Steam Machines, time for semiconductor manufacturers to step up.

10 years ago the PC environment drastically changed, with Microsoft’s Xbox 360 blurring the lines between PC and console gamer. This PC spec white case began chipping away at the dedication of the modder/upgrader and many started abandoning their yearly bank foray for a new graphics card/system in favour of the latest FPS or RPG; chip manufacturers began pressing panic buttons.

The next decade would see FPS and voice chat, the mainstay of PC gaming, shared, and while resolution was still a concern the then next generation made PC feel gaming accessible, sin keyboard and mouse. Fortune favoured Microsoft as televisions were going from frumpy corner pieces to sleek visual masterpieces, the Xbox 360 and the PS3 supported these advancements seamlessly especially in the case of video streaming where they even beat the SMART tv’s to the punch. Steam sat happily picking up the majority of PC gamers but users started looking for ways to be part of that ‘all in one’ living room experience.

Perhaps a little late Valve saw that changing landscape and the steam client began evolving, see Steam Big Picture, however Valve were constrained, not by user access but by software integration and while Steam client was keeping players, active or not, users started moving to consoles as a living room device. I personally stopped buying PC parts and instead spent my graphics card and RAM money on modding a white Xbox 360 to match the Xbox 360 Elite specs, £136, bargain.

For myself and others the writing was on the wall for PC gaming and while I often looked at making myself a neat living room/gaming PC I knew the cost would be horrific, especially with the slow development of small form factor power supplies and quality graphics cards.

In 2013 PC gamers still desperate for a Half Life 3 were treated by Valve, not with Half Life 3 but in the way of a PC ‘console’ named the Steam Machine. Hype was built, modders questioned the feasibility and rumours circled but in an untypical manner Valve blinked, perhaps correctly, and instead gave manufacturers and players time to digest their ambitions; they also went back to make sure their controller was perfect.

2013 also saw the next generation of consoles arrive with a bang but both whimpered when customers realised that many titles lacked that spectacular edge, to date some great titles exist but only a few are face slappingly good and many exciting titles are rehashes, for example I can’t wait for Borderlands.

24 months on and Valve have returned, just in time for a Netflix 4k debate and their return wasn’t with a couple of hardware solutions but amid 15 different Steam Machines. The Steam Machine isn’t a console but an opportunity for manufacturers to invade the living room with a powerful gaming machine. The Steam Machine doesn’t have to be your ‘console’ living room option, it can still be your own PC but with Steam OS, a linux based operating system powering it, and if loud fans aren’t your thing Valves Steam Link can stream your pictures to your TV, no long HDMI cables here. Rather than being a PC with gaming potential it’s a gaming machine with PC potential, especially thanks to the open source opportunities which may be influenced by ‘apps’ and ‘tiles’ currently being pushed by Microsoft.

Valve has announced they’re not intending to compete with the console market, even if they have a slick pad and streaming box but where they once lost regular players to consoles they might have found a way to win them back, especially with 4k a lonely technology.
There is however one roadblock to Valves momentum, semiconductor manufacturers. AMD are a classic example of the plight of these manufactures, even if they are back from the dead due to being a key component in delivering the Xbox One and PS4 they are still not the force they once were, and while Intel have reinvented themselves more times than David Cameron they’ve diversified to the mobile market in order to survive.
In reality both companies are struggling to reach the audience they once had with the bastion of their fortunes, PC’s.

On the surface it seems Intel and AMD are back on the way up, 2014 profits would suggest so, but as other chip makers dominate their other markets, streaming gaming continues to push for a TV native platform and high resolution starts to drive as a dominant factor, the PS4 guys definitely think so, Intel and AMD might struggle to unearth sustainable profit without a reinvention of their intentions.

Valve must hope that AMD, Intel and Nvidia are aware of this potential revenue stream, concurrently they could change the landscape of gaming completely but it will take a concerted effort of 

innovation and belief to draw people back to PC’s as well as offer something akin to PC gaming pre 2008. On both sides the organisations need to work together, Steam OS is built on linux and will require a strong amount of hard and software support as well as game development (porting has become a lot simpler) but the largest contributing factor will be components where power must be retained and size and heat reduced; quite the task.

Motherboards suited to small form factor exist, namely microATX and mini-ITX, but where microATX lacks case options ITX lacks real power. Both forms struggle to attract high quality motherboards and graphics cards and while RAM is cheap every other component is either expensive or slow to match higher end and thus larger devices.

The financial difference between building a Steam Machine and buying a console is still great, cost wise a decent box is £100+ more expensive and that’s just decent, but the chances of getting something size comparable is slim to none. It’s great so many companies are backing Valve by making Steam Machines that look like consoles but these machines need to keep up with development and allow upgrades when the time is right, this is where manufacturers need to realise the potential and show maturity by putting the consumer first.

In my opinion the motherboard is crucial, upgrading the CPU shouldn't require you to change the whole system, graphics cards should be more and more relevant so that a graphics upgrade gives the most benefit and cases need to reflect the consumer desire for smaller components and desire to upgrade. Intel, Nvidia and AMD have a great opportunity to take the mantle and carve a new revenue stream but they need to have continual two way conversations with Valve to make sure that hardware changes meet Valve’s ability to continue supporting upgrades  for at least a 4 year period, new gen not next gen.

Console gaming is the dominant force, that’s without doubt, but if you’re someone who once revelled in your TV’s best features finding a platform for gaming you might be looking at your black boxes with the concern that you've bought last year’s next gen.

In my opinion we will not see the Steam Machines potential until November 2016, by then we should see the first batch of upgrade questions answered, hardware manufactures showing their  hand, gain a clearer understanding of a linux OS for gaming and perhaps get some hype in the way of Half Life 3 or some other Valve hardware addition.

The future for gaming could be varied and innovative, especially on an open source platform, but without a team effort and intelligent foresight the 15 companies sticking their neck on the line will suffer, they’ve gambled and we’ll soon find out whether Valve will blink again.