Acer plans to acquire US-based iGware, a cloud technology company, for US$320M, looking to move into the cloud market and add value to its main hardware business.

The company added that it will pay a further $75 million in a performance based payout.

With the objective of mid- to long-term investment, Acer will leverage iGware's technology to establish its own cloud infrastructure, called Acer Cloud.

iGware, based in Silicon Valley, California, is a provider of cloud technology, offering cloud-based device ecosystems, virtual consoles and personal cloud. iGware's cloud software and infrastructure tools currently enable and support more than 100 million consumer devices worldwide including Nintendo?s Wii, iDS and 3DS, and will support Wii U in the future.

J.T. Wang, Acer Chairman and CEO, said, "iGware offers expertise in cloud technology software design, with services already deployed on large scale and long-term basis. 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."

Wang continues, "The goal of Acer Cloud is to allow our users enjoy and manage all their ICT devices, contents and resources with ease, by integrating all Acer products including PCs, tablets and smart handheld devices within a safe and secure environment."

With iGware's cloud technology already in use, Acer is confident of a promising future development in Acer Cloud built on open platform. In the foreseeable future, Acer will begin hardware and software design integration, and expects to launch products that leverage Acer Cloud services during 2012.