Lately, the handheld gaming device market is cracking its knuckles to introduce several new handhelds aimed at a Q4 2025 launch. While all the notable brands, such as Lenovo, MSI, and ASUS, are gearing up for their handhelds, gaming enthusiasts have their fingers crossed for information on the rumored Steam Deck 2.
It’s been over 3 years since the launch of Steam Deck, which is powered by Valve’s native SteamOS designed specifically to meet the gaming needs. The gaming requirements, however, continue to increase and enhance as the games keep evolving, making it difficult for gamers to play specific AAA games seamlessly on the Steam Deck.
While some games are unsupported on the SteamOS-powered handheld, other supported games often face lag with specific FPS due to hardware limitations of the Steam Deck. This problem calls for an upgrade in Valve’s handheld segment in the form of Steam Deck 2. However, Valve is yet to drop any official tea on a new Steam Deck release.
In a 2023 interview with Bloomberg during the release of the Steam Deck OLED, Valve designer Lawrence Yang mentioned a possible successor to the Steam Deck, but not until the company figures out a way to offer substantial CPU and GPU power through the follow-up model. He also mentioned that no yearly hardware upgrade for the Steam Deck was in the plans.
Steam Deck 2 Tech Specs
On a recent tech podcast, there have been discussions hinting at a possible Steam Deck 2 launch or a home console from Valve powered by the Magnus APU based on Zen-6 architecture from AMD. Since there are no official sources to confirm these claims, they should be consumed with a grain of salt.
Also, it is important to note that, along with the chipset, gamers are more concerned about whether Valve will launch its Steam Deck 2 with an improved operating system to accommodate all types of games, and not a watered-down version that will repeat the technical lag issue seen with Steam Deck.
Steam Deck 2 Memory & Storage
Speaking of performance, I expect to see a jump to LPDDR6 16GB RAM with 512 GB storage and 32 GB RAM on a separate model with 1TB storage. Having two variants of the Steam Deck 2 will bring good money for Valve while funneling the users on both devices to purchase games from the Steam library, making even more business.
The current processing unit on Steam Deck uses a custom APU with quad Zen 2 cores, and an RDNA 2-based eight CU graphics unit. It is pretty much outdated because it was more likely a thing of 2020, and we are half a decade ahead of that timeline.
To enhance the Steam Deck 2’s performance with powerful efficiency, I expect a surprise switch from AMD to Intel’s chipsets, or perhaps another custom AI computing-enabled APU from AMD. Otherwise, Valve may use ARM 64 architecture-based Proton chipset with some solid GPU material from Nvidia, stepping up with 16 CU processing.
Several handheld gaming enthusiasts wonder whether Valve is waiting for the Strix Halo chipsets to get more widely available, which will allow it to set the mobile-specific AI-powered processing on its next-generation handhelds. In case you may wonder what a Strix Halo is, it is the codename for the high-end tier of AMD’s Ryzen AI 300 mobile processors.
Gamer folks on Reddit are expecting not only a Steam Deck 2 but also a “Steam Deck Lite” that can effortlessly run more games at low wattage without stuttering. Many are hoping that AMD may step up its game with the UDNA APU with FSR4 support for the Steam Deck, making it worth the wait for the Steam Deck 2.
Display and Battery
I expect that if Steam Deck 2 surfaces, it may continue with the 800P OLED display instead of shooting up the resolution anymore. It will only add to the cost of production, which in turn will make the final product expensive for the end user.
In this era, users prefer OLED more than LCD, and the Steam Deck 2 most likely won’t ship with an LCD. The current Steam Deck OLED was a major step up from the original Steam Deck, which had an LCD out of the box.
From gaming forum discussions, it is evident that people do not find display resolutions more than the 800P useful. Their expectations lie with a powerful processing unit and a smoother FPS experience that allows them to game seamlessly.
Given that Valve takes its user feedback seriously, the sole focus of the OEM should be on putting together a powerhouse of an APU that mitigates all the pain points faced on the original Steam Deck.
Coming to the battery, I hope Valve puts a battery upgrade that doesn’t betray the gamer in the mid-gaming session, leading to plugging in. So, expect a substantial leap(around 40 percent) from the current battery being used on the Steam Deck to a 60WH battery on the follow-up.
It’s worth noting that Valve’s Steam OS can be used on handheld gaming devices from other OEMs. So, it is a great business for Valve where it can implement and support the SteamOS on other handhelds while making good money instead of hastening the process of CPU/GPU or design research for Steam Deck 2.
Steam Deck 2 Price
With ASUS, Lenovo, and MSI tightening their stronghold with native handheld devices, Valve needs to price its Steam Deck aggressively to capture the market and meet the hype around its Steam Deck 2.
That could be highly unlikely if we are talking about Valve throwing in a powerful AMD chipset that manages the CPU and GPU efficiently. Also, any other simple hardware additions or upgrades will call for a price hike.
The original Steam Deck LCD was launched at an affordable $399. Later in 2023, the Steam Deck OLED arrived with a price tag hovering a little over $500.
So, considering the Steam Deck 2 launch happening around 2026-2027, we can expect the price to lie between $500-600, or it may even go upwards to $700. With the surging chipset costs, producing a powerful yet compact handheld gaming device cannot happen at a cheaper cost.
Like the Steam Deck original, if there are separate LCD and OLED versions, then we can expect the LCD handheld to lie between the $400-500 mark, and the OLED will probably start at $600+ price point.
Steam Deck 2: Worth the Wait?
The hype from the user’s end, and the technical requirements to play the latest games that Steam Deck is failing to meet, along with the growing competition in the handheld segment, will likely push Valve to expedite the development and production of Steam Deck 2.
However, as Lawrence Yang’s comments suggest, Valve is taking a careful approach to ensure Steam Deck 2 has a powerful chipset to rival devices like the ROG Ally and Legion GO. An official announcement on Steam Deck 2 likely won’t come until 2026 or later, though it could arrive sooner than you think.
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