It’s called the Xbox and the reason it wasn’t at this price point is that Microsoft has the capital power to subsidize the cost at risk of the Xbox division not being profitable. Valve doesn’t have such freedoms on hardware it seems.
The XSX costs 43% less than the cheapest Steam Machine, even though it has twice the SSD and includes a controller. Microsoft isn't subsidizing it that far.
That’s a Nth generation device that has a built out hardware pipeline. I assure you that Microsoft still subsidizes the devices and has lowered the cost on later models through hardware supply chain build out agreements.
What are you trying to prove? That Microsoft has hardware pricing magic?