Yeah, this is true. The main issue with this argument, though, is the same one I had when EA rebranded Origin and removed games from Steam - the consumer/player has grown-up with better tech, so giving us shit now is unacceptable. There is a bar for download clients right-out-the-gate, and its height is Steam of 2016 - reviews; gifting system; modding inside and outside Workshop; the ability to have games that are DRM free, independent of the client; anti-cheat; marketplace.
Winstore (and Origin) aren't competing with Steam as it was in 2004, they're competing with Steam as it is now. Which means that both EA and MS, rather than truly competing, take the easy-way out and force games to be exclusive to their platforms. I'm no fan of Ubisoft, but give them credit for both creating-and-improving their own client, and for keeping their games on Steam at the same time. And, as you say, Valve listened to feedback (I would say on a deep level) - I can't see Phil Harrison having the same understanding of issues (and willingness to act on them) as Gabe.