Steam isn't the right place to sell a game that does 1M in total lifetime sales. Because like you said, it won't hit any recommendations and they'll take a huge cut.

This is like complaining that AMC won't screen your student film. You're playing in a very niche space and the key is to keep costs under control so you can actually make money.

If your game is not on Steam (or big consoles) it doesn't exist. Platforms like Itch are only useful for part-time solo developers who trying to earn their $100 or $10 for ramen. Can be good marketing for solo developers too, but you only make money when release on "real" platform.

Gamedev is a hit industry. Even of released games 90% never make back the investments. Then 1% hits make 90% of money.

And situation is as bad for $3,000,000 game studio as it's for one like mine that makes $300,000 games.