Rumor - Google to Buy Valve
It's unclear what role the potential acquisition would serve for Google's existing platforms. The company now has several downloadable apps that include Chrome, Google Earth, Picasa and others but has also relied heavily on web-based apps such as Google Docs. The firm also has a large infrastructure to support YouTube and isn't presently involved in the gaming sphere.
Such a move would however challenge Microsoft, which has been developing a similar distribution model for its Games for Windows platform and has also experimented with online distribution for some of its core businesses. Windows Vista has had built-in online shopping to allow upgrading to more advanced versions without buying a second retail copy.
Google hasn't commented on the matter, though Valve's marketing VP Doug Lombardi now says the story is nothing but "rumor."