What’s Next for Valve in VR as “Alyx” Celebrates Its Fifth Anniversary?

Five years have flown by since Half-Life: Alyx pushed the boundaries of VR gaming, and Valve, despite maintaining a low profile, continues to play a pivotal role in the industry. Unseen by some, the tech giant tirelessly enhances SteamVR, collaborates with popular headsets like Quest, and stirs curiosity with murmurs of fresh hardware and games. With Alyx celebrating its fifth anniversary, many are left pondering: Is Valve steadfast in its VR commitment, or are they gradually stepping back from the industry they revolutionized? Let’s delve into what we currently know.

You blink twice, and boom—five years have passed since the release of Half-Life: Alyx. Many would argue it feels more like two or three. The game’s debut coincided with the onset of the pandemic, almost putting its launch in jeopardy. Released in March 2020, right as the U.S. began rolling out stay-at-home orders, Valve Software had to adapt quickly. Lockdowns commenced, threatening to disrupt Alyx’s debut, yet, with some last-minute pivots, Valve launched the game as planned on March 23rd.

Half-Life: Alyx didn’t just meet expectations; it soared above them, earning accolades as perhaps the best VR game or even one of the best games ever. It’s no wonder that it still holds a strong position on Steam250’s top-rated list. Beyond delivering a classic, Valve has impacted the broader VR industry. Their Index VR headset has been a benchmark for PC VR systems, and Steam’s robust support continues to serve as a backbone for the entire VR sector.

However, despite its substantial influence on VR, Valve has been notably quiet regarding future strategies for this space over recent years. There’s a lack of major announcements hinting at new games or headsets from Valve, which leaves many VR enthusiasts wondering what’s next. So, what’s Valve up to in the realm of VR? Let’s explore.

Upcoming Prospects for Valve in VR

First off, let’s appreciate the ongoing importance of SteamVR. Valve has incrementally updated this premier platform over time. One notable advancement in 2023 was the launch of the Steam Link app for Quest, enabling wireless streaming of SteamVR games — a big win for PC-free gaming.

Intriguingly, Valve isn’t resting on its laurels with Steam Link. According to credible sources digging through data, preparations are underway to extend Steam Link to newer headsets, such as HTC’s Vive Focus and Bytedance’s Pico.

Furthermore, Valve seems poised to enhance wireless VR for standalone headsets. Evidence in their latest software hints at a potential “SteamVR Link Dongle,” a USB device expected to forge a dedicated wireless bridge between PCs and headsets.

Currently, connecting through Steam Link involves routing through your network, which could cause problems if the setup isn’t optimal or if you’re pushing for high quality. A direct connection through this anticipated dongle, likely using Wi-Fi 6E, could bypass these issues for a smoother gaming experience.

There’s yet no confirmation whether this dongle would be compatible with third-party headsets like the Quest or if it’s intended for Valve’s rumored ‘Deckard’ headset.

On the Horizon: Valve’s Next VR Headset

Valve’s last major hardware venture was in 2019 with the Index headset. Soon after, patents revealed in 2020 suggested the company was contemplating diverse concepts, including standalone headsets with ergonomic innovations.

Five years on, although no official announcements have been made, a blend of subtle cues and data from within Valve’s ecosystem suggest a new headset could still be in the pipeline.

Not too long ago, a 3D model of previously unseen VR controllers surfaced in updated SteamVR files, believed to be for Valve’s next headset. This discovery reaffirms hope, pointing to a future headset likely integrating both VR gaming and flatscreen experiences.

The so-called Deckard headset, possibly branded as ‘Index 2’, might stream games from a PC running SteamVR, akin to how Quest operates with Steam Link.

The leaked controller architecture—a D-pad on one side and buttons on the other—hints at a multifunctional headset design that blurs the lines between VR environments and vast virtual screens. This could ease the transition between different gaming modes without needing separate controllers.

Recent rumors, coming from a trusted source familiar with Valve’s operations, predict this new headset could debut in 2025, retailing at around $1,200.

The evidence is not concrete, but reputed dataminer Brad Lynch uncovered references to a “Deckard EV2” in the latest SteamVR release. This indicates the headset might be near production, especially since Valve’s previous hardware went into production post-EV2 phase. Lynch speculates the new headset could be revealed within the year.

Exploring Valve’s Next VR Game

Since Half-Life: Alyx’s release in early 2020, the game has garnered widespread praise and remains a standout in VR gaming. However, it’s unclear if Valve deemed the sales worth the considerable investment.

The question remains: Will Valve tackle another VR project of this magnitude?

According to recent whispers from the same source suggesting a 2025 headset release, Valve could be poised to roll out ready games or demos created for the Deckard.

Supporting this, Valve analyst Tyler McVicker has hinted at the building of another VR title alongside hardware development, potentially another chapter in the Half-Life saga, or maybe even two.

McVicker suggests this upcoming title could be a cooperative game featuring both VR and flatscreen elements, uniting Steam Deck and Deckard platforms.

In a twist of fate, it seems destined to unite their hardware ventures, making players like Gordon Freeman and Alyx Vance join forces.

Officially, Valve has refrained from confirming these developments. When approached, they chose only to express gratitude for the vibrant community contributions to the Half-Life: Alyx Workshop.

Valve: A Unique Company in a Unique Space

Valve operates like few others in the tech world. With a flat organizational approach, the company allows its employees significant leeway in project selection and development. The Valve Employee Handbook details a structure where team motivation and collaboration drive project success—a unique dynamic that fosters innovation.

This method of operation, coupled with financial muscle to attract top-tier talent, allows Valve to innovate at a level often unmatched in the industry despite its seemingly small size.

While they might not churn out new VR products annually, the company’s ongoing work with SteamVR hints at its enduring belief in VR’s potential—a belief held dear by passionate, forward-thinking teams within Valve.