Founder joins with Acer to share strengths in cross-Straits agreement

09:19, August 06, 2010      

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Founder is joining hands with Taiwan-based computer producer, Acer, to develop its PC division, according to a statement released Thursday.

Acer will run Founder PC's planning, marketing and supply chain management, while the production of the Founder PC will still be run in Suzhou, Jiangsu Province. Founder will serve as a service provider for Acer's customer service network.

"Founder will still run the production of its own PCs. Founder is not selling its PC sector to Acer, so this deal is totally different from Lenovo's purchase of IBM's PC sector. The two companies have different advantages, thus the tie-up will be win-win," said Geng Yu, a spokesperson for Founder.

Founder is hoping to leverage Acer's business experience and its competitiveness in the IT industry.

Acer, on the other hand, will take advantage of Founder's sales channels and service network in the mainland, which will help the Taiwan-based firm expand in the growing mainland market.

In the first quarter of 2010, Acer PC gained 14 percent of the world PC market, making it No. 3 in the world. With this deal, Acer will climb to No. 2 in Asia, a market it has struggled in, reported Reuters.

Acer is reportedly to give Founder $70 million over the seven-year licensing period. But Geng said that they still didn't receive such notice from Founder about this matter.

"Some of the employees in the PC sector will also go to Acer, but the exact number is still not known at this time," Geng said.

"The PC sector is now not as profitable as printed circuit boards or digital publishing, in which Founder owns core technology," said Geng.

According to the announcement, Founder is also in consideration to further cooperate with Acer in the digital publishing industry.

Source: Global Times

(Editor:黄蓓蓓)

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