It will not be a traditional console, just a small rebranded oem pc where you'll be able to play your Steam library, Valve is too small to provide it with exclusives.

Isn't Valve one of the wealthiest game developers, seeing as Steam seems to be making boatloads of cash? I know they don't disclose their numbers, but I'd wager they have more than a pretty penny to invest in the hardware. Valve may not have the deep pockets of the big three, but they have do have a great cash flow from what I've heard, great consumer support for Steam, and a huge and incredibly loyal fanbase. I believe that Valve will be just fine.

Valve will most likely handle their hardware like Google deals with Nexus devices. Come up with specifications they want and seek an outside vendor who bids to build the hardware.

Seems to be the most reasonable option^^

Valve just managed to be the first big company to make user acceptable DRM, and turned that feature into a storefront for all PC games. Their entire first party lineup is just their renditions of user made Half-Life mods and Portal. They have Dota as well now, which is clearly their most popular game, but mobas don't work on consoles.

Personally, I'm a huge fan of Left 4 Dead, Portal, and Steam but I still don't see the steambox being very successful. I'm certainly not interested in it. All of their games play better with a keyboard and mouse and other than Left 4 Dead none have been particularly successful on consoles.

The free Steam online service has a total of 40mil. Certainly an impressive figure, but again this is a free service. Personally I don't think a lot of their fanbase is even interested in a steambox. I think Steam's fanbase is mostly westerners with decent gaming PCs and Russians/Asians whos computers can't handle anything more than Counter Strike 1.6 or Dota 2. Why exactly will either base be interested in the steambox.

The only way they will succeed is if they create a unique features that the mass audience falls in love with like the wii managed to do.

It's not just hardware that's hard. Software support is hard just as much.

I'd understand Steambox if they were selling a Windows based mini consoles but since they are doing Linux, I am not sure how they will get non Valve game support.

Notice how all of the new gadgets at CES are plugging in to existing ecosystems (Windows or Android). No one out there is foolish enough to create a new platform. Valve seems to be trying...

No shit. of course its hard. Look at the ps3 for example Sony lost 5 billion on that EPIC console. i don't think VALVe has that kinda money.

HL3 steambox exclusive!

Harrison is certainly not wrong. Sony, Microsoft and Nintendo are big boys in the ring. You've got a swarm of tablets that are starting to look more like computers and each of those companies would slash each other's throats to raise their stock a few points. The Ouya is going to come out and even Amazon wants a piece of them to try and get an exclusive.

Basically, it's not an empty market and you need a pretty damned amazing product with a pretty impressive network of production with a LOT of capital to get into this.

Last estimate of Valve's net worth was between 5 and 6 billion as a company. Even with Sony's financial trouble, their market cap is still double that with large amounts of assets they still possess. MIcrosoft's is $224 billion. Hardware seriously can make or break a company.

Valve is going to need luck if they're honestly serious about competing.

Phil Harrison is with Microsoft?

Hahahahaha!