Microsoft wins $21.9 billion US Army contract

(FILES) In this file photo taken on March 06, 2018 the logo of French headquarters of American multinational technology company Microsoft, is pictured outside in Issy-Les-Moulineaux, a Paris' suburb. - Microsoft said March 22, 2021 it would start reopening its headquarters offices next week and implementing a
(FILES) In this file photo taken on March 06, 2018 the logo of French headquarters of American multinational technology company Microsoft, is pictured outside in Issy-Les-Moulineaux, a Paris' suburb. - Microsoft said March 22, 2021 it would start reopening its headquarters offices next week and implementing a "hybrid workplace" that brings back more employees around the world after a year of remote work during the pandemic. (Photo by GERARD JULIEN / AFP) (AFP)
 1 min read . Updated: 01 Apr 2021, 11:34 AM IST Reuters

The contract could be worth up to $21.88 billion over 10 years, a Microsoft spokesman told Reuters.

Microsoft Corp on Wednesday said it has won a deal to sell the U.S. Army augmented reality headsets based on its HoloLens product and backed by Azure cloud computing services.

The contract could be worth up to $21.88 billion over 10 years, a Microsoft spokesman told Reuters.

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Over the past two years, Microsoft has worked with the Army to on the prototyping phase of what is called the Integrated Visual Augmentation System, or IVAS. The company said Wednesday that the Army had moved into the production phase of the project.

In a blog post, Microsoft Technical Fellow Alex Kipman said the headsets are designed to deliver "enhanced situational awareness, enabling information sharing and decision-making in a variety of scenarios."

The headsets will be manufactured in the United States, a Microsoft spokesman told Reuters.

Microsoft was also in line to win the $10 billion JEDI cloud computing contract with the Pentagon, but the contract remains in dispute in a lawsuit filed by Amazon.com Inc. Pentagon officials told U.S. lawmakers in February that the Defense Department may jettison the contract if the dispute lingers in the courts.

After Microsoft announced a $480 million contract in 2018 to supply prototypes to the Army, at least 94 workers petitioned the company to cancel the deal and stop developing "any and all weapons technologies," Reuters reported at the time.

This story has been published from a wire agency feed without modifications to the text. Only the headline has been changed.

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