Update: Accoring to MTV Multiplayer, Doug Lombardi says it's a "complete fabrication"

Yesterday at the GDC, our very own Clov3r got the chance to talk with the developers over at the Valve booth and got confirmation that it is infact a fabrication. The Valve developers joked around with the idea that someone could say such a thing, not seeming to mind the idea much and was "the talk of the office" yesterday morning

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In a very interesting turn of events, it seems that Google is looking at Valve. Why you may ask? It really is quite simple, Valve has an amazing Content Distribution System, aka Steam. While Google may not be looking on getting into the game industry, this could drive a spike into Microsoft's heart at the CDS level. Currently Valve has 15 Million+ users, and a ridiculous amount of games(more to added as time goes buy!) that they currently distribute through Steam, and I see why Google is interested.

Now I guess we'll have to wait and see, but remember, this speculation comes from "WELL PLACED SOURCES"

Source: Inquirer