Controller Shutdown Time controls the idle shutdown timer.
The other settings are minor quality-of-life functions, such as Guide Button Focuses Steam, which causes whichever Menu button you have on your controller to open Steam.
Those are the main settings in this menu to consider, and there's no harm in enabling all of them at once (Aside from Use Nintendo Button Layout, of course!)
Note: this will take priority over Windows inbuilt Switch Pro Controller support, and will have to be disabled if you'd like to use the Pro Controller without Steam. Switch Pro Configuration Support: This will enable the Steam Controller Configurator to interface with and rebind the Switch Pro controller.
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