Acer, the Taiwan based computer company, has announced that they are buying Gateway! The acquisition of Gateway for $710 million will make Acer the 3rd largest PC company in the World, overtaking China’s Lenovo. Gateway, which is probably known best for their infamous cow spotted boxes, and Gateway Country retail stores (which failed), is expected to help Acer’s presence in the United States. The acquisition is scheduled to be completed by December.
Gateway’s chief executive, Ed Coleman says:
“Joining with Acer will enable us to bring even more value to the consumer segments we serve and capitalize on Acer’s highly regarded supply chain operations and global reach.”
I remember back in the mid to late 90’s when Gateway was actually a pretty popular brand and their Holstein cow mascot was recognized by just about anyone. Things started to get rough for them after the dot-com bust which is when they tried a variety of things to help increase sales like selling plasma TVs and digital cameras. Then in 2004, they acquired e-Machines which they hoped would help them in the retail aspect of business.
This acquisition sounds like a win-win situation for both sides if you ask me. Acer wants a bigger presence in the U.S. market, and Gateway was really in need of something like this to help get them out of the slump that they’ve been in for many years. Hopefully this also means that the infamous Gateway cow spots will be ditched for a new look that will appeal to more than just those from Iowa where Gateway was actually founded (ahh, now the Cow Spotted boxes make sense!).
Source: AP
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Tags: Hardware, Acquisition
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Wow this is huge, what an aggressive move. So this puts Acer, Gateway, and E-Machines under one umbrella.
So now we have three major Notebook Manufacturers: Lenovo, HP, Acer. (Yes I’m excluding one on purpose cause their laptops are just junk!)
Interesting. I was wondering what would happen to Gateway.
I personally thought they would have shut down years ago.
What about Dell? Now I understand that they aren’t all that, I work Dell computer at work day in an day out. But they are still pretty big.
I agree with Mohan…I understand that you may think Dell computers are junk but I’ve never had a problem with them.
I thought they would have shutdown by now as well. When they made the move to start selling their computers in stores like Best Buy I thought that was their last-ditch effort to stay alive.
I’m with you on this one! I’m really surprised they made it long enough to get acquired. They should probably consider themselves lucky.