Muslims like to quote this verse to Christians, perhaps because they think we don't know that Jesus came to earth as a Servant of God.
But Jesus Himself taught us that He had come to serve, not to be served (Matthew 20:28, Mark 10:45). We know as well that the prophet Isaiah had foretold that the Messiah was going to come as a Suffering Servant.
And suffer He surely did at the hands of men, who cruelly beat Jesus, spat on Him, then mocked, flogged and crucified Him.
But Peter's recapping of the events doesn't end on a sad note.
He continues to the "happy ending" of the Gospel of Jesus Christ which immediately follows this verse that Muslims so like to show us (italics mine for emphasis):
14 "But you denied the holy and righteous one and asked to have a murderer given to you.
15 You killed the source of life, whom God raised from the dead; we are witnesses of this.
16 By faith in His name, His name has made this man strong, whom you see and know. So the faith that comes through Him has given him this perfect health in front of all of you."
Let me give you that verse again in a way that will make things even clearer:
16 "By faith in Jesus' name, Jesus' name has made this man strong, whom you see and know. So the faith that comes through Jesus has given him this perfect health in front of all of you."
So let us recap what Peter tells us in this passage that Muslims ignore:
Jesus is the Holy and Righteous One.
Jesus is the Source of Life.
Jesus' name has the power to heal.
And then there is Acts 4:12, in which Peter is once again unambiguous about his message:
"And there is salvation in no one else; for there is no other name under heaven that has been given among men by which we must be saved."
Jesus' name has the power to save... and no other name has that power.
In Isaiah 43:11, YHWH tells us,
"I, I am Yahweh, and there is no other Savior but Me."
Do you know what Jesus' Hebrew name Yeshua means?
The LORD saves.