Steam is on a path to become a monopoly. Is that a good thing for the gamer?
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If it's not on Steam, it might as well not exist. Even console exclusives made for PlayStation and Xbox will find themselves listed on Steam. And that's saying something. It's saying that even giant studios like Microsoft or Sony just can't pass on that cash-grab potential.
That is power. Power that belongs to Steam's maker Valve, which also has some of the most popular PC games, and makes Linux-based console SteamDeck that challenges Windows' gaming monopoly. For that, everyone loves Valve. But there is a problem. Valve's power is too great and Valve will use that power to the detriment of the whole gaming community.
I am going to prove that to you by showing you Valve's historical record and by looking at its future path. Both of which should convince you that it doesn't matter how much you may love Steam right now, Valve is not your friend.
Valve has this image of an infallible good guy, standing up to the big tech. Any criticism of Valve or Steam is met with dismissal and ridicule. Valve's fans will defend any corporate decision they make, even if it's the same they would scorch other gaming companies for making.
When you purchase games from Steam, you have to accept the terms that you will never own your games. Your purchase only grants you a temporary limited license. What's the difference and why does it matter? Well, if you own something, like a book, or a DVD with a game, the contents still belong to the copyright holder, but you get to decide what to do with the material. Like for instance, you can lend it, gift it or trade it for something else.
A Steam license gives you none of that. It's just a subscription.
SOURCES [references available in the transcript]
[0] https://web.archive.org/web/20141024081126/https://www.bloomberg.com/news/2013-11-04/valve-lines-up-console-partners-in-challenge-to-microsoft-sony.html
[1] https://usesignhouse.com/blog/valve-stats/
[2] https://www.msn.com/en-us/entertainment/gaming/gaming-giant-valve-hit-with-another-antitrust-lawsuit-alleging-anticompetitive-practices/ar-AA1oF5qi
[3] https://www.polygon.com/2017/5/16/15622366/valve-gabe-newell-sales-origin-destructive
[4] https://old.reddit.com/r/SteamDeck/comments/t3glbx/its_okay_to_acknowledge_that_valve_is_not
[5] https://news.ycombinator.com/item?id=21208138[6] https://store.steampowered.com/subscriber_agreement/
[7] https://www.extremetech.com/archive/73674-halflife-2-will-require-internet-activation
[8] http://news.bbc.co.uk/1/hi/technology/4019095.stm
[9] https://www.gamespot.com/articles/valve-restricts-14-day-eu-refund-law/1100-6425990/[10] https://www.bbb.org/us/wa/yarrow-point/profile/online-gaming/valve-corporation-1296-27030704/
[11] https://www.vg247.com/steam-customer-support-not-where-it-needs-to-be-says-valve
[12] https://www.businesswire.com/news/home/20210428005374/en/Game-Developers-Conference%E2%80%99s-2021-State-of-the-Industry-Survey-Shows-Pandemic-Brought-Delays---But-Also-Growth-Reflects-Rising-Interest-in-the-PlayStation-5-and-Strong-Disapproval-of-30-Digital-Storefront-Revenue-Shares
[13] https://www.polygon.com/22409511/microsoft-store-pc-revenue-share-steam-epic-games
[14] https://support.patreon.com/hc/en-us/articles/11111747095181-Creator-fees-overview
[15] https://kotaku.com/valve-isnt-evil-they-just-dont-understand-people-1704090932
[16] https://arstechnica.com/gaming/2021/05/why-lower-platform-fees-dont-lead-to-lower-prices-on-the-epic-games-store/
[17] https://www.pcgamer.com/lawsuit-claims-valve-is-abusing-its-market-dominance-to-keep-prices-high/
[18] https://www.hollywoodreporter.com/business/business-news/popular-gaming-platform-accused-of-abusing-market-power-through-contracts-4124057/
[19] https://arstechnica.com/gaming/2021/04/humble-bundle-creator-brings-antitrust-lawsuit-against-valve-over-steam/
[20] https://arstechnica.com/gaming/2022/05/judge-brings-dismissed-steam-antitrust-lawsuit-back-from-the-dead/
[21] https://www.theverge.com/2023/11/25/23975695/valve-ceo-gabe-newell-has-to-appear-in-person-to-defend-steam-store-fees
[22] https://www.gamesindustry.biz/gabe-newell-ordered-to-make-in-person-deposition-for-valve-v-wolfire-games-lawsuit
[23] https://www.polygon.com/2017/4/1/15129600/valve-has-cut-dota-2-royalties-and-workshop-creators-are-crying-foul
[24] https://arstechnica.com/information-technology/2019/08/valve-says-turning-away-researcher-reporting-steam-vulnerability-was-a-mistake/
[25] https://store.steampowered.com/privacy_agreement/
[26] https://www.msn.com/en-us/entertainment/gaming/gaming-giant-valve-hit-with-another-antitrust-lawsuit-alleging-anticompetitive-practices/ar-AA1oF5qi
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The problem is that every time someone comes out and tries to make a Steam alternative, it’s always a company that’s slimier and more annoying than Valve: Microsoft, EA, Ubisoft, Epic, etc. You can’t blame people for not wanting to jump on board with any of those bozos
The one exception is GOG, but their main selling point, being DRM-free, also means they’ll forever be relegated to indie titles and select older games outside of CD Projekt Red’s own productions
I would use GOG more if they supported Linux at all and didn’t throttle the offline installer downloads from the website to be dramatically slower than the app. They used to be better when they mainly focused on old games but now it seems, like everyone else, they just want to be a shittier Steam.
I still don’t understand how they’re a monopoly. It’s weird that so much attention is given to Steam and Valve while Microsoft and Sony don’t get any for owning the platform, store, multiplayer infrastructure, and development studios like Valve.
Maybe I just have a superficial understanding of “monopoly,” but Valve isn’t acquiring competing storefronts and studios nor is it prohibiting others with frivolous legal challenges. Valve hasn’t done anything for decades besides sell games; it’s not their fault Sony and Microsoft fail at making their consoled attractive enough for devs to make exclusives. Many good games are on GOG and have zero DRM.
And FWIW, I hate games and Valve. I just think it’s difficult to make a winning case compared to Amazon with its hostile pricing policies, and it allowing counterfeits to push sellers into joining its retail programs.
