Acer builds cloud services

Computer manufacturers Acer has acquired US-based iGware in a deal which could rise to $395 million (£42 million).

Cloud technology company iGware is based in Silicon Valley, California and provides services including cloud-based device ecosystems, virtual consoles and personal cloud.

The services of iGware are already deployed on a large scale and on a long-term basis says J Wang, chairman and chief executive officer of Acer.

Wang adds: ‘As a mid to long-term investment objective, the valuable core technology and capabilities will help create uniqueness for the Acer brand, and support a vast number of our users based on open platform.

According to Wang the ‘goal’ of Acer Cloud is to allow its users to manage all of their ICT devices easily by integrating Acer products such as PCs, tablets and handheld devices.

Under the terms of the deal iGware’s legal entity is to become Acer Cloud Technology Company with subsidiaries in Taiwan and China to be established.  An initial deal price of $320 million could rise by an additional $75 million depending on a performance-based earn-out.

Wei Yen, founder and chairman of iGware comments: ‘This merger will provide a significantly larger platform to further develop and extend our technologies to Acer’s global customers.

‘At the same time, it will allow us to continue working closely with our existing partners and build additional strategic relationships with others.’

Todd Cardy

Todd Cardy

Todd was Editor of between 2010 and 2011 as well as being responsible for publishing our digital and printed magazines focusing on private equity and venture capital.

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