AMD and Valve’s Bold Gambit: The Looming Launch of Steam Machines and Next Gen Xbox

AMD today already unveiled the anticipated launch date of the next-generation Xbox console, but now it has become known that the company also announced the release of the Steam Machine. According to AMD, Valve’s console-PC is still scheduled for early this year. This, of course, is a flexible concept, but it usually means the first quarter.

In 2026, we expect a significant decline in annual revenue from semi-custom SoC sales by a double-digit percentage as we enter the seventh year of a very robust console development cycle. In terms of products, Valve plans to begin shipping its AMD-based Steam Machine early this year, while Microsoft’s next-generation Xbox development with AMD’s semi-custom SoC is in full swing and will allow for a 2027 console release.

Previously, Valve had mentioned a launch in the first half of 2026, but without specific deadlines. Some insiders suggest the company is delaying due to uncertainty over memory prices, as Valve itself has not yet named a price for the Steam Machine.

This PC, which is positioned more like a console, relies on a semi-custom AMD APU with six Zen 4 cores and a GPU on RDNA 3 with 1,792 stream processors. Recent reports indicate that the Steam Machine will also feature advanced cooling technologies, innovative power management features, and enhanced connectivity options, including potential compatibility with Wi-Fi 6 and Bluetooth 5.

For the gaming industry, the simultaneous launch of these consoles signifies a push toward heightened competition. The integration of cutting-edge graphics and processing power in these devices is expected to push the boundary of gaming realism and performance. As developers get access to more powerful hardware, the landscape for gaming experiences promises remarkable transformations, with enhanced realism and interactivity becoming the norm.