this post was submitted on 15 Nov 2025
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Can everyone please stop claiming and speculating that Valve's new hardware will be loss leaders? If you watch LTT and Gamers Nexus's first videos on the announcement, they actually spoke with Valve's engineers. And the Valve representatives already said that the new hardware WILL NOT BE LOSS LEADERS.

There isn't even evidence that the Steam Deck was a loss leader. All GabeN said was that the lowest cost launch model was priced "painfully", which doesn't necessarily mean it was sold at a loss, it could easily have been sold at a very tight margin.

And no, low margins does not meet the definition of a loss leader. A loss leader is a product sold below cost, in that every unit sold actually costs the seller money.

I get the desire to speculate on new hardware. It's fun and it helps pass the time until we hear more info from Valve. But there's limits to what is reasonable. Valve has already stated that the new hardware won't be loss leaders, so hoping and/or claiming they are isn't reasonable.

Sorry for the rant, but all of the comments that seem to have only skimmed headlines are quickly getting to me

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[–] HeyJoe@lemmy.world 6 points 1 day ago (1 children)

On the one hand, i get it. It will be for enthusiasts only if that's the case. On the other hand, I feel like for the amount of profit this company brings in, I am a little shocked that they don't even try to cut the price back a bit to sell more. I guess whats the point when you don't even have to do this at all and it sounds like the entire project is just a fun way to spend some time seeing what you can come up with and sharing that with the people that can afford to buy cool things.

[–] mnemonicmonkeys@sh.itjust.works 3 points 22 hours ago (1 children)

On the one hand, i get it. It will be for enthusiasts only if that's the case.

Note that I haven't said anything about what the price will be, just that Valve has stated that it won't be a loss leader.

I've seen rumors that the Bill Of Materials plus Valve's usual overhead would still result in a system valued at $500, though I haven't seen the source and am very skeptical of it.

On the other side, XBox is allegedly targeting $1200 on their standardized custom gaming PC, which I doubt would be worth the price, especially with it running Windows.

[–] HeyJoe@lemmy.world 3 points 18 hours ago

Oh, I agree. My price is just speculation. Also, Xbox is done. They had a handful of exclusives this year that, as far as I saw, were nothing to sell systems over, and from the looks of it, only Fable is set for next year. As soon as I saw them jump ship with a console and finally share their best games like gears of war, I knew it would only be a matter of time.

That handheld is also windows only and to late to the party, and your right they just went full pc only at a price nobody will pay when you can probably get your own pc that will have little difference. They will be with Sega soon enough and probably use the companies they purchased to continue creating games for everyone else and maybe just focus on the windows store for semi exclusivity after the pc thing fizzles out.

[–] FreeBooteR69@lemmy.ca 5 points 1 day ago (1 children)

Yeah they said they are pricing the Steam Machine at PC market prices, but they do having to contend with reality. There are consoles on the market that are more powerful at a lower price point, it will dampen their sales for sure. I mean most pcgamers probably have more powerful hardware already, what is the incentive? Sure small form factor, but is it worth a premium price to the average pcgamer? Console peasants will turn their noses up at it, so who are they marketing to?

I can see the Steam Frames selling better due to it being a fully untethered VRPC headset that can play more than just VR games. Not to mention you can stream from a more powerful PC to the frames making the battery last much longer and better gfx fidelity.

The Steam Controller has to contend with a flooded market of users used to using one type of controller, so a little bit of an uphill battle there too.

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[–] tal@lemmy.today 5 points 1 day ago* (last edited 1 day ago) (1 children)

I actually think that, while it's maybe a fun topic for idle conversation...it doesn't have a huge impact in the way traditional console pricing normally does.

With a traditional console, what the console vendor chooses to do on hardware is what you get. Maybe, as with Microsoft on the Xbox Series X/Series S, you get a high and low end model, but that's as much choice as you get. All the games are made for that hardware, and whether the platform lives and dies depends on it.

But...that's not really true of the Steam Machine. It's just another PC, albeit preconfigured for Steam and HTPC-oriented. If you want to get a lower-end PC or a higher-end PC, you have the option of getting one and plugging it into a TV and running the same games on it and save some money or with a bit more visual bling. The games for PCs are already more or less written to scale up and down with hardware.

And it's not like Valve's platform is gonna live or die based on the Steam Machine the way a traditional console generation is, where success of a hardware console is high-stakes for the manufacturer and the players in successfully getting a game library going. I'd guess that it might help Valve make strategic inroads into gaming in the living room. But even if it completely bombs, Valve is gonna keep right on selling games to people to run on PCs (and the Deck) and their huge game library isn't going anywhere.

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[–] rafoix@lemmy.zip 4 points 1 day ago (9 children)

I wonder if GPU/motherboard manufacturers are not leaving money on the table by not selling an all-in-one gaming motherboard like the one in the Steam Machine.

Built-in GPU and VRAM with the CPU, RAM and cooling optional.

[–] mnemonicmonkeys@sh.itjust.works 4 points 22 hours ago

Built-in GPU and VRAM with the CPU, RAM and cooling optional.

I don't think that'd be a wise idea. After watching Valve interviews, it's clear that they designed the entire system around a specific max TDP. Apparently they figured out the TDP, picked a fan to move it, then designed the rest of the cooling system based on that.

If you start swapping out different CPU's that'll change the TDP and very quickly become a problem. Plus, the CPU is soldered to the board. Having a socket to allow for swapping would require a redesign of the cooling to account for the increased height

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[–] colonthree@lemmy.blahaj.zone 3 points 14 hours ago

Im not gonna make any statements but I think this video might have some credibility. It comes from the person who gave the early heads up for the steam hardware launch :3

https://youtu.be/sJI3qTb2ze8

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