It seems Microsoft is undergoing some restructuring in its mixed reality department, including layoffs affecting over 1,000 employees.
Despite this, Microsoft remains committed to its HoloLens 2 augmented reality headset and the Department of Defense’s IVAS program. The company also plans to continue investing in W365 to support the broader mixed reality hardware ecosystem.
While the HoloLens has not seen widespread success since its launch in 2015, the Defense Department’s contract for the Integrated Visual Augmentation System has been a significant development.
However, reports of user discomfort have surfaced, leading to the questioning of updated models.
Microsoft’s focus on artificial intelligence remains strong, with significant investments in deploying Nvidia graphics processing units for AI applications like Copilot and ChatGPT.
The company has also integrated premium AI features into its Microsoft 365 productivity applications.
Despite reducing investment in augmented reality and virtual reality, as seen with the deprecation of Windows Mixed Reality, Microsoft continues to innovate in the space.
The company’s Mesh feature enables three-dimensional Teams video calls, allowing users in headsets to connect with colleagues using various devices.