Getting Error message: “Steam client: VGUI_Setup failed” after updating Steam Client

Hello, I am running Windows XP on my system and first time in my life I have installed Steam client on my pc. After installation Steam started to update itself on my pc and once it was done I restarted it again. Now when I am trying to launch any game then I am getting an error message saying that “Steam client: VGUI_Setup failed”. I dont understand why I am getting this error, so if anyone knows how to solve this then please let me know. Thanks

I think that you are getting the error message because of some corrupt system file. So can you try to do a System File check on your pc and see if that helps. To do that first click on Start and then in Run type CMD. A command prompt will popup, here you need to type sfc /scannow and then press enter. Once this system file process is over, then restart your pc and then launch the game again and see if the problem gets resolved or not.

To solve the issue that you are facing, first exit Steam client completely. After that go to Start > Run and then type steam://flushconfig and press Enter. If it ask to allow this website to open a program then click ok Allow and ok. Now restart your computer and then launch Steam directly from the installation folder and not from the shortcut. Now check if you are still getting the error message or not.

If you have any antivirus installed in your system then check whether it is not blocking or deleting any Steam files or it could be also labeling Steam files as malware due to which some of its files are not getting installed in your computer. So, try to first disable any antivirus or firewall in your computer and then reinstall the Steam client again. This time all the files will get installed properly.