 14:09
And that is the crux of it.
Kromas
May 20, 2014 at 14:10
PC+Steam OS = Steam machine. I already have a server ready for its conversion.
HisDivineOrder
May 20, 2014 at 15:57
I think the first Steam Machines are just that… the first ones. I think if you look at Steam’s history, if they can get past the first iteration of something and continue to iterate on it, they eventually iterate their way to success.
The problem is I doubt that most of these companies building out full-on PC’s as Steam Machines are going to go past the first generation.
I think the real Steam Machine most of us care about is the one that’s more Chromecast or AppleTV. Maybe a cheaper version of a NUC or BRIX. But not at all a full-on desktop based on ITX.
I think the real Steam Machine people who already love Steam are going to want is the Steam Streamer. That’d be a real game changer. You have one gaming PC with as much muscle as possible. Then you litter your house with cheapo streamers that stream over gigabit or perhaps really high speed, low latency wireless if you’re able.
That way you get to focus all your hardware on one computer and let the cheapo devices work for 1080p and 720p TV’s you have all over the rest of the house. Toss in some USB connections to add controllers and/or keyboard/mice combos…
That’s the future of the Steam Machine. I just don’t see the current rendition of the Steam Machine as a smaller computer like the ones we build except for more money and virtually no profit to the OEM’s building them as the future. I see that as proof of concept for Valve until such time as they can get around to having the cheaper devices built.
I also expect in the future Valve will realize they don’t have to reinvent the wheel when they can just go full-on Netflix/Plex-like and build their service into devices like Roku or HDTV’s from the get-go. Then all they have to do is find a way to get access to the USB ports on said devices.
Hell, Roku would probably welcome the thing with a special gaming model of Roku that includes the USB ports to bump up the cost of a higher end unit.