In 2015, Microsoft revealed HoloLens, what it called a “mixed-reality” headset that could have broad application in the consumer market, including in the world of video games. Some early demos were extremely impressive, and Microsoft CEO Satya Nadella even said HoloLens had “mind-blowing” potential for gaming. Xbox’s Phil Spencer said he saw a bright future for HoloLens in the world of gaming.
But HoloLens never panned out like Microsoft wanted it to, and it was discontinued as a consumer product in 2024. Now, HoloLens lives on in a new way–as a military product being run by Oculus creator Palmer Luckey’s defense contractor Anduril Industries.
In a blog post, Microsoft said Anduril will take over production and future development of hardware and software for HoloLens as part of the US Army’s Integrated Visual Augmentation System (IVAS) program. This program is not new, of course, and the Army previously pledged $20 billion for IVAS systems.
To celebrate this announcement, Luckey recreated his memorable (and goofy) Time Magazine cover from 2015, but with a military spin.
Microsoft and Anduril said modern warfare is more complex than ever, which means the need for “intuitive, information-rich tools” is “increasingly urgent.”
“Traditional mission command systems–that rely on flat maps, static dashboards and verbal communication–are ill-suited to the dynamic nature of modern battlefields,” the companies said.
The IVAS program aims to address this by giving soldiers a headset that incorporates AR and VR systems to increase “combat effectiveness” and “survivability against drones,” among other things.
As part of the deal, Anduril will make use of Microsoft’s cloud and AI services to serve as the “backbone for the program,” with Anduril using Microsoft’s Azure as its “preferred hyperscale cloud.”
Luckey, the founder of Anduril, said his aim with the company is to “create a military ecosystem where technology acts as an extension of human capability,” and IVAS and HoloLens could help achieve that. “By empowering soldiers with the tools they need to make faster, smarter decisions, we’re building a future where technology and human ingenuity combine to ensure mission success.”
Microsoft has come under fire for its various gigantic contracts with the Department of Defense. Some employees criticized Microsoft’s efforts in the military space in an open letter, saying, “We did not sign up to develop weapons, and we demand a say in how our work is used.”
CEO Satya Nadella previously defended his company’s involvement with the military.
“We appreciate the partnership with the US Army, and are thankful for their continued trust in transitioning IVAS from rapid prototyping to rapid fielding. We look forward to building on this successful partnership with the men and women of the US Army Close Combat Force,” Microsoft said.