A 16-year-old clip of Gabe Newell discussing piracy is gaining attention, highlighting that “people are happy to pay” for “great products delivered on their terms.”

Valve has carved out a lucrative niche in the gaming world, largely thanks to innovative products and forward-thinking policies, with founder Gabe Newell’s leadership playing a crucial role in shaping the company’s vision. A particularly memorable statement from Newell has resurfaced after 16 years, now gaining traction with over 244,000 views on a YouTube upload from a small channel: Newell succinctly explaining why piracy is fundamentally a service issue.

This clip originates from a 2009 segment of ABC’s Good Game, and the recent upload is already on track to become the most-watched version on the platform. In the video, Newell discusses how piracy isn’t a major concern for Valve, noting that it rarely even makes the top ten issues on their radar.

He argues that the industry’s perception of piracy is flawed. “There’s this assumption that piracy is about people wanting to steal stuff from you,” he explains. “But when you see that these individuals have $2,000 PCs and are spending $50 a month or more on internet, it’s clear they’re willing to invest in gaming.”

In today’s landscape, where a premium GPU can cost as much as that entire setup, it’s a stark reminder of how gaming hardware prices have evolved. Newell points out that piracy often stems from poor service provided by game companies. He cites the Russian gaming market as an example, where pirates were simply offering better distribution than legitimate storefronts. If companies could match or exceed the quality of pirated offerings, they could easily win over players.

He illustrates this with a hypothetical scenario: if someone wanted a game in Russian and didn’t want to wait six months for its release, they would turn to piracy out of necessity. However, once games became available simultaneously with other regions and were localized, piracy in Russia significantly decreased.

Newell sums up his perspective by emphasizing that addressing piracy is about providing the best possible service to customers. This philosophy remains a cornerstone of Steam’s approach, as Newell and other Valve representatives frequently echo this sentiment. While pricing is a factor, he argues it’s one of the “less important” aspects of piracy. “People are willing to pay if they feel they’re getting a great product delivered on their terms,” he notes, highlighting the importance of customer satisfaction.

He elaborates on what “on their terms” means, such as being able to access purchased content across various devices, while traveling, or after reinstalling an operating system. These considerations reflect Valve’s ongoing efforts to create a versatile gaming platform, not just through devices like the Steam Deck but also by fostering a user-friendly ecosystem that benefits both players and developers.

In closing, Newell reiterates that by prioritizing customer needs and delivering valuable services, piracy becomes a non-issue for Valve. While Steam is not without its flaws and Valve faces its share of criticism, the effectiveness of Steam in combating piracy speaks volumes about its role in the PC gaming landscape.

In a lighter moment, Newell shares that despite the occasional trolling he faces in chat while playing Dota 2, he enjoys the game daily, viewing the comments as a sign of enthusiasm from the community.