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Your steam downloads are limtied by
1) your cpu
2) your disk io
3) your anti-virus
4) your isp
Pick one
If you're hitting 100% disk utilizaiotn, then you're obviously disk limited. Steam can't push data faster than if your disk is getting destroyed
That does sound like it is caused by Windows 11. It could be its updates or other services. Windows 11's Windows Defender checks files as they are written, that's possibly one of the causes for the slowdown, but this in itself shouldn't be too dramatic in making it slower.
I recommend trying to look for guides on how to optimize Windows 11 for performance. Try disabling Search Indexing and SysMain at the very least.
Also see if you can find Windows 11 versions of drivers related to your hardware. (look on your motherboard manufacturer's site (ASUS, MSI, etc.) or look at the computer assembly company's site. (HP, Lenovo, Acer, etc.). Get your drivers from there if possible.)
Also take a glance at any network performance limiting settings as well. Maybe you have software running that prevents one application from using up all network traffic bandwidth.
Could you have a security issue with steam make steam.exe whitelist in antivirus app.
It's just like Elucidator point out something is not same after reset of OS.
Make sure steam is no SSD and not a RPM disk, there has been other steam user point this out, problem is mostr here dont argue SSD is not faster, but somehow steam can switch disk as default, and its because steam did not have enough free room storage asnd why it jump to other disk, i did not say you have this issue, but if you do could explan alot, we dont have full spec and system info from you and steam system information do not cover this.
spare pc test, might be a good idea, to confirm same issue or only own pc issue,
as i see it, help with own isp issue, or my pc only.
Also tried disabling this Services what u mention.
And don't have an application which may using network that prevents Steam to download files at max speed. I tried to reinstall Windows without (and with after) any drivers or programs, besides Steam and anyway same behaviour like something is under 100% usage. Quite strange
Interesting that if i limit the download speed to 30MB\s, lags disappearing. but if i unlock the speed it starts freezing.
Another interesting fact that randomly after restart, steam start working properly without lags with 100MB\s but then after a few seconds or even on next game in queue it starts lagging again and speed drops to 40 - 50MB\s. Also this problem appeared on my others discs (HDD too)
No limitation, PC Lagging - https://paste.pics/7b08035dd29100ffd0d65d599b7bd4f9
Limitation, no lags - https://paste.pics/b5f834edc06a7af1fcbed81760be4c16
PC Specs - https://paste.pics/590d75da3720297eb5dab42d8927550d
Another example - https://paste.pics/a21e256d8779423abe185214ca008e47
And a few more- https://paste.pics/91ac26f2d670c97b22738f6e16361fa5
https://paste.pics/afdd524024a6781fe06e3a12c07ab680
Microsoft support said to reach Steam support
Steam support with 2 short messages said that they cant help me