Majority of Game Developers Believe Steam Holds a Monopoly Over PC Game Distribution

A new whitepaper from Rokky titled “The State of PC Game Distribution” has reignited the long-debated question of whether Steam has too much power in the PC gaming market. Conducted by Atomik Research, the survey questioned 306 executives from game studios “67% based in the United States and 33% in the United Kingdom” and found that 72% of respondents believe Steam operates as a monopoly in PC game distribution.

However, defining Steam as a true monopoly is not straightforward. As Circana’s senior executive Mat Piscatella and Rokky note in the paper, Steam does not technically hold a monopoly in legal or economic terms, but there is “a good case to be made that it functions as an effective one.”

Rokky’s findings reveal that 48% of developers surveyed have released their games on both the Epic Games Store and the Xbox PC Store, while only 10% have done so on GOG, and just 8% on itch.io. Despite the presence of multiple digital storefronts, Steam remains the dominant platform by a significant margin, thanks to its massive user base, established reputation, and integrated community features.

Alternative marketplaces such as Humble and Fanatical were also mentioned, but nearly a quarter of developers surveyed view such marketplaces negatively, associating them with the gray market, loss of control, and potential revenue leaks. Rokky challenges this perception, arguing that this fear is largely misplaced and that these e-stores could instead help diversify distribution channels and reduce overreliance on Steam.

“Lack of clarity around what constitutes the gray market – and the mistakes that can unleash its forces – could signal a missed opportunity for many PC game developers,” Rokky writes. “If developers avoid e-stores and marketplaces because of a belief that they themselves constitute the gray market, then revenue opportunities are missed.”

Rokky further clarifies that while key reselling and regional price manipulation are legitimate concerns, they are not inherent to e-stores when managed properly. Instead, such platforms can expand visibility, offering smaller studios a chance to reach broader audiences without depending entirely on Valve’s marketplace.

Despite this, developers continue to face challenges even outside Steam’s ecosystem. Issues like discoverability, oversaturation of free-to-play titles, and the rising prevalence of subscription services make it increasingly difficult for independent games to stand out and maintain consistent sales.

Ultimately, the report concludes that developers exploring alternative stores must focus on maintaining control over pricing, distribution, and value to avoid gray-market pitfalls. “The path to opportunity isn’t without its challenges,” Rokky states, “but with a firm, effective strategy in place, developers may find new audiences and increased revenues.”

 
Do you think Steam’s dominance has reached the point of being a monopoly, or is it simply the result of trust and convenience? Share your view below.