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I would assume you would not be able to because the idea of it is that its meant for a single house. But it could also be to do with licencing issues.
Otherwise you cant create/join a Steam Family.
Like already mentioned, this system is meant to share games with your close family in the same household, not friends in other countries.
Also it helps if your last names match; then you're certain Steam sees you as a 'family'.
but grouping with friends is obviously another way to create a family. I mean best friends tend to care more about eachother than actual family (which you didn't get to choose). Still, being that distant will indeed cause issues with licensing.
The FAQ shows you need to have proven you're family at least. (You trust eachother enough to use eachother's PC and sometimes play on eachother's accounts (under supervision obviously).)
https://help.steampowered.com/en/faqs/view/054C-3167-DD7F-49D4
I think 'intended for a household' is a bit of a deceptive. It is, yes, intended for Parents and their Children. However, it's not a restriction. since it works when not living in the same house at least, in the same way Netflix treats this thing.
You can diffidently add your grandparents to the family and don't need to live in the same house.
Yup. My Steam Family is 4 people in the same house and 2 who live hundreds of kilometers away from me but still in the same country.
Had no problems adding them to my Steam Family.
BUT, to be fair, that was in march when this entered BETA. Its possible that Steam made it more restrictive since then.
I dont plan on finding out just for fun, i have my Steam Family setup and just leave it alone that way.
Now that multiple people can use one accounts games at the same time unlike with the previous version you have to have additional restrictions or it would get even worse and less companies would use steam families.
Stream family is a feature steam offers completely free and they have every right to choose how it works.
https://help.steampowered.com/en/faqs/view/054C-3167-DD7F-49D4
It's because of abuse.
In recent years, some people figured out that certain regions in the world got games at vastly cheaper prices due to their differing economy.
So abusers set up accounts pretending to be there, family shared and bought these games cheaply to use across these accounts.
Obviously this is a breach of service and developers and publishers weren't pleased.
So changes were made. This is a result of this.
Ergo, this is why we can't have nice things.
Seriously, the whole regional lock shouldn't even exist anymore, due to digital destribution. Stupid political/money games played by retted old men horrendously out of touch.
Some people seem to forget that Valve have a MASSIVE wealth of data available at their fingertips and don't make decisions lightly. They would most likely have substantial evidence of such abuse to back this up.
And if they can show the changes to publishers, this might actually be a welcome thing for the genuine users. Maybe more will come across to it.