Alienware’s Steam Machine to be “Least Profitable System”

Alienware’s Steam Machine to be “Least Profitable System”

News about the numerous Steam Machine models has been quiet for a while, but Alienware has broken that silence in a statement with The Wall Street Journal. General Manager of Alienware Frank Azor stated, “It’s going to be very challenging. This will absolutely be the least profitable system we ever sell.” Valve’s partners won’t be earning any royalties from sales of games that run on their machines, and they still have to keep their prices competitive with known systems like the PlayStation 4 and Xbox One.

However, there is still profit to be made. It’s already known that Steam Machines will arrive with different specs and pricing structure, but it’s obvious that there is a lingering air of uncertainty surrounding these new devices, at least from Alienware’s position. With people criticizing Steam Machines, particularly as companies market what is essentially a regular PC as a living room gaming experience, people are truly beginning to wonder just how attractive they’ll become to future consumers.

Can these numerous Steam Machines successfully pull more PC gamers to the couch for a more casual living room experience? I’m slightly doubtful.

 

More about the Steam Machine should appear at E3 next month.