These products are experimental and usually sold at or near cost not to make money but to prove to the market there is a need and a demand.

Well, no... I think it's more akin to the concept of "loss-leaders". Get people in the door and while they're there, they'll buy a game or two. Which is where their real profits come from.

In the end, it's still just a business strategy intended to result in profits for Valve.

However, that being said, the fact that they don't have a fiduciary responsibility to shareholders to maximize profits and keep that stock price up at (literally) all costs, allows them to operate the way they do.

But don't get it twisted, they are a for-profit corporation, and their ultimate goal is making money. They're just not as shitty about it.

The bar is REALLY fucking low these days.