Half a decade since Half-Life: Alyx changed the landscape of VR gaming, Valve continues to be a key player behind the scenes. Despite keeping a low profile, the company has consistently impacted the virtual reality industry through gradual updates to SteamVR, compatibility with independent headsets such as the Quest, and ongoing murmurs about new hardware and games. As Alyx’s fifth anniversary quietly passes by, one has to wonder: is Valve fully committed to VR, or are they slowly stepping back from the dynamic world they once shaped? Here’s a rundown of what we know so far.
It’s amazing how fast time flies, right? One global pandemic later, and suddenly, it’s been five years since Alyx debuted. For many of us, it feels like it just happened a couple of years ago.
Interestingly, the pandemic almost delayed Alyx’s release entirely. The game came out in March 2020, which happened to be the same month many places in the U.S. started imposing stay-at-home orders to curb COVID-19. Businesses everywhere had to quickly adapt; those able to work remotely had to rapidly figure out how to keep the momentum going amidst the chaos.
Valve Software, the studio behind Half-Life: Alyx, faced similar challenges. A slightly earlier lockdown might have thrown the game’s launch off course. Indeed, the pandemic caused Valve to cancel its only press event for Alyx. But in the end, the game met its release date of March 23 with success.
Many have celebrated Half-Life: Alyx not only as the best VR game but also as one of the finest across all categories. Even five years later, it ranks 24th on Steam250’s list of top-rated games on the platform.
Yet, Valve’s legacy in VR extends beyond Alyx. Their VR headset, ‘Index’, has long been regarded as a top choice for PC VR users. Furthermore, Steam’s extensive VR support has sustained the PC VR ecosystem over the past years.
Despite having significantly shaped VR’s future, Valve has been hushed about their plans for the medium in recent times. Major announcements, like a next-gen VR game or headset, have been notably absent.
So, where does Valve stand with VR currently? Here’s a closer look at the clues.
### What Lies Ahead for Valve in VR
Firstly, SteamVR stands as the essential PC VR platform. It’s seen significant and methodical upgrades over time. A notable enhancement came in late 2023 when Valve introduced the Steam Link app for Quest headsets. This allowed Quest users a more straightforward method to wirelessly access SteamVR games from their PCs.
Valve appears keen on expanding Steam Link’s reach. Recent data mining indicates that it might soon become available for new platforms like HTC’s Vive Focus and Bytedance’s Pico headsets.
Moreover, there are hints that Valve aims to elevate wireless PC VR experiences for standalone headsets. Recent software updates have revealed information about a “SteamVR Link Dongle,” likely intended to offer a direct USB wireless connection between a user’s PC and VR headset.
Currently, using Steam Link involves connecting your headset to a router, which then links to your PC. This setup can cause issues for those with weaker Wi-Fi or for users seeking high-bandwidth performance. Lags, stutters, and pixelation aren’t uncommon in such cases.
A SteamVR Link Dongle, on the other hand, could materialize as a direct bridge between the PC and headset, cutting out the router and enabling Valve to optimize wireless VR performance. Indications point to the dongle utilizing Wi-Fi 6E.
It’s still uncertain whether this dongle will accommodate third-party headsets like Quest or if it’s tailored for Valve’s rumored ‘Deckard’ headset.
### The Next Step for Valve’s VR Headsets
Following the 2019 launch of the Index, whispers about Valve’s potential development of a fresh VR headset emerged with patents filed in 2020. These patents envisioned a fully standalone headset along with a slew of ergonomic features.
Five years on, despite the absence of a formal announcement regarding a new headset, a steady drip of hints and data mining revelations seem to affirm Valve’s continued interest in building another headset, albeit on Valve Time™.
Recent months have seen a 3D model of new VR controllers surface in SteamVR updates—believed to be designed for Valve’s upcoming headset. This discovery not only suggests ongoing development but also hints at the potential positioning of the headset.
The rumored ‘Deckard’ headset, potentially branded as ‘Index 2’, is expected to function as a standalone device primarily streaming content from a SteamVR-equipped PC. This concept aligns with how Quest users currently interact with Steam Link.
The configuration of the Deckard controllers—with a classic D-pad and set of face-buttons—implies Valve might market the headset for both VR experiences and playing traditional games on an oversized virtual screen.
SteamVR already supports playing standard games on a large virtual screen, but differing controller layouts can be a compatibility snag. This often requires users to switch from VR controllers to a standard gamepad.
If Deckard’s controllers maintain a traditional gamepad arrangement, it may facilitate smoother transitions between VR and non-VR gaming.
Adding to the intrigue, a leaker with a solid track record for Valve-related insights claims that Valve’s forthcoming headset could debut in 2025 priced at about $1,200.
We can’t confirm these details independently, but there’s enough circumstantial evidence to support there’s something brewing.
Dataminer Brad Lynch, known for his accurate Valve insights, found new mentions of “Deckard EV2” in a recent SteamVR update.
The “EV2” likely refers to a subsequent “Engineering Validation” phase, indicating progress toward production. While further refinements could occur, it’s worth noting Valve’s Steam Deck OLED handheld reached EV2 before going into production. Lynch is confident the headset will be unveiled this year.
### What About Valve’s Next VR Game?
Half-Life: Alyx launched in early 2020 to widespread acclaim and remains a crowning jewel in VR gaming, even five years later. Nevertheless, Valve has remained silent on whether another VR undertaking of similar scope is in the works.
Speculation is rife with the possibility of more VR content from Valve, especially as reports suggest the company is close to releasing Deckard-specific games or demos.
This theory aligns with past revelations from Tyler McVicker, a veteran Valve data miner who accurately foretold details about Half-Life: Alyx.
Less than a year ago, McVicker found data indicating Valve’s work on another VR title alongside efforts on the Deckard headset. While Valve boasts a vast arsenal of major titles, McVicker thinks their upcoming VR offering will revisit the Half-Life universe—possibly even featuring two distinct installments.
He envisages the game as an asymmetrical co-op experience, blending both traditional PC gameplay and immersive VR. One player would control the iconic Gordon Freeman via PC, while another would play as Alyx Vance in VR, both engaging in cooperative gameplay.
Could Valve’s vision be to harmonize this new title with their latest hardware innovations, like the Steam Deck and Deckard?
Currently, Valve hasn’t confirmed or denied any developing headset or VR game. When asked about future VR plans at the Half-Life: Alyx anniversary, they mentioned: “We don’t have anything new to share right now but […] we’ve really enjoyed seeing all the cool experiences that folks have created and uploaded to the Half-Life: Alyx Workshop,” a spokesperson informed Road to VR.
### Valve Is in a League of Its Own
Understanding Valve’s unique internal culture can offer insight into their development approach. The company maintains a distinctive ‘flat’ organizational structure, granting employees greater autonomy in choosing projects compared to major peers.
According to Valve’s Employee Handbook, project initiation relies heavily on individual interest and the ability to gather a team. Without collective assembly, a project might not advance.
But when a project gains momentum, it’s driven by passionate individuals. Coupled with Valve’s access to top-tier talent, this model contributes to their consistent innovation, even with a modest workforce compared to industry giants.
Valving may not release a new VR game or headset annually, but the continuous optimizations to SteamVR—and the periodic teasers of developments in progress—suggest a dedicated faction within Valve firmly advocates for the future of VR.
