Microsoft wants to hand off much of its Army HoloLens program to Palmer Luckey’s Anduril

Microsoft may transfer its Army HoloLens program to Anduril, focusing on AI and cloud infrastructure.

: Microsoft is considering passing much of its Army HoloLens program to Palmer Luckey's Anduril Industries. This transition would focus Microsoft on supplying AI and cloud infrastructure while Anduril handles production and development. Earlier prototypes faced issues like nausea and visibility problems, affecting Congress's decision to cut previous orders. Future success depends on cost reduction and combat testing.

Microsoft is considering delegating a substantial portion of its Army HoloLens program responsibilities to Anduril Industries, led by Palmer Luckey. If approved by the Department of Defense, Microsoft would primarily provide AI and cloud infrastructure, whereas Anduril would take over production oversight, hardware and software development, and timeline management.

The program, which launched in 2019, faced significant challenges with the initial HoloLens models, including issues such as nausea, eyestrain, and strategic vulnerabilities due to emitted glow. Congress previously rejected an order for 6,900 headsets in 2023, opting instead to assign $40 million to Microsoft for developing a new version, which the Army accepted but has yet to deploy.

Anduril is expanding its defense technology portfolio, which includes drone defense and autonomous systems. As the Army seeks to reduce costs from the current projected $80,000 per device, they might order up to 121,000 units pending successful combat evaluations. Anduril's partnership with OpenAI to embed advanced AI into military systems may play a crucial role in the program's evolution.

HoloLensAndurilMilitary Technology