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Gateway makes bid for rival eMachines

updated 02:25 pm EST, Fri January 30, 2004

Gateway to buy eMachines

Gateway plans to in a bid to regain its footing in the PC game and broaden the distribution of its Gateway-branded consumer electronics devices at retail, reports CNET News.com. The company plans to purchase privately held eMachines for $30 million in cash and 50 million shares of its stock (the total value of the deal would be approximately $234.5 million). Under the agreement, Wayne Inouye, eMachines' CEO, would become CEO of Gateway, and Roderick Sherwood would remain as Gateway's chief financial officer. Waitt, Gateway's founder, would remain as chairman of the board.




by MacNN Staff

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  1. MacNN.com Reader

    Joined: Dec 1969

    0

    who cares

    this is just silly pc news

  1. MacNN.com Reader

    Joined: Dec 1969

    0

    2 Hacks in a Box

    Mediocrity now BUYS it's rivals?

    Who really cares if two low-end Pee Sea box stuffers merge? They're both in financial trouble, from what I've heard.

    May they sink as one.

  1. MacNN.com Reader

    Joined: Dec 1969

    0

    true sign of impending...

    Chapter 11. When they start buying up stuff.

    Goodbye Gateway. Gonna miss the rat-tail.

  1. MacNN.com Reader

    Joined: Dec 1969

    0

    In the IT world...

    this news is significant. A company cannot make money by simply selling personal computers anymore, period. There's no profit in it. Apple can use its software to demand somewhat higher margins, but even those margins aren't high enough. Thus, Apple has the iPod. Gateway couldn't make money selling PCs, so it started selling plasma screens and other devices. Dell say that and copied them. Dell also saw Apple and copied them. HP, seeing how other companies are mixing PC and CE and joined the fray, selling Apple iPods. eMachines is probably the largest company to only sell PCs, and now it's been eaten up. With PC OEMs entering the CE market, it won't be long until they perfect the convergence PC/CE machine. Apple could very well could miss this whole market if it doesn't expand its offerings to match.

  1. MacNN.com Reader

    Joined: Dec 1969

    0

    Garbage in, garbage out

    c*** + c*** = Twice as much c***

    Sorta like when HP acquired Compaq... what was in it for HP, exactly? A computer clone brand with a craptacular reputation?

  1. MacNN.com Reader

    Joined: Dec 1969

    0

    Hold on...

    I think they already made a movie about this merger: "Dumb and Dumber"

  1. MacNN.com Reader

    Joined: Dec 1969

    0

    Big Deal...

    Whoop-de-dooo

  1. MacNN.com Reader

    Joined: Dec 1969

    0

    How low...

    will Gateway Go!

  1. MacNN.com Reader

    Joined: Dec 1969

    0

    Re: In the IT world...

    Hate to have to point out the obvious, but you're full of s***. There's no more money to be made selling personal computers? LOL!!! That's why Apple has the iPod? LOL!! Yeah, sure, the iPod is what's holding the company afloat, isn't it. All the Apple engineers would be out of work if it weren't for the grand iPod!!! (Translation: you're an idiot, and you know nothing of which you speak.)

    As to eMachines itself, that company has absolutely no intellectual property of any remote value. This news is nothing significant. Dipshit.

  1. MacNN.com Reader

    Joined: Dec 1969

    0

    This just in...

    ...s*** times two is STILL s***!

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