Google Inc (GOOG), NVIDIA Corporation (NVDA): Three Radical Video Game Systems are Trying to Shake Up the Market

The Steam Box is, for all intents and purposes, just a small PC optimized for Valve’s Steam service. But what’s most interesting about it is that it doesn’t run Microsoft Corporation (NASDAQ:MSFT)’s Windows — but rather, the popular open source operating system Linux.

Valve’s founder has been outspoken in his opposition to his former employer. He has been particularly critical of Windows 8, saying that the operating system is so bad that it will make people “rage quit computing.”

But Valve isn’t the only company making Steam Boxes: the first will actually be produced by a company called Xi3. But Valve will probably follow with its own, and perhaps other companies will as well.

Unlike the Ouya, Steam Boxes pack a lot of power and carry a hefty price tag — Xi3’s will start at $999. But with that much power, and the Steam distribution service, it could have the best chance at taking some sales away from the traditional consoles.

On a larger note, it’s also further evidence of the decline of Windows as an operating system. With the decision to make the Steam Box, Valve is clearly concerned about the long-term future of the traditional Windows PC, and is in fact helping to make that a reality. Gamers, who now need a beefy Windows PC to play their games, could switch to a non-Windows, Linux-based Steam Box for their gaming needs sometime in the future.

Nvidia Shield: a goofy handheld

To put it bluntly, the Nvidia Shield is a strange device. At $349, it’s an expensive handheld (for comparison, Nintendo’s 3DS is well under $200), particularly since it — like the Ouya — runs Android.