The gamepad is designed to work with the company's Steam Machines consoles, which were revealed on Wednesday (September 25).
Steam Controller's most distinctive feature is two large, circular trackpads instead of the usual thumbsticks on a console.
The device also sports a high-resolution touchscreen which is clickable and enables both control and navigation.
"Players can swipe through pages of actions in games where that's appropriate," the company writes on its announcement page.
"When programmed by game developers using our API, the touchscreen can work as a scrolling menu, a radial dial, provide secondary info like a map or use other custom input modes we haven't thought of yet."
The controller comes with a total of 16 buttons, including two on the back, four on the corners of the touchscreen and three below.
Steam Controller comes at the end of a week-long announcement run by Valve, which started with the reveal of its own operating system SteamOS on Monday (September 23).
Watch G&T - Digital Spy's weekly round-up of gaming and technology news with Hunter Skipworth, including our verdict on the new iPhones and FIFA 14 - below:
> This week's best Games & Tech: New iPhones, FIFA 14 and Steam Machines
> Microsoft will watch Valve's Steam Machine with "great interest"
> Valve reveals Steam Machines, a 'new category of living-room hardware'
via All - Digital Spy - Entertainment and Media News
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