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The news comes as Microsoft essentially washes its hands of all first-party Mixed Reality efforts.

In the last year, the company hasretired its Windows Mixed Reality platformandended production on HoloLens 2.

IVAS headset based on Microsoft HoloLens

The IVAS headset worn by a soldier.

In 2022, the company outrightcanceled the HoloLens 3.

The partnership will need to be approved by the U.S. Department of Defence before it can proceed.

Apple Vision Pro, cracked

Sam Altman and Satya Nadella on stage

Satya Nadella with Sam Altman at a conference

Xbox handheld mock up

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Satya Nadella and Sam Altman at OpenAI Dev Day

Bill Gates holding up a copy of Windows XP operating system in New York�s Times Square.

Apple Store in Bangkok, Thailand

Cloud servers

Microsoft 50

Microsoft event

Lenovo IdeaPad 5x 2-in-1 deal

Promotional screenshot of characters from Zenless Zone Zero

A closeup shot of the MSI Claw 8 AI+�s ABXY buttons.

The Crew

Promotional screenshot of a superpowered football kick in Inazuma Eleven: Victory Road