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“There is this persistent assumption that piracy is driven by people wanting to steal content for free,” he explained. “But when you observe that these same individuals are investing thousands in high-end PCs and paying premium monthly rates for fast internet, it becomes obvious that they are more than willing to spend money.”
While the $2,000 PC Newell mentioned in 2009 might only buy a single flagship GPU in today’s 2026 economy, his logic regarding service quality is timeless. He highlighted Russia as a prime example, dismissing the then-common belief that the region was a lost cause due to rampant piracy. Newell argued that Russian pirates were simply more efficient at distribution than official channels. By providing localized, simultaneous releases that matched the quality and accessibility of the “pirated” versions, Valve saw piracy rates plummet as users shifted to the superior official service.
“If I wanted a game but had to wait six months for a localized version, I’d turn to a pirate because there was no other viable way to get it,” Newell hypothesized. Once Valve eliminated those distributional hurdles, the “piracy problem” essentially vanished.
(Image credit: Valve) Ultimately, Newell views competition with piracy as a challenge to provide the best possible user experience. This “on your terms” philosophy is the bedrock of Steam’s ubiquity. Whether it’s cross-device access, seamless reinstallation, or travel-friendly play, Valve focuses on convenience. In an era of fractured launchers and restrictive licensing, Newell’s 2009 stance feels like a blueprint for modern survival.
While Steam is not above criticism, its role as a one-stop gaming hub—and the success of hardware like the Steam Deck—proves that when companies prioritize the player, piracy becomes an afterthought. As Newell himself puts it, focus on the customer, and the rest follows.
In a humorous side note, despite being a billionaire industry leader, Gabe Newell still dives into Dota 2 daily, admitting that people “talk s***” at him and call him a “noob,” which he views as a testament to the community’s intense passion.
Source: gamesradar.com
