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Nothing gets bad or dangerous for closing the lid. Only the hardware wise keyboard and screen gets touched. Generally, as per software and in windows When we close laptop Lid then it takes you into suspend or sleep mode or power management saving mode and as per hardware there is not any hardware except sensor at the place of lock of lid or at a button on body. In that case you can use it connected to an external monitor and the with the key combination Windows key + P you can select to have image only in the external monitor. That is because the Wi-Fi antenna used to be in the frame of the monitor. One more thing: in my experience using a laptop with the lid closed significantly reduced the Wi-Fi signal. Then, you can post the results here if you want! Download some benchmark software and run it with different stress benchamrks with and without the battery so you can test if specifically your laptop will take power from the battery. However, as almost everything in computing world, it can be measured. I have never heard that power demand spikes take energy from battery. I mean, fully charge the battery, then use the laptop with battery until it is in 5% of power (or so) and then charge it until 65% and store it. Perhaps, every 2 months or so you can do a complete cycle. I think it´s a good idea to store the battery not fully charged. I would use the laptop with the lid closed and without the battery! Most laptop battery contacts aren't made to handle many cycles and poor connections would cause a huge problem.
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Personally, I would still avoid it unless there was a good reason to remove the battery. This is an extremely minor effect and might be outweighed by the battery being slightly warmer due to being in the laptop. By leaving the battery in the laptop, the charger can prevent the battery from self-discharging, preserving its cycle life. You will eventually have to place this charge back into the battery, needlessly wasting its cycle life. It's not good for the battery because while the battery is disconnected from the laptop, it self-discharges. The charger is connected through a long, skinny cable with lots of inductance and can't respond as well to demand spikes without voltage sag.
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It's not good for the laptop because the laptop uses the battery to supply power during demand spikes. Using it without the battery is not good for the laptop or the battery.
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