Why is Valve making their own Operating System?

[Edmond]

"What is the point of Steam OS, cant you just run wine if you want to run Windows apps on Linux"

Using a virtual OS/emulator is a workaround, and has it's shortfalls. It the equivalent of adding a motor to a bicycle (designed for manual propulsion) so you don't have to peddle, but offers nowhere near the same capabilities of a motorcycle.

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"Who uses Linux anyways?"

Short answer: Linux offers much more than other OS, in particular flexibility. Here's a survey that was conducted:
http://www.pcworld.com/article/253018/wh...ight_.html

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"What is the point of it? How is a free OS going to make them more money?"

At one point in time, Valve (or one of its members) stated that Linux is the future of gaming (See link below). Also, how do you argue that a free OS hurt's Valve's profit? Youtube is free to use, but there are means to profit from it. Similarly, the Steam Machine can reach out to a larger customer base (console gaming), and can have additional features tacked on to it which can help generate revenue (like an app store). It should also be noted that Valve is a big proponent of user modifications, and a Linux-based system is the obvious route to such.

http://www.linux.com/news/software/appli...-of-gaming