Valve delays Steam Machine and Steam Frame as memory prices surge

[Daniel Sims]

The big picture: Pricing has been the most critical unanswered question surrounding Valve's upcoming mini-PC and VR headset, the Steam Machine and Steam Frame. Concern has only grown since memory shortages have driven up the prices of numerous devices in recent weeks. With no end to the crisis in sight, Valve has finally admitted that the situation is complicating its roadmap.

In its first hardware-related blog post since announcing the Steam Machine, Steam Frame, and Steam Controller 2 in November, Valve confirmed that it has internally delayed the upcoming devices. The three products were set to debut sometime before the end of March, but Valve and its hardware partner, AMD, recently extended the window to the first half of 2026.

As many observers feared, shifting memory costs, which have skyrocketed, are the primary cause. Over the past several weeks, DRAM and NAND manufacturers have diverted their production capacity toward AI data centers to satisfy the generative AI industry's expanding demand for silicon, causing prices for RAM and digital storage to increase drastically and pushing hardware manufacturers to raise prices.

The Steam Machine's pricing has been a point of concern since Valve unveiled the Linux gaming PC. Although its performance roughly resembles that of the standard-model PlayStation 5, Valve has indicated that its price will instead reflect that of equivalent PCs, suggesting it might be hundreds of dollars more expensive than Sony's console.

That was before demand from AI data centers inflated the cost of the RAM that Valve must source for the Steam Machine. The company stated that it originally intended to reveal the prices and release dates for the Steam Machine and Steam Frame by now, but must instead revise these details.

The company also revealed several new performance and functionality details. Addressing fears about the Steam Machine's hardware specs, Valve reiterated that it achieves 60fps in 4K in the majority of Steam games with FSR. However, some may have to rely on VRR, switch to lower frame rates, and upscale from an internal resolution of 1080p. The company will attempt to optimize upscaling and ray tracing performance in its drivers.

Valve also confirmed that it is working to enable VRR through HDMI, which SteamOS and Arch Linux currently do not support. Users will be able to upgrade the Steam Machine's storage and RAM, and third-party manufacturers can design and sell alternate faceplates.

The company also answered a few questions about the Steam Frame. Users with glasses probably shouldn't worry, as bespectacled Valve employees have tested the device without issue; however, the company is considering offering prescription lens inserts. Furthermore, the VR headset's built-in internet browser should support various streaming services in theater mode, and foveated streaming will minimize wireless bandwidth usage across all software.

Moreover, Valve Index owners will continue receiving ongoing support. Although the Steam Frame will not officially support the older headset's base stations, its modular nature might eventually enable third-party accessories to that end.

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Valve delays Steam Machine and Steam Frame as memory prices surge

 

[J95qRP7]

I hope Steam eats as much margin as they can for this generation and pushes the three products for the lowest cost possible. The lowest cost Steam Machine can drive people to an "affordable" living room or entry level gaming PC on Linux. The lowest cost Frame will drive development of ARM to x86 games, as well as better VR/AR gaming experiences. The lowest cost Steam controller increases accessibility with touchpads and options for players. Valve can choose to release products at cost, releasing press material that highlights them as champions of gamers. They can also choose to "embrace" the current market and release products that have the same or similar margins as 12 months ago but are simply unattractive to most consumers in the market for this product. And let us be honest, most people that are interested in the new Steam Machine will be well aware of the current market conditions and will react accordingly, depending on how Valve plays it. I hope they release it at cost and simply use this V1* as a catalyst and growing pain. Please Valve, look to the future!

 

[Theinsanegamer]

Steam realizing that nobody wants to pay $1000+ for a PC that is beholden to a RX 7400. They need dirt cheap hardware for the thing to be viable.

 

[dangh]

With the price of mini pc's now steam machine needs to be cheaper than steam deck to make any sense.

I only want to get the steam controller though, so if that's available earlier I'm happy.

 

[kira setsu]

I hope Steam eats as much margin as they can for this generation and pushes the three products for the lowest cost possible. The lowest cost Steam Machine can drive people to an "affordable" living room or entry level gaming PC on Linux. The lowest cost Frame will drive development of ARM to x86 games, as well as better VR/AR gaming experiences. The lowest cost Steam controller increases accessibility with touchpads and options for players. Valve can choose to release products at cost, releasing press material that highlights them as champions of gamers. They can also choose to "embrace" the current market and release products that have the same or similar margins as 12 months ago but are simply unattractive to most consumers in the market for this product. And let us be honest, most people that are interested in the new Steam Machine will be well aware of the current market conditions and will react accordingly, depending on how Valve plays it. I hope they release it at cost and simply use this V1* as a catalyst and growing pain. Please Valve, look to the future!

affordability is a tricky beast, and PC gamers are a fanbase thats willing to blow cash very easily, valve knows that.

remember, 2k-3k+ gpus disappear as soon as they become available and thats just a single component, I'd bet valve prices their gear competitively but they're not gonna price them at the bottom like you want.

 

[zaku49]

affordability is a tricky beast, and PC gamers are a fanbase thats willing to blow cash very easily, valve knows that.

remember, 2k-3k+ gpus disappear as soon as they become available and thats just a single component, I'd bet valve prices their gear competitively but they're not gonna price them at the bottom like you want.

The issue is that PC gamers are not in the market for this, it's targeted at the causal console user. It just isn't worth it to them over a console. Value has tried this in the past, it didn't work, they're wasting their time. If I am going to be spending cash on a 1-2k GPU I am not going to be locking myself in into their build.

 

[ScottSoapbox]

Component pricing is going to kill this. Maybe release it as a niche product to improve the software but otherwise it’s done.

Come back in 2 years with the steam cube 2 that has a 16GB 9060 with FSR 4 and sane pricing to win the masses.

 

[Theinsanegamer]

affordability is a tricky beast, and PC gamers are a fanbase thats willing to blow cash very easily, valve knows that.

remember, 2k-3k+ gpus disappear as soon as they become available and thats just a single component, I'd bet valve prices their gear competitively but they're not gonna price them at the bottom like you want.

$2-3k on a GPU is to buy absurdly powerful GPUs. The Steam deck sells because its a portable console PC.

The steam box thing is just a mini PC, and theres far more competition at better prices there. It would make sense if they had, say, a mobile 5090 or a RX 9060xt 16GB or something useful in the box, but the 7400/7600m was a failure in every conceivable metric already. PC gamers are not going t dump $1k on one just because it has the valve logo on it.

They really should have just used the 9060xt. Its almost the exact same size.

 

[J95qRP7]

remember, 2k-3k+ gpus disappear as soon as they become available and thats just a single component, I'd bet valve prices their gear competitively but they're not gonna price them at the bottom like you want.

If you are trying to highlight the 5090 here, I believe that that simply is no longer a consumer or gamer GPU. It is a Prosumer or above / AI user. I think there is an incrediblysmall amount of people that might pay the 5090 cost. I know, because normally I would be one of the crazy, insane users. Unfortunately, the OC process and fun I got from it doesn't meet or exceed a 5090, so I got "stuck" with a 5080. I have many thoughts and I'm cognisant of the 99%, but I'm also aware that in this playground, I'm in the 1%, which makes me sad.

 

[Billybobjoey]

Hopefully they can push the controller out earlier than the other hardware then, that's what I'm really looking forward to!

 

[Kirby1]

It sounded like Valve had the wrong strategy with the steam box even before memory price issues. They don't need to sell it at a loss but it should be a very low margin product aimed at building out a more robust Linux user base to challenge windows. Instead, it was just something they wanted to cash in on which doesn't really do anything for anyone. Valve is already rich, and a PC that runs Linux games without being affordable is pointless.

 

[Theinsanegamer]

It sounded like Valve had the wrong strategy with the steam box even before memory price issues. They don't need to sell it at a loss but it should be a very low margin product aimed at building out a more robust Linux user base to challenge windows. Instead, it was just something they wanted to cash in on which doesn't really do anything for anyone. Valve is already rich, and a PC that runs Linux games without being affordable is pointless.

If they were selling it as a low margin price it would work, but at the rumored $1000, you can buy an asrock deskmeet, stick a 9600 and a 9060xt reaper, and have your own GabeCube that will blow the official one out of the water.

 

[GFitzpatrick47]

affordability is a tricky beast, and PC gamers are a fanbase thats willing to blow cash very easily, valve knows that.

remember, 2k-3k+ gpus disappear as soon as they become available and thats just a single component, I'd bet valve prices their gear competitively but they're not gonna price them at the bottom like you want.

The issue is that for people who want PC gaming...there's always a PC you can buy prebuilt.

I'm still struggling to see who the market for this is. I don't think there's a big cross section of people who want to PC game, but on a budget, yet have the money for a $1k+ Steam Machine that isn't going to be nearly as effective (or upgradeable) as simply building a PC or buying a pre-built for a comparable amount of money. Nor do I think the console gamers are looking at this as a relatively affordable entry into PC gaming, because it's not affordable at all.

I just don't see a big market for this. Why would someone who already has a gaming PC get one? Why would someone looking for cheap PC gaming get one? Why would a mostly console player get one? Especially at the price points we're talking about? At least the Steam Deck has the portability factor. The Steam Machine, at the price points it would undoubtedly start at given that Gabe has been clear about not subsidizing the hardware, is in a no-man's land between $500-$600 consoles and $1500 PCs, both of which do things better than it would do.

As someone else said, it's too expensive for a casual gamer, it's not powerful enough for a PC gamer, and it's not appealing enough for someone who plans on entering PC gaming but would want a future upgrade path.

 

[human7]

This is probably a good thing, considering. I was concerned the Steam Machine would be DOA due to pricing. Based on various articles and interviews on the pricing, I bet Valve was at least mildly concerned about that, too. The memory pressure gives them a good (even if forced) reason to pause and consider the pricing more carefully. Whether they will change the strategy when memory prices abate, who knows, but they would be wise to keep the price down, or upgrade the specs.

 

[gingerbill]

I hope Valve surprise me with the price.

 

[Subset6]

While I'm interested in Steam Frame, get the controller out there at least! It's kinda funny, since I've migrated PC gaming into the living room I've come collect controllers and enjoy playing with all kinds.
Apex 4 is my daily driver, best pad I've ever used so far, got fed up with stick drift on standard xbox pads.

 

[pcnthuziast]

There is absolutely no way this can succeed in the current market unless they sell them at a loss and they would never do that. Probably going to scrap this altogether.

 

[jbright]

Alternate faceplates, upgradeable RAM, Linux quirks, VRR coming later… this thing is absolutely for people who enjoy tinkering almost as much as gaming. Console buyers will bounce immediately, but PC nerds are already mentally justifying it.

"When it's ready"

 

[acrossthestars]

Between the use of the RX 7600M chip allegedly to be in this device and the fact that AMD flat out doesn't support the RX 7000 series for FSR4―which means all of the alleged "upscaling benefits" Valve expected AMD to tender are simply not going to materialize―I think the reality is clear but uncomfortable: they should cancel it.

 

[jorginho]

Hopefully they can push the controller out earlier than the other hardware then, that's what I'm really looking forward to!

I also want the controller! And the VR Frame if pricing is right.

 

[LordVile95]

I hope Steam eats as much margin as they can for this generation and pushes the three products for the lowest cost possible. The lowest cost Steam Machine can drive people to an "affordable" living room or entry level gaming PC on Linux. The lowest cost Frame will drive development of ARM to x86 games, as well as better VR/AR gaming experiences. The lowest cost Steam controller increases accessibility with touchpads and options for players. Valve can choose to release products at cost, releasing press material that highlights them as champions of gamers. They can also choose to "embrace" the current market and release products that have the same or similar margins as 12 months ago but are simply unattractive to most consumers in the market for this product. And let us be honest, most people that are interested in the new Steam Machine will be well aware of the current market conditions and will react accordingly, depending on how Valve plays it. I hope they release it at cost and simply use this V1* as a catalyst and growing pain. Please Valve, look to the future!

They’ve already said they’re not doing this. The machine needs to be console price to be viable. It’s around the same performance but has worse compatibility with the larger titles that are better played with a controller.

 

[Sighs]

affordability is a tricky beast, and PC gamers are a fanbase thats willing to blow cash very easily, valve knows that.

But are they willing to blow cash on something that may not even be that much of an upgrade? The answer is typically no, unless they're the weird people who upgrade to whatever has the biggest number even if it makes zero sense.

This makes sense for people who are quite a bit under the performance levels of the Steam Machine. Maybe you're still rocking that old 1060 or something. For the people willing to blow big money, they've already done it. I picked up a 5060 ti 16 GB over Christmas. An RX 7400 is a downgrade for me. Am I spending all of that money for worse performance? No. If it's getting an equivalent to the 7540U, that's about equivalent to the 5600X I already have. The purchase makes zero sense.

This might be attractive for people who have old hardware, the spare cash to throw at new hardware, and who haven't already bought a prebuilt. That's not a large number of people.

 

[Jyrkz]

They should double it and go ddr4

 

[LordVile95]

But are they willing to blow cash on something that may not even be that much of an upgrade? The answer is typically no, unless they're the weird people who upgrade to whatever has the biggest number even if it makes zero sense.

This makes sense for people who are quite a bit under the performance levels of the Steam Machine. Maybe you're still rocking that old 1060 or something. For the people willing to blow big money, they've already done it. I picked up a 5060 ti 16 GB over Christmas. An RX 7400 is a downgrade for me. Am I spending all of that money for worse performance? No. If it's getting an equivalent to the 7540U, that's about equivalent to the 5600X I already have. The purchase makes zero sense.

This might be attractive for people who have old hardware, the spare cash to throw at new hardware, and who haven't already bought a prebuilt. That's not a large number of people.

I’d pick one up to replace my XSX under the TV rather than the PC at my desk but not for double the cost