[Twis7eD]

There has been speculation on the matter for some time, but the rumors appear to be heating up.
Verge has uncovered evidence that Valve, the company behind PC game digital distribution platform Steam has been working on a gaming console for some time now.

The console would be called the "Steam Box" and the devices would be made by many partners, with the software made readily available for anyone who wants to sell the device.

Part of the rumor is that during CES, Valve held meetings to demo an in-house version of the Steam Box to potential partners. The specs of the console are a Core i7 CPU, 8GB of RAM, and an unknown NVIDIA GPU. The devices will run all PC titles and will be allowed to load other platforms, like EA's Origin.

Making the system nice for partners is there won't be a required devkit and no licensing fees to create software for the platform. Many current and future USB peripherals will work with the box but Valve is looking to create a proprietary one that ships with all new devices. Said controller will also have swappable components, meaning depending on the game you can switch out or add pads and buttons.

Additionally, Valve is somehow integrating biometric feedback into the device.

Verge says the Steam Box could be unveiled (at least in part) at the upcoming GDC event or during this summer's E3 showcase.

Source:

http://www.afterdawn.com/news/article.cfm/2012/03/03/valve_creating_its_own_game_console