In most cases, yes. But you have to remember, this is Valve and not some ordinary company. They have extremely deep wallets and a lot of responsibility and expectations on their shoulders (importantly, not the stock market!). If they charged what it cost for hardware and what it cost them to do r&d, it would likely not be in consumers favor.
Like even just get off the American-bad thing for one second: pricing it as a standalone pc basically just means “the cost of the parts”. They’ve put a lot of time and effort into this across their core employees and likely outsourced stuff because they couldn’t, in-house. Actually listening to people and charging relative to that is actually a great way to be fair and make people happy, guaranteeing positive impact of your product. I guarantee they’re paying attention to what people say ALL over the place. Like… Why do you think “it’s done when it’s done” is their pace?
Research and development is probably very high when you consider Proton, SteamOS, and the semi-custom CPU and GPU. Something between $50 to $100 million would be typical. Silicone is famously expensive in R&D, Proton has continuous costs (and has for quite a while now) that rack up, and SteamOS is literally an operating system. That’s a lot of salaries to pay.
I reckon they’re taking advantage of being private and playing the long game. Very, very long game. They’re not really in danger as long as Steam is successful, but I can’t blame them for wanting a decent gross margin so they can at least cover hardware costs. Especially with memory prices right now, I wouldn’t be surprised at 1000€ here in Germany, though I wouldn’t be happy about it. I would happily buy at 900€ (≈$1040), and be ecstatic at 800€ (≈$920).
In most cases, yes. But you have to remember, this is Valve and not some ordinary company. They have extremely deep wallets and a lot of responsibility and expectations on their shoulders (importantly, not the stock market!). If they charged what it cost for hardware and what it cost them to do r&d, it would likely not be in consumers favor.
Like even just get off the American-bad thing for one second: pricing it as a standalone pc basically just means “the cost of the parts”. They’ve put a lot of time and effort into this across their core employees and likely outsourced stuff because they couldn’t, in-house. Actually listening to people and charging relative to that is actually a great way to be fair and make people happy, guaranteeing positive impact of your product. I guarantee they’re paying attention to what people say ALL over the place. Like… Why do you think “it’s done when it’s done” is their pace?
They’re buying the parts directly from the manufacturers though, so cutting out the retailer middle-man could offset the R&D costs.
Research and development is probably very high when you consider Proton, SteamOS, and the semi-custom CPU and GPU. Something between $50 to $100 million would be typical. Silicone is famously expensive in R&D, Proton has continuous costs (and has for quite a while now) that rack up, and SteamOS is literally an operating system. That’s a lot of salaries to pay.
I reckon they’re taking advantage of being private and playing the long game. Very, very long game. They’re not really in danger as long as Steam is successful, but I can’t blame them for wanting a decent gross margin so they can at least cover hardware costs. Especially with memory prices right now, I wouldn’t be surprised at 1000€ here in Germany, though I wouldn’t be happy about it. I would happily buy at 900€ (≈$1040), and be ecstatic at 800€ (≈$920).