Back in March we covered a rumor about Valve working on a console. At the time it sounded like a stretch, but soon it'll become a reality.
According to Kotaku, Valve has been working on a console that is based around the new Big Picture software which was released only days ago. The current schedule is to debut the hardware in 2013, just in-time to compete with the new generation of consoles.
Gabe Newell, the company's CEO, has been surprised by how well Big Picture works and hopes to incorporate its controller and user-friendly interface on streamlined hardware. No more shopping around on Newegg and Amazon trying to figure out what goes where—a hobby of mine, but not everyone enjoys that.
The biggest challenges that Valve faces are price competitiveness and game support. Many fans of Valve have already invested in PC hardware, and will likely be as hesitant as the average consumer to pick-up a console with the Steam logo on it. Secondly, Big Picture currently only supports 22 games, and many of them are indie titles.
However, this is Valve we're talking about. You know, the team that won Best Game of the Decade and produced fine hits such as Portal 2 and Team Fortress 2. The studio certainly know what it's doing, and if PC exclusives can make a presence then Sony, Nintendo, and Microsoft are in for some tough competition.