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Everyone knows that outside-in tracking is just better for VR gaming.

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It's faster, more accurate, and it's more reliable. Well, here's the thing.

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Valve isn't everyone, and the new Steam Frame took my expectations of a lousy, flaky experience

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in a standalone VR headset with camera-based positional tracking and blew them away.

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They also blew away my expectations for their new Steam Machine and Steam Controller,

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but that's a separate video. We'll have that linked down below. In two words or less, this thing is impossibly good, and, maybe more importantly, impossibly versatile.

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They managed to make it lighter, more comfortable, and higher fidelity than the OG Index for PC VR gaming.

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They managed to bolt an ARM-based computer to it that runs mobile VR games and applications.

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You can even just sideload an Android APK, and the whole thing runs freaking Steam OS

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with a new element to their proton compatibility layer called PEX that allows you to play desktop VR games.

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I'm talking x86 Windows VR games on your ARM, Linux, VR headset.

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I would might drop this, but I think I'd get in trouble. The last part I wouldn't believe if I didn't experience it for myself,

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but they did all of this with latency that is indistinguishable from the best VR experiences that I've had.

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But is it indistinguishable from the best segue I've ever had to our sponsor?

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Frame is a fundamental shift for Valve. Rather than being an accessory for your gaming PC,

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it's meant to be a standalone device that can also be enjoyed alongside your PC using wireless streaming for VR,

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which sounds horrible, but somehow it's not.

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Let's take a closer look at the hardware. Then we can talk about how they did it.

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The headset that I'm holding is actually made up of multiple components.

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The core module contains the actual computer and weighs under 190 grams.

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Then next is an audio module that can be detached with three clips under the foam gasket.

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Then there's the head strap and a battery pack that is cleverly positioned at the back

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to help counterbalance the device's improving comfort and also to make it a little bit easier

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to cable manage if you wanted to have an external battery pack.

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The optics are simply put flipping incredible, like other leading headsets.

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They're using pancake lenses, but unlike some other headsets that use pancake lenses,

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there was very little in the way of internal reflections visible in the demo applications that I use today.

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It is possible that with brighter light sources, it could show up a bit more,

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but that's going to be something that I'll have to save for the full review.

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What I can tell you is that under each lens is a 2160 x 2160 LCD display

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that's capable of anywhere from 72 Hertz, presumably for power saving,

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up to 120 Hertz with a 144 Hertz experimental mode, just like we had on the Valve Index.

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As for why Valve decided to use LCD rather than OLED,

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it basically came down to the light losses due to the pancake lenses.

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Since I'm pointing at them, on the inside of each lens,

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maybe you can even see them if you went cross-eyed enough, is an eye tracker that's obviously going to be great for social VR experiences,

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but perhaps more importantly enables Valve to do what they call foviated streaming,

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which I'm going to have to explain later because it gets a little in the weeds.

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First, let's take a look at the controllers. Valve fully acknowledges that these are very similar to other designs in the market,

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but they wanted something that was both great for VR and also great for your non-VR applications

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if you just want to use your headset as a giant virtual display.

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And they still managed to add some Valve touches to them,

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putting capacitive sensing on all input surfaces and on the grips,

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so you can still do five-finger tracking just like the Knuckles controllers from the Valve Index.

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They have two-stage actuating triggers, two-stage actuating grips,

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which unlocks a ton of control customization. They use the same magnetic thumbstick as the new Steam controller for better reliability

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and a very small dead zone, and they each have their own independent gyros that can be rebound for aiming or whatever you want.

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I can't tell if they were being suggested there, given the popularity of certain VR applications,

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but I can't say for sure that they weren't. Both controllers have an integrated IMU to track positional data

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and 18 infrared LEDs that can be tracked by the four high-field-of-view cameras

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that are integrated into the frame's core module. These were strategically positioned so that even if you were, say for example, drawing an arrow from a quiver,

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it should be able to maintain tracking. Now, I didn't get a chance to try that, nor did I get to fire up Beat Saber,

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my favorite application for evaluating controller tracking under extreme conditions,

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but from just shaking them around in the menu, they seem to track extremely well.

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Valve is claiming about 40 hours of battery life off of a single AA,

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and this battery compartment is a perfect transition into the customizability that's on display with this headset.

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They're going to have an optional accessory kit that includes knuckle straps for the controller,

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as well as a second head strap with a top Velcro piece if you like a bit of additional support.

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I personally liked it better, but I also didn't feel like it was necessary,

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like it is on the much heavier Apple Vision Pro. There's a lot more to customize on the frame itself, too.

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It includes a spacer gasket for folks with long eyelashes,

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and to improve compatibility with glasses, but Valve fully acknowledges that not everyone will want to use that,

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because it does take away a little bit from their claimed about 110-degree field of view,

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so they are working on prescription lenses for the headset itself.

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We even saw a box of them, but there's no specific timeline on that.

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IPD adjustments are handled with a little knob on the top that spins a cog on the core module,

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and this is really cool. Right between the goggles at the bottom here is an expansion port

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that allows up to two 2.5 gigabit mippy cameras,

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or a single camera with a PCIe Gen 4 by one slot,

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allowing all kinds of possibilities for additional accessories,

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like if you wanted color cameras, for instance. The built-in ones are only monochromatic,

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or if you wanted, I don't know, a smell sensor.

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The sky's the limit. Since we're on the subject of the cameras, Valve says that they will work for inside outtracking even in pitch darkness thanks to IR emitters

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that are built into the headset itself, and you can expect tracking performance on the order of about 200 to 250 updates per second,

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which is about on par with the Valve Index.

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Not something that I expected. Now that I've had a chance to gather my thoughts and eat some crappy airport food,

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let's talk about how Valve is delivering a PCVR-like experience wirelessly

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when big names like Apple and Meta have tried and never really succeeded.

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It starts with the least interesting looking part, this 6 GHz Wi-Fi dongle.

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Valve built the headset with two radios and two antennas for Wi-Fi,

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along with a third dedicated antenna for your controllers or your Bluetooth peripherals.

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One of those Wi-Fi antennas handles 5 GHz for your game downloads,

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your multiplayer data, your voice chat, etc. The other one connects to a very high-end home router,

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or more likely, Valve's dongle using the so far mostly unused 6 GHz band.

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This is a perfect use case for 6 GHz,

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since it lacks the wall penetration that you might want for home Wi-Fi,

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but it excels at avoiding 2.4 and 5 GHz channel congestion

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while pushing huge amounts of bandwidth. With that said, while the theoretical maximum is right up there with wired connections,

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in the real world it falls well short of that, so what's the secret?

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Foveated streaming. Seeing this in action blew my flipping mind.

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Basically, the idea behind it is similar to foveated rendering,

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where the headset tracks your eyes and tells your GPU,

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hey, only render the area of focus at full fidelity

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and save your resources on the rest of the scene. It's a technique that's been used to great effect on the handful of PSVR2 titles that exist,

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but has been largely untapped on the PC side,

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largely because it depends on game developers to implement it.

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And also, most headsets don't have built-in eye tracking, so why would they bother?

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Foveated streaming then. Again, same idea.

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Focus your resources wherever the eyes are looking.

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Except in this case, it's not the GPU saving on rendering resources,

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it's the video encoding stream saving on bitrate.

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So you get crystal clear, high bitrate encoding,

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exactly where your eyes are looking, and then a little bit blurry everywhere else.

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At least in theory, in practice it reacted so fast

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that no matter how quickly I tried to move my eyes, I wasn't able to catch it.

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But I also don't feel too bad about that. Valve put on an incredible demo for me in Half-Life Alyx,

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where they highlighted the maximum fidelity window as I was looking around.

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And even though they say it's only about 10% of the total video stream,

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it ends up being a pretty large window, wild as for the encoding latency.

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Well, thanks to some clever parallelization of the encoding,

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you can expect anywhere from 1-2 milliseconds of extra latency on a modern GPU

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and 4-5 for a slightly older but still VR-capable one.

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Not enough to notice or to contribute to significant motion sickness.

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And it keeps getting better. I managed to get almost 50 feet away from the dongle

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without a noticeable difference in the experience. Now, granted, this is still line of sight,

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but it's a lot further than I can get with a tether.

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Now, I did bring up the possibility of more than one of these devices

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causing interference with each other. And Valve said that while they have operated multiple headsets concurrently in the same space,

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they haven't explored more demanding use cases like packed VR cafes.

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Moving on to audio, the built-in solution is both incredibly impressive

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and also a little disappointing. I'm impressed by the audio quality.

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They apparently had to use opposing drivers to cancel out the vibrations

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to make sure that the inside-out tracking wouldn't get messed up, and they sound fantastic.

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As for the mic, I didn't get a chance to test it, but Valve assured me that the mics should carry on the index's incredible reputation

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for stellar microphone performance. I'm disappointed because I literally had the engineer who worked on the index

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and this new headset in the room with me, and when I asked her for a gaming headset with all this same audio black magic,

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she just shrugged. So, sorry, y'all.

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I tried. In all seriousness, the speakers don't fire directly into your ears,

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so there is a bit more sound bleed than with the index, but it doesn't seem like a game breaker,

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depending on what you're watching and who's around. The last couple of experiences I want to talk about are a huge deal

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whether you plan to use them or not. The first is FEX, an open-source project that Valve has been contributing,

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and this is a quote, quite heavily to.

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It's a translation layer that allowed me to experience

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a completely standard Windows x86 game,

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Hades 2 in this case, running directly on the hardware on the frame.

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I'm talking x86 code designed to run on Windows,

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running on a Snapdragon 8650 running Linux.

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Holy freaking mind-blown.

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They're planning a compatibility list, a la great-on-deck for the future.

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But wait a second, running on Linux? Yeah, Valve's been busy porting SteamOS to ARM.

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How did they drop so much news on one day?

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The frame does everything that you know and love about SteamOS,

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like fast suspend and resume and performance overlays,

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except on your VR headset directly.

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And as I mentioned briefly in the intro, if you blinked you might have missed it.

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With this new ARM processor comes the ability to, supposedly,

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run Android APKs by directly side-loading them onto the Steam frame.

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And given how many VR experiences are designed to run on mobile devices,

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this is a colossal win. And with Valve's commitment to putting microSD card slots on all their devices,

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it can't be too hard to install. Now, there are still some areas where the frame doesn't seem to be industry-leading.

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The light seal isn't perfect, especially if you compare it to the Beyond 2 with its custom 3D printed gasket.

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The pass-through cameras, they're just monochromes, so don't expect to be wearing your frame out and about

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like people did with the Apple Vision Pro for the first week or so.

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From my very brief and admittedly not side-by-side experience,

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it's also not the highest clarity nor highest dynamic range display I've ever seen,

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and it's not as light or compact as, say, the big screen Beyond 2.

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But it's the overall package that should have the entire rest of the industry stopping and going,

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how did Valve, who, as of 2021, supposedly had less than 350 employees,

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manage to outmaneuver monsters like Meta, who spent 17.7 billion on Reality Labs just last fiscal year?

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I would ask Gayben how it happened, but I'm pretty sure he's busy on his yacht.

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All I know is that I want one, whether it's for wireless PC gaming,

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native gaming on the road with minimal bulk in my bag, or even just relaxing on the couch watching movies on the big screen.

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What kind of sucker needs a big TV when this thing exists?

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So, with the frame clearly taking the place of the Index and Valve's lineup,

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what happens to all the users of the Index and, maybe more importantly,

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the third-party ecosystem that exists around its base stations and knuckles controllers?

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The short answer is the Index is EOL. But the long answer is Valve would love to see other players in the VR space approach them

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about continuing to support or even continuing to manufacture these devices.

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Whether that'll happen, I don't know, but at least Valve is open to the conversation.

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If you guys enjoyed this video, go check out part two on the Steam Machine,

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as well as the new 2026 edition of the Valve Steam Controller.

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Mind-blowing stuff today. I can't believe they blindsided me with this.

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They're like, come down, we'll tell you nothing. You have four hours to do everything.

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Nyaaah!
