Valve Steambox could outpower XB1 and PS4, according to CGM

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Kasz216 said:

....ehhh

While Valve isn't as big, they're sitting on a lot more profit than Sony is.  They could afford a loss leading console a lot easier.

Plus they would have an amazing credit rating.
Additionally, they are a private company, so they don't have shareholders who constantly bark for ever increasing profit margins, which is also why they can get away with those rediculous sales which even cuts into their own profit margins.
That and they don't even have to pay for all the bandwidth that people use when downloading steam content, internet providers around the world host Steam content on dedicated servers near their content delivery networks which reduces costs for all parties. (It's cheaper to grab something next to a network rather than across a country or the planet!)

adriane23 said:

To summarize, it will be a pointless add-on that makes little to no sense to purchase save for an extremely niche audience. I'll need to look into Steam Box deeper, but it sounds like a terrible venture.

Possibly, but you aren't looking at the big picture.
Imagine playing AAA games on a computer that only costs $20-$50 at full 1080P, even games from this coming next generation of consoles.
If Valve ports the SteamOS to a device like the Raspberry PI it would be a game changer, you could essentially have the power of a high-end PC in every single room of your home for just $20-$50.
Would it catch on and become popular? Well. I too have my doubts, but stranger things have happened! I personally look forward to this and retiring ALL my PC's except my main machine which will do everything.

So in the end, the Steambox has the potential to have more power than the Xbox One and Playstation 4 combined if you so wanted. :)