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Valve has made the Steam Deck much more expensive, and that is a worrying signal for anyone waiting on the upcoming Steam Machine.
The 512GB Steam Deck OLED now costs $789, rising from its previous $549 price, while the 1TB OLED model has moved from $649 to $949. Valve has linked the increase to higher memory and storage costs, which are being driven by the ongoing AI boom. Now, a well-known Valve leaker has shared a disappointing update for gamers waiting for the Steam Machine.
Why the Steam Machine price may be difficult
In a recent tweet on X, leaker Brad Lynch said that he had heard a Steam Machine price estimate around two months ago. He did not share a number, but suggested it would be higher than Steam Deck pricing.
If the report is accurate, the Steam Machine could easily cross the $1,000 mark. Some online rumors suggest it may even land around $1,200 or higher. At that level, Valve’s compact Linux-based gaming box would face a tough comparison. Sony’s PS5 costs $649.99 in the U.S., while the PS5 Pro is priced at $899.99. If the Steam Machine ends up above both, SteamOS and access to Steam’s massive PC game library may not be enough on their own to win over buyers.
Can Valve afford to subsidize it?
The problem for Valve is that console buyers are used to aggressively priced hardware. Sony and Microsoft can sell consoles at thinner margins, or even at a loss, because the real money comes later through game sales, accessories, and subscription fees. That cheaper entry point into the ecosystem is a major reason consoles have worked so well.
Valve is entering this race at possibly the worst time. Memory and storage costs are rising, and even massive console brands are struggling to keep hardware prices steady. Sony recently raised prices across the PS5 lineup, including the PS5 Pro, which launched for $699.99 in November 2024, but now costs $899.99.
Valve does have one big advantage through Steam’s massive game library, but it does not have a PlayStation Plus or Game Pass-style subscription model to fall back on. Unless it is willing to absorb some of the Steam Machine’s hardware cost, the device may struggle to win over mainstream console buyers. A $1,000-plus Steam box could still appeal to PC enthusiasts, but it may be a much harder sell for gamers comparing it directly with a PS5 or PS5 Pro.
