Project Shield can stream any games made available through its connection with a local PC, including access to the Steam gaming service's library of over 1,800 games.
Mr Huang described Project Shield as: "The culmination of five years of work."
Nvidia did not reveal an exact price or release date for the device, saying it would be available sometime in the second quarter this year.
The chip maker's decision to move into complete consumer devices surprised observers, particularly as the most recent leading handheld consoles, Nintendo's 3DS and Sony's PS Vita, have struggled in the face of competition from smartphones and tablets.
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