The new CEO of of Microsoft Gaming, Asha Sharma, confirmed something that has been widely speculated for a while that could be bad news for the Steam Machine.
Writing in a post on X/Twitter, Sharma said:
Great start to the morning with Team Xbox, where we talked about our commitment to the return of Xbox including Project Helix, the code name for our next generation console.
Project Helix will lead in performance and play your Xbox and PC games. Looking forward to chatting about this more with partners and studios at my first GDC next week!

So it's now very much official - whatever the next Xbox turns out to be, you'll be able to play PC games on it as well. Which likely includes Steam, Epic Games and so on. This puts it more in direction competition with Valve's upcoming Steam Machine. And is no doubt one of the reasons that Sony with the PlayStation are pulling back on PC ports.
While Valve struggle to even get the Steam Machine and Steam Frame released, Microsoft clearly have some big plans there that could eat into it. If there's the possibility to buy a reasonably priced and powerful machine with a TV-focused interface that plays both Xbox and PC games, I imagine at least some on the fence about the Steam Machine may now be reconsidering.
The Steam Machine will still have a lot of pros though - with it being a completely open platform like the Steam Deck where you can do quite literally anything with it. But, that's not going to be enough to sway people if the pricing is too high.
Hopefully Valve will get some pricing info up on the Steam Machine, Steam Frame and Steam Controller soon - time is ticking down for it.
But as a Linux enthusiast I hope the Steam Machine will win this race!
Last edited by pb on 6 Mar 2026 at 10:20 am UTC
The reasons people leave Windows won't change, and it'll probably get worse now that the head of their AI division is taking over Xbox.
The real danger is Microsoft pulling some anti competitive moves. They are one of the AI companies that bought up all the RAM and forced the prices up, and Nadella said they had a surplus. They could turn around and put that RAM into their Xboxen at no cost. They could also try to sabotage Proton or pull some other shady stuff.
The only thing that Valve can really offer here is lower price and earlier availability. If they manage to launch a year earlier, they could snatch away some potential marketshare and establish their niche in the console space. For the right price of course.
But if they wait too long now, I fear they might miss their chance here.
Quoting: melkemindThey could also try to sabotage Proton or pull some other shady stuff.While PC gaming continues growing beyond predictions, this is no doubt a move to protect the moat. It is one of the dangers of having normalized translation layers like Proton. Microsoft remains in the position to say 'jump' and any translation tool has no choice but to follow.
My personal stance on this is no more closed systems, no lock-ins, no local restrictions. We don't know yet, but I very much doubt this new device will check all this, or if it does, for how long.
But I'm afraid a lot of people will flock to this (assuming MS don't utterly sabotage itself in the meantime).
Quoting: melkemindThey are one of the AI companies that bought up all the RAM and forced the prices up, and Nadella said they had a surplus. They could turn around and put that RAM into their Xboxen at no cost. They could also try to sabotage Proton or pull some other shady stuff.Leave it to M$ to come up with new ways to get sued for monopolistic practices. 😤




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