Microsoft is about to give up the PC Gaming and enthusiast market to Valve.

The said market is of course no longer growing and or lucrative, at least for the time being and Microsoft might feel like it doesn't really need it (Obsolete metal coffins/towers, driver/quality headaches its thinking), but I feel they are making a major error and one that will come back to bite them on the arse immensely, literally costing them the status of being the premier gaming platform on PC and if these 'console gaming PC's' take off, they will lose a very lucrative market that might one day run over the consoles.

Valve's idea is fairly decent, provide the same PC hardware packaged accordingly for the living room, running a utility/console like OS for hassle free operation, especially potent given the oncoming 4k TV flood which the new gen of consoles are too underpowered to take advantage off. This would also certainly win out over having to use the damn desktop on your TV.

Also if Steam steals this market it would further give devs more reason to prioritise OpenGL over DirectX.

Only way I see for Microsoft to combat this and it should have been done from the start I reckon, is bring XBOX games to the Windows PC ! The XBOX One is essentially a PC, but it should have been even closer architecturally/software-wise so games and peripherals could be shared across seamlessly. What would be reason for people to buy XBOX One over a cheap gaming PC then you ask ? Well it's a vertically integrated platform that does not cost much comparatively to a custom built or OEM built PC's and focuses on bettering the TV experience. The XBOX One and even the PS4 are too weak for the 4k/8k decade going ahead. There should be a gaming experience, minimum hardware requirement schedule implemented and OEM's allowed to create their own XBOX PC's. Microsoft can even release their own PCIe boards for sound/physics etc. to standardise and optimise the experience.