Computer seller, Acer, Taiwan’s main show is posed to buy Gateway computers for 710 million.

The conclusion of the deal will make Acer the third largest producer of computers int he world. They will ship 20 million computers and have sales average of 15 billion dollars a year.

Also of note, they may try to prevent their Chinese rival Lenovo from purchasing Packard bells European section.

Gateway wants to buy Packard Bell in a deal regard “first refusal” struck with its owner back in 2006.

Acer feels that with the purchase of gateway they will finally have visibility and presence in America.It strongly compliments their vast foothold in Asia and Europe.

Both Gateway and Acer feel that the deal is good for both of them and cuts the annual cost by 150 million annually.

Experts believe that Acer will act on the deal to acquire Packard Bell’s European Division, if only to get one over on Lenovo. Lenovo has been focused on the acquisition of the Dutch company to give them a European presence.

Perhaps they will simply have to pay more for Packard Bell…