This is where I think the disconnect lies. You think it is about competition and business model. You think the best product wins. You think that just because Steam's product is better, it automatically follows that they would not be subject to whims and vagaries of the court systems ( yes, systems ). Creators and users are not meaningless, but serve as mere pawns to be traded between warring corporate entities. As users, best we can hope for is that current retarded copyrights are not enforced harder than they are already.
Nintendo's financial status is public knowledge as they are a public company. Steam's profit and warchest is unknown, but estimated below Nintendo. In short, if both sides dig in, it could be a while.
I am fine with Nintendo going down as a result of that potential fight, but are you ok with it being a pyrrhic victory, where US legal copyright landscape changes further to the user's detriment?
Do you care about that?