Epic Games CEO Tim Sweeney has publicly targeted Valve following the announcement of price increases across multiple models of the handheld Steam Deck console. In a sharp critique, Sweeney took aim at Valve CEO Gabe Newell, suggesting that the price hikes were directly tied to personal luxury investments rather than standard hardware manufacturing shifts.
The controversy stems from Valve’s decision to increase the consumer cost of its popular handheld device, with the high-end 1 TB model seeing a price jump of up to $300. Commenting on the situation, Sweeney pointedly attributed the extra cost to supply chain disruptions impacting “megayachts.” The remark serves as a direct reference to Newell, who expanded his prominent maritime interests last year by purchasing the luxury yacht builder Oceanco.
While Sweeney’s remarks highlight the growing friction between the two PC gaming giants, the critique comes at a complicated time for Epic Games. The company recently executed widespread layoffs affecting more than 1,000 employees across various departments, including core designers and prominent artists. Epic has faced its own share of public scrutiny regarding corporate expenditure and employee welfare following these cutbacks.
The pricing adjustment for the Steam Deck arrives during a broader economic strain within the electronics manufacturing sector. A widespread shortage of RAM, largely driven by the massive infrastructure demands of the expanding artificial intelligence industry, has forced multiple hardware manufacturers to adjust retail pricing to compensate for rising component costs.
These supply issues are also raising questions about the future of Valve’s hardware ecosystem. Leaks surrounding the company’s upcoming home console, the Steam Machine, indicate it could launch with a premium price tag near $950 for its base model. As manufacturing costs continue to climb, the ongoing friction between Valve and Epic Games underscores the rising financial pressures facing both hardware producers and consumers in the current market.
