Valve has confirmed that its upcoming hardware lineup—including the Steam Machine, Steam Frame VR headset, and next-gen Steam Controller—will still launch in 2026, but delays appear increasingly likely.
The update, shared in Valve’s “Year in Review,” revised earlier expectations of a first-half release, pointing to ongoing memory and storage shortages as the primary obstacle.
Supply chain issues hit gaming hardware
The same shortages affecting the broader PC market—driven by AI infrastructure demand—are pushing up prices for key components like RAM and SSDs. Suppliers such as Samsung, Micron, and SK Hynix are struggling to meet demand, impacting consumer devices across the board.
This has already led to rising prices for PCs and components, with estimates suggesting increases of around 20% in some segments.
Pricing could make or break it
The Steam Machine is expected to feature 16GB RAM, 1TB storage, and an AMD-based GPU, putting it in direct competition with consoles like the PlayStation 5 and Xbox Series X.
However, rising component costs could push its price far beyond typical console ranges. Analysts suggest that a price between $1,500 and $2,000 would significantly limit its appeal in the living room market.
Waiting for the right moment
Valve has not announced pricing or a firm release date, and the shifting timeline suggests the company may be waiting for market conditions to stabilize before committing.
While 2026 remains the official target, continued supply constraints could push the launch further—potentially into 2027—raising questions about whether the project can remain viable in a rapidly changing hardware landscape.