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Microsoft Transitioning Away from HoloLens Mixed Reality Hardware

Microsoft has confirmed that hardware development for its HoloLens mixed reality headset has officially come to an end.

The company ended production of its latest headset, HoloLens 2, in October 2024, and at the time did not disclose future plans for the HoloLens team. In 2023, some teams, including those working on HoloLens, were hit with layoffs, with the company only expressing vague plans to continue its mixed reality hardware push. Further, plans for a third iteration of its mixed reality headset were in the works, but were scrapped (paywalled).

Now, Microsoft has closed the door on the hardware with confirmation sent to The Verge from Microsoft Mixed Reality CVP Robin Seiler:

"We are transitioning away from hardware development but will continue to provide support for HoloLens2 hardware and software through 2027, as announced in October. We remain committed to the IVAS program and will shift our focus to cloud and AI technologies, which will serve as the foundation for IVAS as a situational awareness platform."

The company is also turning to a new partner, defense technology firm Anduril Industries, to continue its HoloLens contract with the Department of Defense. Anduril Industries will take the lead "to drive the next phase of the U.S. Army's Integrated Visual Augmentation System (IVAS) program," according to a joint press release.

Microsoft's Defense Department contract, which was estimated at $21.9 billion in 2021, focused on developing the IVAS technology that would be used for training and feature a unified heads-up display integrating high-resolution night, thermal, and soldier-borne sensors. The current system is designed to enhance situational awareness, target engagement, and decision-making in the field.

Moving forward, Anduril Industries will take over development of IVAS and handle future production of headsets used by the military. Microsoft will continue to support the program through the use of Microsoft Cloud and AI capabilities, the company said.

About the Author

Chris Paoli (@ChrisPaoli5) is the associate editor for Converge360.

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