Valve's SteamOS, a Linux-based operating system, is increasingly being adopted by gamers, slowly replacing Windows 11's dominance in the gaming sector. According to Steam’s July 2025 Hardware & Software survey, Linux saw a 0.32% increase in market share while Windows 11 experienced a 0.44% decline. SteamOS now holds a 2.89% share, translating to around 4 million users out of Steam’s 132 million.

This shift is largely attributed to the popularity of Valve’s Steam Deck, which runs on SteamOS and has promoted handheld PC gaming. The Steam Deck's success has encouraged other manufacturers to adopt SteamOS for their devices. For instance, Lenovo's Legion Go S, released in January 2025, is the first third-party handheld device to support SteamOS.

While Microsoft plans to enhance Windows 11’s gaming experience with features like a new full-screen Xbox PC app, analysts remain skeptical about its ability to curb SteamOS's momentum. SteamOS offers strong performance, UI customization, and optimization tools such as Decky Framegen and Decky Lossless Scaling, especially attractive for handheld gaming.

The growing adoption of SteamOS signifies a shift in the gaming industry towards open-source platforms. Gamers are increasingly seeking alternatives to proprietary systems, valuing the flexibility and customization that SteamOS provides. This trend could influence future developments in gaming hardware and software, encouraging more manufacturers to consider open-source operating systems for their devices.

In conclusion, Valve's SteamOS is steadily gaining traction as a gaming platform, challenging the dominance of Windows 11. Its growing user base and the success of devices like the Steam Deck highlight the potential of open-source operating systems in the gaming industry.