AC Hotels was founded in 1998 in Madrid, Spain with Antonio Catalan at the helm. The company had held properties from Spain and its neighboring countries serving both business and leisure travellers, even before Marriott International purchased it in 2011. By the next few years, AC Hotels was renamed, AC by Marriott which has brought it to the forefront of the North American market. At the latest count, there are 149 properties opened by AC by Marriott and projected to grow in an additional 100 properties worldwide.

Continuous adaptation to the current market has led AC hotels to revamp their design targeting millennials or the Generation Y. Incorporating modern eclectic styles with technology-centric concepts, Marriott aims to lure the younger generation to their front door. In truth, AC hotels are uncharacteristically Marriott in terms of design. A more interactive approach was intended for its lobby and on site food choices are mainly grab-and-go. In house entertainment and lounge areas are purposefully designed to encourage guests to interact with one another. AC hotel rooms were also tweaked by adding more power ports to cater to a 'plugged in' generation with all their gadgets. This move by Marriott not only ensures profit but also adds to their relevance and longevity.