I kind of expect them to put out a "Console" version that has a full CPU & GPU unit in a console form factor before releasing the OS. I do admit there seems to be a lot of work that has opened the OS to more hardware so it may come out as a stand alone OS before a console system. I think for the non-handheld market a console system might end up with better market penetration as those who would install their own OS have no shortage of options and most of those options already include Proton. The market for Steam OS is gamers and while a large percentage probably can and do build their own systems many still buy pre-built so releasing their own pre-built or working with pre-built makers to have a Steam OS pre-built would be more successful at taking a share of the market. I would say the biggest "issue" for gamers who want the desktop/competitive gaming experience is GPU limitations, iirc AMD has best support in Linux, and certain Anti-Cheat implementations that are currently not Linux compatible.