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Nvidia recalls some Shield tablets due to battery fire fears

The logo of technology company Nvidia is seen at its headquarters in Santa Clara, California February 11, 2015. REUTERS/Robert Galbraith

(Reuters) - Nvidia Corp said it was recalling some of its Shield 8-inch tablets in the United States as the battery in these devices can overheat, posing a fire hazard. The Android-based tablet, which has a price tag of $300-$400, is targeted at gaming enthusiasts and comes equipped with batteries that are made to last longer. Nvidia, better known for its graphics chips, said it would replace Shield tablets with battery types that test Y01 it sold in the United States since the product's launch in July 2014. Nvidia spokesman Hector Marinez said the company will "continue to aggressively adopt best practices to avoid such concerns in the future." "Products containing lithium-ion batteries have been the subject of numerous recalls across the electronics industry," Marinez told Reuters, adding that the costs associated with the recall are not expected to be significant. Nvidia did not disclose Shield tablet sales in other markets, though a statement on U.S. Consumer Product Safety Commission's (CPSC) website states that about 5,000 were sold in Canada. Stifel Nicolaus and Co analyst Kevin Cassidy, who owns a Shield tablet, estimated that the optional recall may cost Nvidia $1 million at the most. Cassidy said he has asked the company for a replacement. Nvidia has asked owners to use the tablet only to initiate a replacement process on the company's website and to back up data. The chipmaker has received four reports of batteries overheating due to thermal runaway, including two reports of damage to flooring, according to the CPSC statement. The recall does not affect any other Nvidia product, the company said. (Story corrects headline and first paragraph to say Nvidia was recalling some tablets, not all. Also corrects to say company will replace Shield tablets with battery types that test Y01, not all 83,000 tablets, in paragraph 3) (Reporting By Lehar Maan in Bengaluru; Editing by Saumyadeb Chakrabarty)