Valve's Steam Box is going to be a real big deal, but Microsoft's Don Mattrick, president of Xbox's Interactive Entertainment Business, doesn't think so. Verge reports that when asked whether he views Valve as a competitor during Microsoft's TechForum event, Don simply stated "no."
Don added that he thinks Valve is "doing innovative stuff" and that he loves Gabe, but he believes that "the scale of products and things that are being brought to market are probably a little bit richer when I look at Sony, Nintendo, Apple, and Google."
Gabe Newell, on the other hand, believes that Apple, not consoles, are their biggest threat.
The Verge piece also details how Don seems fine with keeping the Xbox platform as the way they have to third-party developers. A bad move given the openness of the PC market, and with what the PlayStation 4 will also be providing, especially to indies.