Market Exclusive

Intel Corporation (NASDAQ:INTC) Issues Recall For Its Fitness Watch

Intel Corporation (NASDAQ:INTC) recently recalled its fitness watches due to an overheating problem.

The chip maker issued the recall for the Basic Peak fitness watch on Wednesday. The firm called on the owners of the devices to immediately stop using the devices citing that the overheating was so intense that it could end up causing burns or blisters on the wearer’s hand.

The concerns about the watch overheating first made the airwaves in June though at the time the firm did not issue a recall. This is because Intel planned to solve the problem through a software update. Unfortunately, things did not go as planned, thus ultimately leading to a recall.

Intel released a statement saying that it hoped that a software update would help fix the problem. The plan was to come up with a solution without compromising the user experience. However, its efforts did not yield the expected results and as a result, the firm expects the users to return their Basic Peak watch. The statement also revealed that users will get a full refund. The recall is a setback in its efforts to foster business diversity. Intel’s plan was to diversify its business beyond the PC industry which is currently experiencing a slowdown.

Basic Peak was the first watch that Intel created after it acquired Basic for roughly $100 million. The watch was designed to monitor the wearer’s physical movements, sweat output, and heart rate. The watch was reportedly more advanced than most of the fitness watches produced by rival companies such as Jawbone and Fitbit Inc (NYSE:FIT). The recall affects all the Basic Peak watches.

The price range for the watches was $139 to $299. Intel is yet to release further comments on the matter. It is not clear whether Intel will continue developing the watches to eliminate the problem or the direction that it plans to take with Basic. Intel had already amassed a significant user base for the devices.

Exit mobile version