I think he is focusing on VR. Though he prefers AR, he does not consider it as productive a way to spend one's efforts in the near term.
"So my personal opinion (which is not necessarily Valve’s) is that it makes sense to do VR now, and push it forward as quickly as possible, but at the same time to continue research into the problems unique to AR, with an eye to tilting more and more toward AR over time as it matures. As I said, it’s not the definitive answer we’d all like, but it’s where my thinking has led me. However, I’ve encountered intelligent opinions from one end of the spectrum to the other, and I look forward to continuing the discussion in the comments."
"So my personal opinion (which is not necessarily Valve’s) is that it makes sense to do VR now, and push it forward as quickly as possible, but at the same time to continue research into the problems unique to AR, with an eye to tilting more and more toward AR over time as it matures. As I said, it’s not the definitive answer we’d all like, but it’s where my thinking has led me. However, I’ve encountered intelligent opinions from one end of the spectrum to the other, and I look forward to continuing the discussion in the comments."
http://blogs.valvesoftware.com/abrash/two-possible-paths-int...