Gaming Company Launches Steam Machine at £879 Price

A gaming company launched its Steam Machine gaming computer at £879 in the UK and $1,049 in the US. The company said in a Monday blog post that the price reflects hardware costs that have risen in recent years. "The overall effect is that our original goal for the price of Steam Machine is no longer viable," the company added. The device functions as both a gaming PC and a console.

The company also announced a 512GB Steam Machine bundle with a controller for £938. A 2TB version will cost £1,149, or £1,208 with a controller. The device was first unveiled in November as a PC optimized for gaming that can also serve as a console. It follows a 2014 device of the same name that did not gain significant market share.

The company said it began sourcing components in 2023 expecting prices to decline over time based on historical PC hardware trends. Instead, costs for RAM and storage components rose quickly over the past year. The company previously raised prices on its Steam Deck handheld device by 40 percent due to similar cost pressures. It had also set an £85 price for a new Steam Controller.