It's Indirect Only For Acer's Gateway

The PC brand, now a wholly-owned subsidiary of Acer Inc., is shifting its distribution model to focus exclusively on retailers, e-tailers and channel partners, according to Acer.

"We are shifting Gateway's distribution method to better align with Acer's successful global strategy, which was built upon an indirect model. As the only top-tier PC company without a competing U.S. direct sales force, our commitment to the channel is unparalleled in the industry," said Mark Hill, U.S. general manager for Acer Group, in a statement.

Along with Dell Inc., Gateway was once a formidable direct competitor to the channel. The company was sold to Acer in October 2007 for $710 million and now joins Dell as companies looking to increase their channel presence.

Gateway was founded in Sioux City, Iowa by Ted Waitt in 1985. The company ran into financial trouble when the dot-com boom began to collapse and went through a series of executive departures and other changes.

Acer's new strategy for a completely channel-focused model will simplify Gateway's business and deliver significant cost savings, which should result in an improved value proposition for customers, according to Acer.

"Customers can rest assured that they will continue to get the award-winning products and outstanding technical support they've come to expect from Gateway for the last 23 years," Hill said in the statement.

Gateway products are available through retailers and e-tailers including Best Buy, Circuit City, CompUSA, Costco, HSN, Newegg, Tiger Direct, Office Depot, OfficeMax and Wal-Mart, according to Acer.