Amidst widespread reports of device discontinuation and a clear roadmap for the eventual end of technical support for HoloLens, Microsoft faced a significant setback earlier this month when it lost the U.S. Military IVAS contract, worth an estimated $22 billion.
After the Integrated Visual Augmentation System (IVAS) news, Microsoft’s Mixed Reality CVP, Robin Seiler, clarified Microsoft’s position on the HoloLens and its mixed reality strategy.
Seiler stated that Microsoft is “transitioning away from hardware development” but will continue to support the HoloLens 2 hardware and software until 2027, as announced in October. This confirms earlier reports about the Last-Time-to-Buy period for the HoloLens, marking the final opportunity to purchase the HoloLens 2.
While the HoloLens has been used in enterprise settings throughout its lifespan, the IVAS contract has been crucial for keeping the device relevant in recent years, especially as the market developed and more vendors began offering similar functionality.
Interestingly, after losing the IVAS contract, Microsoft’s HoloLens division was succeeded by Anduril, a startup founded by Palmer Luckey, who is known for creating Oculus, the virtual reality company acquired by Mark Zuckerberg. Anduril is now tasked with developing and producing a mixed-reality device, following Microsoft’s work on the HoloLens-powered IVAS.
Lucky Speaks on IVAS
Speaking on the IVAS partnership, Palmer Luckey, founder of Anduril Industries, said, “the IVAS program represents the future of mission command, combining technology and human capability to give soldiers the edge they need on the battlefield.”
Lucky also added:
The ultimate goal is to create a military ecosystem where technology acts as an extension of human capability. 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.
In the same official commentary on the partnership, Robin Seiler said:
We are incredibly proud of the work our teams have put in to help the U.S. Army transform its concept of a soldier-borne, AR headset into reality with the IVAS program. Our Soldier-Centered Design approach helped reimagine technology development with the Army that continuously took in real-world soldier feedback to develop a product that soldiers love.
“We are excited to partner with Anduril for the next phase of IVAS and leverage our combined strengths to meet our commitments on this vital program and deliver a game-changing capability for every U.S. soldier,” Seiler added.
Microsoft is actively involved in the IVAS project. Specifically, Microsoft Azure will be integrated with the IVAS project, providing cloud computing support for mixed reality and artificial intelligence technologies. This involvement reinforces Microsoft’s role as a backend framework provider in the emerging extended reality market, positioning the company firmly in this field.
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