Valve offers update on Steam Deck 2, says it's close but still has one issue to solve

Valve has made it pretty clear that, with the success of the original Steam Deck, it was working on a follow-up. However, its position has always been that, for them to release a Steam Deck 2, the handheld would need to deliver a notable generational leap in performance rather than an incremental one. It needs to feel like a new console generation, and not the incremental updates seen in PC hardware and gaming.

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With previous word from the company being that it's "hard at work" on creating the Steam Deck 2, and credible leakers stating that the company is targeting a 2028 release window (assuming hardware prices normalize by then), we've now got a small but definitely worthwhile update thanks to the recent launch of the Steam Machine.

Speaking with IGN, Valve has provided a quick update on the Steam Deck 2's development, and it sounds like the hardware is getting pretty close to being locked in.

"I'd say we're closer than we were the last time we talked," Valve Engineer Pierre-Loup Griffais tells IGN. "We're definitely getting there." However, when pressed for details, it does sound like the chips currently out aren't quite at the efficiency level Valve needs. And this is an important note because Valve has been vocal about not wanting the Steam Deck 2 to be more power-hungry than the original. In fact, it wants a generational leap in performance with the same power profile.

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"I would say that the new chips that are coming out are still in power envelopes that are not quite the right segment that you'd want for a true handheld experience," Griffais added. "I think a lot of them are more low-end laptop chips or playing in that sort of form factor that are then repurposed for handhelds and maybe not leading to, I guess, the trade-off that we would've chosen in terms of power and battery life and all that."

Here, Valve is referring to chips like the Ryzen Z2 Series from AMD, and the new Arc G3 Series from Intel, which are essentially laptop APUs in PC gaming handheld form. And with that, it sounds like Valve is either developing a new custom APU with AMD that will leverage RDNA 4 or RDNA 5, or it's simply waiting for the next generation of chips that should deliver better performance and efficiency. Either way, "definitely getting there" makes it sound like everything is falling into place.