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September 21, 2018 08:00 pm

Magic Leap is Pushing To Land a Contract With US Army To Build AR Devices For Soldiers To Use On Combat Missions, Documents Reveal

Magic Leap, a US-based startup valued at north of $6 billion and which counts Google, Alibaba, Warner Bros, AT&T, and several top Silicon Valley venture capital firms as its investors, is pushing to land a contract with the U.S. Army to build augmented-reality devices for soldiers to use on combat missions, Bloomberg reported Friday, citing government documents and interviews with people familiar with the process. From the report: The contract, which could eventually lead to the military purchasing over 100,000 headsets as part of a program whose total cost could exceed $500 million, is intended to "increase lethality by enhancing the ability to detect, decide and engage before the enemy," according to an Army description of the program. A large government contract could alter the course of the highest-profile startup working on augmented reality, at a time when prospects to produce a consumer device remain uncertain. Building tools to make soldiers more deadly is a far cry from the nascent consumer market for augmented reality. But the army's program has also drawn interest from Microsoft, whose HoloLens is Magic Leap's main rival. The commercial-grade versions of both devices still face significant technological hurdles, and its not clear the companies can fulfil the army's technical requirements. If recent history is any guide, a large military contract is also sure to be controversial within the companies. Last month, Magic Leap unveiled its much-hyped AR device to the press and select developers.

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