Skip to content

Microsoft Job Cuts Hit HoloLens Unit After Setback on Army Goggles

Microsoft’s HoloLens 2 headset

Microsoft’s HoloLens 2 headset

Photographer: Angel Garcia/Bloomberg
Updated on

Microsoft Corp., which is eliminating 10,000 jobs and trimming some of its hardware lineup, will reduce its HoloLens goggles business as it scales back work on a headset for the US Army that Congress declined to fund this year, according to people familiar with the matter.

The software maker will take a $1.2 billion charge in the second fiscal quarter related to the overall job cuts and “changes to our hardware portfolio,” Chief Executive Officer Satya Nadella said Wednesday in a memo. Some of those changes relate to the HoloLens goggle and the Integrated Visual Augmentation System, or IVAS, being designed for the Army, said the people, who asked not to be identified because the plans are confidential.