According to a Valve Engineer, the Steam Machine specs outclass the most common PC configurations. The company relied on its own hardware surveys to choose the system’s components. Even as an entry-level option, Valve claims that 4K/60 fps performance is realistic, despite a memory-limited GPU.
I mean a big difference there is that the switch can only play games that run on it. There are going to be games that don’t run on the steam machine (or at least we’ll), just as there aren’t games that run on the steamdeck.
I think it will still do well, but that’s a big difference between the switches approach to low power vs the steam machine.