There is a big difference between releasing games for an existing Linux installations and the rumors about Valve creating a Linux-based console. If they create an entirely new Steam-powered Linux-based console, they short-circuit the Year-of-Linux concept. There is an established history of people buying new consoles. For the most part, they honestly don't care what the underlying OS technology is. If Valve released a new easy to use console that could play a few major league titles and attract enough developers for future games, they could easily succeed no matter what the underlying tech is. If it happens to be Linux, that's fantastic if it leads to contributions back into the mainline FOSS ecosystem.
(speaking as a major fan of John Carmack whose commitment to releasing source code literally changed my life as a youngin'.)