Gabe/Valve are also competing against the Apple/Mac OSX App Store, but they aren't speaking out against them.
I sincerely think that Valve has legitimate reasons for deriding Windows 8, particularly since their criticism seems to resonate with many early Win8 adapters.
On the flip side, maybe Gabe/Valve disliked Windows 8 and Microsoft's store, so they decided to build their own because they saw a market for a better store?
I think you missed something... He slammed it as a catastrophe exactly because off the Windows store. Maybe you read a different article than I did, or missed the thrust of it?
What Newell is blatantly raging against is the idea that Windows, in running its own store, will make it more difficult for users to install their own software. No doubt he's chiefly worried about users' ability to install Steam, his store. I felt that was obvious from the onset.
And really? Lost respect for him? For his being an honest business man? And you're on YCombinator?
(Edited for overly mean tone. I don't mean to chastise, I just don't understand what you're saying.)