Piscatella is sure that the Steam Machine will immediately sell out at launch, even at a $1,000+ price point. "But the question is the available quantity, which I expect will be very limited." He expects it will remain tough to find a Steam Machine for some time. Van Dreunen thinks Valve's console will find its enthusiast core, "but it won't move console volumes at this number, and Valve can live with that," he says. "The Machine has always been a funnel into Steam, not a profit centre. More broadly, console and PC gaming are increasingly becoming a luxury category, catering to a shrinking set
"This is going to be a niche device" – Analysts react to the $1,000+ Steam Machine price revealIn terms of what the Steam Machine's price point tells us about the evolution of the games market more generally, van Dreunen thinks we're seeing a changing of the guard. "Firms that overextended in the wake of the pandemic, buying studios and chasing scale, will now pay the price," he says. "Hardware isn't getting cheaper, so the cost of entry has to come down some other way, through distribution and business-model innovation rather than cheaper boxes, but not every firm is capable of making that transition. "I predict a flourishing of small and mid-sized developers in the period ahead, preci
"This is going to be a niche device" – Analysts react to the $1,000+ Steam Machine price reveal
… The console is available either standalone or with a bundle including a Steam controller, with the localised prices as below: Bundle USD GBP EUR CAD AUD PLN Steam Machine 515GB $1,049 £879 €1,039 C$1,509 A$1,609 zł4,389 Steam Machine 515GB + Steam Controller $1,128 £938 €1,108 C$1,628 A$1,728 zł4,6… …
… Valve's hardware has historically carried thin margins, with the business resting on Steam software and service revenue." Harding-Rolls, by contrast, was a little taken aback to see the Steam Machine cross that significant $1,000 threshold. …
… That's not sustainable in the long term; even if RAM prices come back down to earth in a year or two, the rest of the PC hardware market will have been brutally hollowed out by that point – and with it will go all hardware-driven growth in the PC games market. …
… The company also delayed launching upcoming hardware due to supply issues. Valve launched the Steam Controller on May 4, after announcing it alongside the Steam Machine and Frame last year . Valve is the latest hardware maker affected by ongoing component shortages. …
… Hardware opens up markets Valve doesn't currently reach: the Steam Deck pitches to potential Switch buyers, the Steam Machine to potential PS5 buyers, the Steam Frame to potential Meta Quest customers. Each device is trying to funnel a different kind of non-PC gamer into the Steam ecosystem. …
… I expect further consolidation of the hardware landscape: Microsoft continuing to exit hardware, Sony leaning more heavily on third-party manufacturing, and potentially new entrants like Valve having to rethink their pricing strategies." Harding Rolls adds: "I’m expecting storage and memory prices … …
… If it launches without Steam, it risks being stillborn – particularly at the price point implied by its hardware ambitions and positioning. …
… "If the rise in memory prices continues for longer than expected, it may start to have an effect on hardware profitability. …
… "If the rise in memory prices continues for longer than expected, it may start to have an effect on hardware profitability. …
… As Valve pauses the rollout of its Steam Machine lineup and Xbox announces a new seemingly high-spec console , many are wondering how much these new devices will cost, as component prices reach ever-wilder highs. …
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