Place potatoes into a large pot and cover with salted water;bring to a boil.Reduce heat to medium-low and simmer until tender,about 20 minutes.Drain,cool,and cut into cubes.
Place bacon in a large skillet and cook over medium-high heat,turning occasionally,until evenly browned,about 10 minutes.Drain bacon slices on paper towels;drain.
preheat oven to 350 degrees F.Lightly grease an 8-quart baking dish.
Combine potatoes and bacon in a large bowl.Mix cheddar cheese,processed cheese sauce,cream cheese,sour cream,honey mustard,steak slices,chives,salt and pepper in a bowl.Stir steak-cheese mixture into potatoes;transfer to baking dish and cover with aluminum foil.
Bake in preheated for 50 minutes;remove foil and continue baking until cheese is bubbly and lightly browned,about 10 minutes.