Analyst Predicts Next Xbox Will Be a $1,000 PC-Console Hybrid Similar to Steam Machine



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Speculation has been mounting that the next-generation Xbox will utilize a specialized version of Windows, potentially opening the door for PC storefronts like Steam. This move would be a logical step for Microsoft as it shifts toward a more platform-agnostic strategy. Xbox chief Phil Spencer has already pointed to devices like the ROG Ally as a blueprint for combining diverse gaming libraries into a single, cohesive experience.

Paradoxically, the Steam Machine faces the most significant uphill battle regarding hardware logistics. While the PS5 and Xbox Series X have stabilized their supply chains, and Nintendo appears better prepared for the Switch 2 launch, Valve is navigating a much more precarious environment. Following the massive success of the Steam Deck, Valve has recommitted to hardware, yet building a high-end living room PC during a period of component instability remains a formidable task.

The Steam Machine showcased in a modern living room setting.

(Image credit: Valve)

“Planning in a state of chaos is incredibly difficult,” Piscatella explained, citing both component shortages and the unpredictability of international tariffs. “Trying to announce a fixed price point today, given the macroeconomic climate and fluctuating interest rates, is a massive risk. Valve is likely focused on securing a reliable supply chain before they commit to a sticker price they can actually stand by.”

When asked about potential pricing, Piscatella admitted he’s glad he doesn’t have to make that call. “I could see it landing anywhere from $700 to $1,000,” he added. “Valve might even choose to subsidize some of those costs and aim for under $700 if they want to be aggressive. The real question is: where will component availability stand six months from now, and how will they manage global distribution?”

Despite these uncertainties, Piscatella views the Steam Machine as a “deeply compelling prospect,” primarily because it leverages an existing, highly loyal audience with massive digital libraries. “The ability to plug in a new device and have your entire Steam collection ready to play on day one is a huge advantage. The success of the project will ultimately hinge on Valve finding the right balance between high-end performance and a price point consumers can justify.”

Related: Why the PC gaming audience is the industry’s “brightest spot” during a period of economic uncertainty.


 

Source: gamesradar.com

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