<is billionaire <owns yatchs and subs People still wiping his ass with their noses?
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Honestly, the secret is not being a publicly traded company. All the others have to make the shareholders happy while steam just does steam. If the line doesn't have to constantly go up you can pretty much do whatever you want as long as you're still making profit. And if what you're doing is already working you don't need to add gimmicks or advertisements to milk it as much as you can just to appease the shareholders.
Being a private company has allowed Valve to take some really big swings. Steam Deck is paying off handsomely, but it came after the relative failure of the Steam Controller, Steam Link and Steam Machines. With their software business stable, they can allow themselves to take big risks on the hardware side, learn what does and doesn't work, then try again. At a publically traded company, CEO Gabe Newell probably gets forced out long before they get to the Steam Deck.
Man Intel are so dumb for firing Pat. And they did it while seeing positive reviews for their second gen GPUs!
That's just what happens to CEOs of publicly traded companies when they have a bad year. And Intel had a really bad year in 2024. I'm certainly hoping that their GPUs become serious competition for AMD and Nvidia, because consumers win when there's robust competition. I don't think Pat's ousting had anything to do with GPUs though. The vast majority of Intel's revenue comes from CPU sales and the news there was mostly bad in 2024. The Arrow Lake launch was mostly a flop, there were all sorts of revelations about overvolting and corrosion issues in Raptor Lake (13th and 14th gen Intel Core) CPUs, broadly speaking Intel is getting spanked by AMD in the enthusiast market and AMD has also just recently taken the lead in datacenter CPU sales. Intel maintains a strong lead in corporate desktop and laptop sales, but the overall trend for their CPU business is quite negative.
One of Intel's historical strength was their vertical integration, they designed and manufactured the CPUs. However Intel lost the tech lead to TSMC quite a while ago. One of Pat's big early announcements was "IDM 2.0" ("Integrated Device Manufacturing 2.0"), which was supposed to address those problems and beef up Intel's ability to keep pace with TSMC. It suffered a lot of delays, and Intel had to outsource all Arrow Lake manufacturing to TSMC in an effort to keep pace with AMD. I'd argue that's the main reason Pat got turfed. He took a big swing to get Intel's integrated design and manufacturing strategy back on track, and for the most part did not succeed.
The GPUs aren't even a drop in the bucket for Intel. While Gelsinger had the right ideas, he wanted everything all at once which just wasn't doable.
Agreed, but if I'd had the money at the time, I absolutely would've jumped at the steam machine and steam controller. I want a modern one now more than ever. If it weren't for parts getting shittier and pricier, I'd probably build one myself this spring/summer and figure out which distro would be best for it. My steam deck is great and I want basically the exact same thing but more powerful at the cost of not being a handheld. Bonus points if I can easily remote play that new steam machine through my steam deck, which I think is a reasonable expectation. And I'd love to run an HDMI out splitter to easily swap between using it as a PC at my desk or using it as a console from my couch.
You are right, but let me add that Gabe knows that being tied to Windows is not a good idea, as he worked there and understood that they would block Steam if they could.
Valve supporting 'their' alternative OS, away from Microsoft (and Apple) or any other direct competitor in gaming is the only way to survive.
It's not like they pour all that money into Linux from the goodness of their heart. They need their own OS just as much as the Linux desktop community needs some stable funding.
Given how Valve lets children gamble with skins, I'm not sure how moral that company really is.
And also not be backed by venture capital firms expecting to make infinite profits. Private or Public, if the company shareholder's only goal is to continue to receive 10% gains on their investment after already making back 20x their principal, they'll squeeze the company for all it's worth.
Publicly traded companies mean that the people who invested get a say in how the business is run. Those same people are typically riding the success of other people's decisions and have no idea how to not fuck up. So they demand the company make stupid fucking choices or the CEO will be replaced by someone who will listen.
The trick is to remove the power of the board to remove the CEO and keep them as advisors instead of drivers. The CEO should cook and if they drive the business into the ground, that's what happens. Businesses need to fail because otherwise the wrong people end up leading.
Businesses need to fail because otherwise the wrong people end up leading.
When businesses fail, their competitors buy their assets, employees, customer bases, and get bigger. Keep playing that a few more rounds and you get a monopoly that can and will prevent or buy new entrants. Then anyone including the wrong people in the industry enter this one company because that's the only company in this industry.
This isn't an argument against letting businesses fail. It's an argument to show that the game of competition doesn't produce stable competitive environment in the long run. Instead it's a temporary stage that some markets exist in on the way to consolidation. You can find countless examples for this around us. And therefore letting businesses fail through competition isn't a long term solution to these problems.
Does nothing? DOES NOTHING?! He spent the last few years ripping Microsoft a new a@@hole, rendering their operating system meaningless for gamers! ..but nice meme
Gaben has done lots of awesome shit. I fear what valve will become when he's gone.
Just my two cents but as others have said, not being publically traded helps a lot. The focus on short term benefits that come with shareholders stops "master plans" when they come with mistakes. Learning from relative failures, like the steam controller and the like, ultimately contributes to major successes like the steam deck. Being able to stay committed to improving the software experience over time, instead of killing the product when it didn't immediately succeed, is fairly rare in the tech industry. And in all honesty, it would be better if they released a polished profuct, but being committed to it made it a success.
I feel like the pressure to have a majorly successful product day one means that smaller companies can't innovate the way they want to, so they have to find other ways to produce revenue. Huge companies, like Apple can afford to do both but still stumble, like with the vision pro. Maybe it'll be a success, but for now its not great and iteration makes it more difficult to maintain the original vision.
Iβm not quite sure they have βdone nothingβ. They have made a digital storefront that other storefronts strive for, they have help with Linux compatibility with windows only games, have released a few bits of awesome hardware every now and then. I think this is what happens when you are not beholden to shareholders and the mantra βmake line go up at all costsβ
"Don't interrupt your enemy when he's making a mistake."
Private company with long-term strategy VS public company chasing short-term profits to pump stock prices for shareholders.
That's the primary reason I abhor the stock market. It no longer works for the creator/owner or the customers at all. It simply feeds the greed of the wealthy (special call-out to private equity here).
Being a private company, it's what it is called
I can't really get my head around why people dislike Gabe Newell. As best I can tell, he's been a fantastic steward for Steam.
Gabe Newell has a net worth of $9.5 billion and there is no such thing as an ethical billionaire. Steam is great and as long as the company behaves well there's no reason not to use it, but billionaires are not your friends.
They are some rare cases where someone becomes a billionaire because something suddenly took off.
Eron Wolf might be one of these exceptions. FUTO is trying to support and make sustainable small software projects.
Just wait till he dies and the next person in charge decides to go public to make a quick buck. That'll begin the immediate enshitification of Steam. How many years do we got till he croaks? Ten? Fifteen? Better hope we have a better alternative before then.
doesnt gabe already do basically nothing though? afaik there are other people managing valve and he only acts as valve's face
also theyd have to be extremely stupid to start enshittification when they already have the best ways to monetize games (skins in cs2, hats in tf2, etc)
im not saying its not possible, im just a very optimistic person
They were not liked at first, but they've spent enough time making money while not pissing people off that they are doing far better than every public company who must find a reason to piss people off to be more profitable.
They've been able to use that time to "cook". Valve time has been known to be within its own dimension, but from that we got Linux to be just click start and play for 90% of games like Windows, and with the Steamdeck a powerful, comfortable, DIY-able handheld PC gaming device.
You'd think it wouldn't be that hard for publishers with billions of dollars to hire enough competent devs for enough time to make a halfway decent storefront, especially when they don't even have to reinvent the wheel on a lot of UX and marketing research that's already been done for them by Steam existing as long as it's had.
That none of them have even come close to that is a monument to their incompetence.
Large companies do not generally innovate. Their internal inertia prevents them from successfully creating new things. Also the larger a company gets, the more layers of brainless MBA parasites latch on to suck them dry.
Large companies rely on purchasing innovation by buying up a never ending stream of smaller companies. They then take the ideas/products and launch them to a wider market.
Steam has remained small by rejecting massive buyout offers. This has allowed them to remain innovative.
Idk. With that camera setup I imagine myself on a black leather sofa with a plain white wall behind it.
Gabe , what kind of movie are we making? Gaben?
You're gonna want to avoid looking down the lens of that "camera", lol
Ultimately it's a slow and steady strategy. There goal is long term profitability, not short term gains. In the long term, the best strategy is not to piss off your customers.
The advantage of this is that it can snowball to impressive levels. At least until a exec with more education than brains does a pump and run on it. A mistake steam seems to know to avoid.
I'm not looking forward to what happens to steam post-gaben. I expect a stupid successor to IPO and fuck it all up.
He was the first to make something and its extremely hard to compete vs the entrenched giant. Also he was the only one fighting for PC gamers so we had to accept the abuse or get no games.
Yep.
And it's especially difficult to compete with the entrenched giant when that giant actually doesn't suck while some of the storefronts going up against it absolutely do, both in features and as toxic companies.
"Valve used to be a company that made games, now it just makes money" is a joke so old I can't find the source, but I know it goes back at least 15 years.