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Sony have also removed paid products from users accounts on Playstation and this will likely expand to other services as publishers don't want to pay for extended licences. The majority of games will be fine though but live services and ones always online are most likely to suffer such fates.
Luckily, Apple is not Steam.
The simple answer is that yes, they can.
But it rarely happens.
When publishers do this it tends to cause a lot of (justified) outrage. I know of one instance where a game was removed only for the publisher to rescind following that outrage, and restore the game to people's libraries.
I do not think developers and publishers want to get a "bad reputation" by pulling out a game, but sure, they can, but not without a form of repercussion from the consumer.
And not all is written in laws and rules, some things are just part of norms and values.
Not that I'm expecting such things to happen on Steam anytime soon, or much at all, mind. But it still doesn't change that the answer to OPs question is "yes, they could if they wanted to".
I don't recall which game was removed and then returned to libraries. It was many years ago. But a cursory search also reveals that Order Of War: Challenge was removed from libraries and not returned. The reasoning behind the removal being that it was online only and once the servers shut down it was unplayable. But that too, caused a stink.
Other games that have shut down since and become unplayable for similar reasons, such as Gods and Heroes Rome Rising and Darkspore were not removed from libraries. Probably because Valve don't like dealing with angry customers when it happens.
It is more likely that the publishers do not care if a dead game, which can not be played anymore is lying around in customers libraries.
It is the same with games which are still sold on the store, but the developers/Publishers long gone.
If whoever owns the rights to it does not remove it themself it will be available forever with whatever earnings it might make may sitting in limbo.
We know this to not be the case at least for Darkspore. It was removed from Origin libraries.
This does not surprise me. if Ubisoft wants to do that then they are free to.
If they are sold under permanent license then no they can't yank the games out of your account like that. What they woul;d likely do is that they would change the sales terms going forward from a particular date so that all new purchases come under the temp license
It's not even a Steam Policy but basic consumer law.
Im not sure as i would have to look in the licenses of each game, but most should have something written in it that they grant you a limited revocable license.
There probably is not a single publisher out there which gives out permanent ones....