Dive Brief:

• Amazon will refund the full purchase price of a so-called hoverboard to anyone who purchased one at its U.S. and Canadian sites, TechCrunch reports. 
• The Consumer Product Safety Commission (CPSC) is conducting an investigation into the hands-free scooters, which detect nuances of balance to move. 
• While at least 40 hoverboards have caught fire due to malfunctioning lithium-ion batteries, the CPSC is examining them for overall safety. 

Dive Insight:

Following the launch of investigations into the safety of hoverboards by the U.S. Consumer Product Safety Commission (CPSC), Amazon has pledged to refund money to anyone who bought one of the self-balancing scooters from its sites in the U.S. and Canada.

Hoverboards were the most sought-after item at the launch of the holiday season until reports surfaced about them exploding or catching on fire due to shorts from their lithium-ion batteries. In December, six airlines and the U.S. Postal service blocked carriage of the vehicles, and Amazon and Overstock stopped selling certain brands.

CPSC is investigating the devices’ overall safety due to additional concerns about falls, however, and advises using them only with protective gear, similar to what one would wear when riding a skateboard or Segway.

Amazon—the leading supplier of hoverboards early in the holiday season—won kudos from CPSC for its willingness to make things right. “I am pleased that at least one leading retailer is erring on the side of caution and taking action now,” said CPSC Chairman Elliot Kay in a statement. “I want to commend Amazon for voluntarily stepping up, providing a free remedy and putting customer safety first.”