Does anyone here actually believe that the Steam Frame will be $599?
As for the video. I am sorry, but it's terrible. He is all over the place.
1. He says that we can learn a lot about the Steam Frame price from the Steam Machine pricing. I guess he is right, We know nothing about the Steam Machine Pricing so we know nothing about the Steam Frame price either. But that's not the way he meant it. He seems to think we can infer something about the price of the Steam Frame from Linus's guesswork about the Steam Machine's price. Which is rubbish, they are aimed at two completely different markets. Which brings me to point 2.
2. He seems to think that the Steam Frame will be priced less than the Steam Machine. He actually says there will be zero chance of the Steam Frame been priced higher than Valve's flagship console. What is this guy smoking? The Steam Machine is been aimed primarily as a PC type console for the ease of use in the living room. Whereas the Steam Frame is been marketed as a Premium VR headset. The only way the Frame is going to cost less than the Steam Machine is if the Steam Machine is stupidly overpriced.
3. His pricing estimates are probably fine, but his conclusions based on those estimates and his own previous statements in the video are whack!! He says that Valve isn't like Meta and won't be selling hardware at break even. He then does the price break down of the Steam Deck and Quest 3. First he does the Quest 3, estimates costs to build at $400, Meta sell at $499, which he says is just breaking even or maybe even a small loss. Then he does the Steam Deck costs, which works out at $300 and sells for $399. But in this case, it's a 30% markup?? Surely the Quest 3's price is a 25% markup? Neither device is going to be making much, if anything at those prices. Beside, Gabe said that hitting the $399 price point was a pain, so we know that there was no 30% margins there. And we also know that Valve won't be doing that this time around.
4. Just an extension of point 3 and his Steam Deck and Valve Index price break downs where he makes that 30% markup claim and says that the Steam Frame will be more than likely the same. Remember he has already said that Valve aren't like Meta and won't be selling at a break even price. So he does all his price estimations and for the base model arrives at a cost to make of $520-$530. Fine, but based on that price estimation, he concludes that the final price of the base model headset will be $599? LOL WUT?? What about all the stuff you said earlier in the video? If a $100 price difference between cost to make and sale price is barely break even on a $499 headset, then $70 is definitely making a loss on a $599 headset. And what about the 30% markup that he says Valve puts on hardware? He doesn't even include that. His price guess just goes completely against everything he said earlier in the video.
Lastly, and this is a bugbear of mine, He says that Valve are going to sell that Steam Frame at less than $1000 because they said they would. NO, that's not what Valve said at all. They made no commitment to sell it below the price of the Valve Index. They actually said that they
hope to sell it below the price of the Valve Index, but they are making no promises.