More info available here: http://www.reddit.com/r/linux_gaming/comments/178xsx/native_counterstrike_16_on_steam_for_linux/c83oiv9
I'm not the only one.
I've got the same error when I tried to start CS1.6 via steam. Here is a screenshot - http://ubuntuone.com/1bnOst4WjDmISajox6NDM8
HW info - https://gist.github.com/4642748
similar error
Nothing extracted yet.
So i try to install, it gets right up to the end but when i try to launch it states content still encrypted?
My first try asked for 400mb of data, got that error message, then i tried opting into the steampip beta, then it was 900mb install and same issue, stopped the steampip beta and now the normal beta is 900mb...