In regards to your last point: My understanding is that, for example, Valve might be broken up into two companies: - Valve: Produces video games such as Half

In regards to your last point: My understanding is that, for example, Valve might be broken up into two companies: - Valve: Produces video games such as Half Life, TF2, and Portal - Steam: Sells video games If Steam then sold Half Life 3, it would no longer be 1st party software because it is made by Valve not Steam. Granted, that will never happen because Valve will never make Half Life 3. -_-