Call it an end of an era or a move that was long overdue, but no matter how you label it, Gateway will soon stop selling PCs through its website. Instead, the company will transition to a 100 percent indirect sales model focusing exclusively on brick and mortar stores, e-tailers, and channel partners.
Gateway had struggled in previous years to compete with Dell and other OEMs, but their fortunes looked to change after Acer acquired the company last year for $710 million. The acquisition turned Acer into the world's third-largest PC vendor overnight, while also giving both companies a boost in the North American market.
In a press release, Gateway claims the change in its business model will "deliver significant cost savings, ultimately resulting in an improved value proposition for consumers." Exactly how much the company thinks it will save wasn't disclosed, nor was the amount of job cuts that would result from the shift away from online sales.