Valve's SteamOS is slowly but surely replacing Windows 11 for gaming, as more users make the big shift

Valve’s SteamOS market share has grown by 0.32%, based on new Steam Hardware & Software survey
Microsoft’s Windows 11 market share fell by 0.44%, suggesting gamers are migrating to SteamOS
These results come right before Microsoft’s new ‘full-screen experience’ for the Xbox PC app

Microsoft’s Windows 11 is on the verge of receiving significant updates leading into 2026, specifically for gamers with its new Xbox PC app ‘full-screen experience’. However, it appears as though Valve’s Linux-based operating system is gradually taking the lead as the better operating system for gaming.

As reported by TweakTown, Steam’s July 2025 Hardware & Software survey results suggests gamers are switching to Valve’s SteamOS from Microsoft’s Windows 11, with a 0.32% growth in Linux market share – while the market share for Windows 11 fell by 0.44%.

TweakTown highlights that Linux’s 2.89% operating system market share equates to around four million players out of Steam’s 132 million users, so the growth is fairly significant. It may also be a huge indication of how popular handheld gaming has become since Valve introduced its Steam Deck back in 2022, if a majority of these results stem from handheld gamers.

It’s quite clear that Valve’s SteamOS still has a long way to go in terms of its user count compared to Windows 11, but the Linux operating system has arguably already surpassed Windows in terms of game performance, accessibility, and features.

It’s also worth noting that both Valve and Microsoft have pledged commitments to improve their respective operating systems. The former plans to expand SteamOS’s compatibility with other handhelds and desktop PCs, while Microsoft is bringing a ‘full-screen experience’ to handhelds, debuting on the ROG Xbox Ally.

Analysis: I doubt the new Xbox PC app ‘full-screen experience’ will check the SteamOS momentum

Image of Asus ROG Ally running Bazzite/SteamOS — (Image credit: Future)

As I’ve stated previously, it’s very hard for me to see how Microsoft’s upcoming Xbox PC app experience will shift me away from SteamOS, because the latter has simply won me over (at least with handhelds).

I won’t say Microsoft doesn’t stand a chance, and I’m certainly going to be checking it out once it’s available – but I think the stage is already set for Valve to take the lead when it comes to PC gaming.

The tools at my disposal while using Bazzite (a SteamOS clone) are great for UI customization, and perhaps most importantly, improved game performance with Decky Framegen and Decky Lossless Scaling, all via Decky Loader.

Sure, there are certainly equivalent tools on Windows 11, but navigation and tinkering on this operating system, especially with a handheld, is something I don’t want to deal with anymore. That’s why this ‘full-screen experience’ sounds promising, as it sounds like an equivalent to SteamOS’s game mode.

Microsoft’s new efforts to improve gaming on its operating system are very welcome and appreciated, and I think it will attract many gamers once it launches with the ROG Xbox Ally – but overall, I suspect it won’t check SteamOS’s momentum.

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Valve’s SteamOS is slowly but surely replacing Windows 11 for gaming, as more users make the big shift