This issue is related to the general bad window management in steam (all windows seem to be main windows no matter what their purpose. see #45
Bumping this. Come on, guys, this is a rather trivial bug with big annoyance potential, especially when your Cloud decides to get slower, and the dialog is bothering me for more than a few seconds. You already have one such dialog behaving correctly.
Also, james147 is incorrect, this issue has nothing to do with what type of window it is, just with what properties it has (sticky and always-on-top).
Will be fixed in the next release.
Well, guess what? It's not fixed. Same behavior as before.
Nothing extracted yet.
When exiting steam, the little dialog window that is displayed while Steam does its cloudy stuff is sticky (visible on all virtual desktops), as well as always-on-top (no other desktop window can cover it). This is not a good idea, it is quite disruptive.
Curiously enough, the "Connecting Steam account: xxxx" dialog window displayed when Steam is starting, doesn't have this issue.