A recent breakdown used a similarly specced PC to estimate what Valve’s Steam Machine might cost at launch: with components like a Ryzen 5 8400F and an RX 6600, the system came out to roughly $800 at today’s prices, and analysts believe Valve can trim that down to around $700 thanks to cost savings and a more efficient custom design.

Valve’s newly announced Steam Machine has quickly become one of the hottest topics in the gaming industry. Beyond the prospect of a fresh challenger entering the arena alongside PlayStation and Xbox, much of the debate has focused on how much the hardware itself will cost. While Valve has stayed quiet on specific numbers, it has hinted that the Steam Machine will not be as cheap as a traditional console.

That comment alone was enough to spark concern, with some speculating that the new hardware might approach the $1,000 mark. However, the latest analysis suggests a much more moderate figure, indicating that the Steam Machine is more likely to launch at around $700 instead.

The estimate is based on a custom PC build that aims to mirror the performance of Valve’s upcoming console–PC hybrid, giving a tangible reference point for what similar hardware would cost in today’s market.

The Steam Machine Won’t Cost What You Think

This new assessment comes from Linus Tech Tips, a well-known tech YouTuber who has been closely following the Steam Machine and the conversations around it. In his latest video, Linus assembled a PC configured to match the specifications of Valve’s upcoming hardware roughly.

The build used a Ryzen 5 8400F CPU, an ASROCK B650M-H2 motherboard, and 16GB of DDR5-5600 CL46 RAM. To better approximate Valve’s stated specifications, the Ryzen 5 8400F was capped at a 30W TDP while being boosted up to 4.8 GHz. An RX 6600 graphics card powered the system, closely aligning with the Steam Machine’s reported 28 CUs and nearly 2.5GHz GPU clock speed.

One important distinction is that Valve is expected to rely on a custom RDNA 3 GPU, whereas the RX 6600 is built on the older RDNA 2 architecture. Even so, once discounts were factored in and the costs of a case, power supply, and controller were added, the complete build reached an estimated $813. Linus believes Valve can secure similar components for less, noting that his own team intentionally overspent on several parts.

Based on these factors, he concludes that a $700 launch price for the Steam Machine is realistic. At the same time, ongoing fluctuations in memory and NAND prices make the overall picture less predictable than Valve would like. Still, Linus argues that a $700 price point should allow Valve to turn a profit on each unit while preserving room for improving margins as component prices fall over time.

If this projection holds, the Steam Machine would land at a price that keeps it competitive with modern consoles while still delivering a full-fledged PC experience – a combination that could have major implications for the broader gaming ecosystem.

Source: 4techgamers