Is Steam making a profit?

Steam is indeed making a significant profit, generating over $10 billion in revenue in 2021, with the majority coming from game sales and commission fees charged to game developers and publishers. The platform’s revenue model, which includes a 30% cut on game sales, has proven to be highly successful, allowing Steam to become one of the leading PC gaming platforms in the world.

Please see below for more information:

Frequently Asked Questions

General Questions

1. How much profit does Steam make a year?: Steam generates around $10 billion in revenue each year, with the exact figure varying depending on the number of game sales and in-game transactions.
2. What is Steam’s revenue model?: Steam’s revenue model is based on a 30% commission on all game sales, as well as transaction fees for in-game purchases and Steam Market sales.
3. How many games are available on Steam?: There are over 7,000 games available on Steam, with new titles being added every month.

Steam Market and Sales

4. How much does Steam make from Steam Market?: Steam charges a 5% transaction fee on all Steam Market sales, with the remaining amount going to the seller.
5. What sells for the most on Steam Market?: The most expensive items on Steam Market include in-game skins and cosmetics, with some items selling for over $1,800.
6. Where does Steam Market money go?: All Steam Market sales and purchases are completed using the Steam Wallet, with funds unable to be withdrawn or transferred to a bank account.

Game Developers and Publishers

7. How much of a cut does Steam take?: Steam takes a 30% cut of all game sales, with the remaining 70% going to the game developer or publisher.
8. Do developers lose money on Steam sales?: Both Valve and game developers lose out when a game is sold at a discount, as Steam still takes its 30% cut.
9. How much money can you make from publishing a game on Steam?: The amount of money a developer can make from publishing a game on Steam depends on the game’s price and sales volume, with a 30% commission taken by Steam.

Steam Platform and Users

10. Is Steam still growing?: Yes, Steam is still growing, with a steady growth rate and over 20 million gamers using the platform every day.
11. Why is Steam so successful?: Steam’s success can be attributed to its large game library, regular sales, and community features, making it a popular choice among PC gamers.
12. What percent of gamers use Steam?: Steam accounts for 50-70% of all PC game downloads worldwide, making it the largest digital distribution platform for PC games.

Steam Owner and Revenue

13. Who is the owner of Steam?: Gabe Newell, also known as GabeN, is the co-founder and majority shareholder of Valve Corporation, the company behind Steam.
14. How rich is the owner of Steam?: Gabe Newell has an estimated net worth of over $3.9 billion, making him one of the richest people in the world.
15. Does Steam take taxes out?: Yes, Steam charges sales tax in states where it is required by law, with the tax amount added to the Steam price of a game or item.