It seems like all the 32bit stuff could be wrapped in a container of some sort. Part of the issue, as I understand it, is that the Steam client itself is still 32bit. I don't understand why they are still doing that.
It's odd since they updated to 64 bit to run on macOS when they dropped 32 bit years ago and haven't transitioned to Apple Silicon native yet but I imagine they will when Apple drops support for Intel next year.
Maybe a bit of "if it's not broke don't fix it." Not like moving to 64 bit would see any real improvement in their client.
Assuming Valve won't drop macOS completely at this stage. Most of the games for Mac in Steam aren't even Apple Silicon native, if I'm remembering correctly.
There are definitely enough people playing on Mac's to justify continued support of the client. Plus developers are still making macOS ports. The Mac App Store isn't very popular for games and most gamers tend to prefer Steam still. So that's just money on the table.
Valve hasn't updated their own games but that's a whole a different calculation. Wouldn't be surprised if they never update those to run on Apple Silicon or whatever else they change to in 10 years.
Also dropped Mac support entirely in Counterstrike. The previous versions were Mac-native (no translation layers) but still ran noticeably worse than in Windows.