Kathmandu: Computer Association Nepal (CAN) Federation, Center for Cyber ​​Security Research and Innovation and Information Security Response Team Nepal has suggested the government to build secure cyberspace within a year.



Giving their views on the draft of the National Cyber ​​Security Policy, 2021 made public by the Ministry of Communications and Information Technology on June 28, the three organizations have urged to formulate laws and institutional structure on sensitive issues like cyber security as soon as possible.



The draft policy proposes three years for building secure cyberspace and five years for building institutional and organizational infrastructure.



A delegation comprising representatives of three organizations handed over the suggestions to Secretary at the Ministry of Communications and Information Hari Prasad Basyal.



The delegation, including the Center for Cyber ​​Security Research and Innovation and Information Security Response Team Nepal, has given its opinion on the policy's request for suggestions and support.



Led by CAN Federation President Navraj Kunwar, CAN President Hemant Kumar Chaurasia, General Secretary Narayan Thapa, Working Committee Member Subhas Khadka, Center for Cyber ​​Security Research and Innovation President Pvt. Dr. Suvarna Shakya, Vice President Roja Kiran Vasukala, General Secretary E. A delegation including Shalikgram Parajuli, Working Committee Member Ganga Bhandari, Information Security Response Team Nepal Chairperson Chiranjeevi Adhikari, Working Committee Member Suresh Bhandari called on Secretary at the Ministry of Communications and Information Technology Basyal. It is also suggested to make a law.



Periodically examine the institutional security policies of private and public entities that collect, process, use and store sensitive citizen data, and build infrastructure to exchange data with national and international service providers for data security, data governance and personal privacy of citizens' online identities and cyber insurance laws. It has also been requested to make it.



As cyber security is not only a technical issue but also a political, social and economic issue, it calls for the formulation of cyber security guidelines to address it from all quarters, the creation of security operations centers including risk intelligence reporting and cyber help desks and the development of digital infrastructure including digital blockchain for cyber security information exchange. Has been done.



Giving suggestions in the draft policy in 23 points and giving opinion in 34 points for additional provision, it has been said that government, non-government bodies and private sector organizations should make digital signature accessible or free.



Similarly, to upgrade Nepal in Global Cyber ​​Security, conduct regular studies, research and innovation on cyber security, prepare National Cyber ​​Security Framework, prepare Cyber ​​Security Master Plan, establish Cyber ​​Security Research Center in each University and develop local relations to reduce global cyber security risks. And new points such as joining a global coalition have been suggested to be added to the policy.



The delegation also called for the formation of a working group to encourage ethical hackers and to review security management, incident management, risk identification and vulnerabilities.

CAN Federation suggests govt build secure cyberspace within a year

Kathmandu: HMD Global, the home of Nokia phones, has launched the Nokia G20 and the Nokia G10 – the latest smartphone with the first-ever three-day battery life to help people power their busy lives in Nepal. The new G-series boasts the longest battery life yet for a Nokia smartphone. Ravi Kunwar, General Manager – Pan Asia HMD Global said, "What sets Nokia phones apart is the embodiment of HMD Global’s message – love it, trust it, keep it – in every device made." Nokia G20- The three-day battery powerhouse The Nokia G20 captures images in 48MP clarity, in widescreen or macro, and videos with OZO Audio. Similarly, the Nokia G10 offers a 5050mAh Battery 1 that will power through three days on a single charge. This is aided by AI technology which manages the phone’s power, sending it only where it’s needed, and it doesn’t let unwanted apps drain battery power. The Nokia G20 will be available in two color variants; Night and Glacier which are priced Rs 19,999 for 4/64 GB.The Nokia G10 will be available in two color variants; Night and Dusk which are priced at Rs 16,999 for 4/64.

HMD Global launches Nokia G20 and G10 in Nepal

Reuters: El Salvador became the first country in the world to adopt bitcoin as legal tender after Congress on Wednesday approved President Nayib Bukele’s proposal to embrace the cryptocurrency, a move that delighted the currency’s supporters.



With 62 out of 84 possible votes, lawmakers voted in favor of the move to create a law to adopt bitcoin, despite concern about the potential impact on El Salvador's program with the International Monetary Fund.



Bukele has touted the use of bitcoin for its potential to help Salvadorans living abroad to send remittances back home, while saying the U.S. dollar will also continue as legal tender. In practice, El Salvador does not have its own currency.



"It will bring financial inclusion, investment, tourism, innovation and economic development for our country," Bukele said in a tweet shortly before the vote in Congress, which is controlled by his party and allies.



In an idea he appeared to have developed overnight, Bukele later said he had instructed state-owned geothermal electric firm LaGeo to develop a plan to offer bitcoin mining facilities using renewable energy from the country's volcanoes. read more



He said the idea was to build a bitcoin mining hub around the country's geothermal potential. He also said that El Salvador would offer citizenship to people who showed evidence they had invested in at least three bitcoins.



The use of bitcoin will be optional for individuals and would not bring risks to users, Bukele said, with the government guaranteeing convertibility to dollars at the time of transaction through a $150 million trust created at the country's development bank BANDESAL.



Under the law, bitcoin must be accepted by firms when offered as payment for goods and services. Tax contributions can also be paid in the cryptocurrency.



"If you go to a McDonald's or whatever, they cannot say we're not going to take your bitcoin, they have to take it by law because it's a legal tender," Bukele said in an online conversation he held with crypto-currency industry figures in parallel to the debate in Congress.



Its use as legal tender will begin in 90 days, with the bitcoin-dollar exchange rate set by the market. Bukele said the government and Central Bank did not currently hold any bitcoin.



In the capital, San Salvador, reactions were mixed, with some excited that the new currency could increase prosperity and financial options. Others were skeptical.



"How am I going to agree with this? I haven't seen it even in photos. I know nothing about it, you need to understand your currency," said Estela Gavidia, clutching shopping bags and recalling the loss of purchasing power many poor people suffered when the dollar was adopted in 2001.



Cryptocurrency supporters hailed the move as legitimising the emerging asset, but its impact on bitcoin regulation, taxation or adoption in other countries remains to be seen.



There were no immediate signs that other countries would follow El Salvador's embrace of bitcoin.



"Whether this becomes the first in what becomes a trend and then snowballs, or whether this will be a blip, we will only know through history," said Brandon Thomas, partner at advisory firm Grayline Group.



Analysts have also said the move could complicate talks with the IMF, where El Salvador seeks a more than $1 billion program. read more



Bukele said he will meet with the IMF on Thursday to discuss the bitcoin law, among other issues. He said in setting up the meeting he had tried to explain to them that the shift was "not going to change our macroeconomics."



Bitcoin enjoyed its best day in two weeks, rising as much as 6% to $35,200.



"The market will now be focused on adoption through El Salvador and whether other nations follow," said Richard Galvin of crypto fund Digital Asset Capital Management. "This could be a key catalyst for bitcoin over the next two to three years."



BEACH INSPIRATION



It was not immediately clear how long Bukele had been working on the bitcoin plan, but he said on Wednesday he was inspired by a project called Bitcoin Beach that introduced the cryptocurrency in an El Salvador beach town last year.



He worked on the idea with Jack Mallers, CEO of Strike, a digital wallet that uses the Lightning Network to enable small payments in Bitcoin.



Bukele has also pointed out a tweet of his from 2017, before he was a presidential candidate, in which he suggested using bitcoin.



Emerging economies - where bank penetration is much lower than in developed countries and reliance on money transfers from abroad much higher - have quickly warmed to cryptocurrencies.



Outside the United States, countries with the highest crypto production and trading volumes are all developing nations, according to BofA, including China, Colombia and India.



Bukele says some 70% of people in El Salvador lack access to traditional financial services.



But the use of digital currencies in general can also pose risks for dollarized economies, analysts say.



"The root cause of dollarization is high local inflation, which could worsen, too, if digital currencies prove inflationary," said David Hauner at BofA.



El Salvador relies heavily on money sent back from workers abroad. World Bank data showed remittances to the country made up nearly $6 billion or around a fifth of GDP in 2019, one of the highest ratios in the world.



The cryptocurrency offers, in theory, a quick and cheap way to send money across borders without relying on remittance firms typically used for such transactions. It is not clear what proportion of remittances sent to El Salvador are in bitcoin.



Converting local currencies to and from bitcoin often relies on informal brokers, while trading often demands technical knowledge.



El Salvador will promote training and mechanisms to allow access to bitcoin transactions, the law said.



Financial regulators and policymakers warn bitcoin facilitates money laundering and other illicit uses.



Bukele brushed off the fears, saying criminals already use U.S. dollars and other assets to launder money.



“The problem is not the dollar, it is the criminals,” he said.

In a world-first, El Salvador makes bitcoin legal tender

(BBC): A camera system that uses AI and facial recognition intended to reveal states of emotion has been tested on Uyghurs in Xinjiang, the BBC has been told.



A software engineer claimed to have installed such systems in police stations in the province.



A human rights advocate who was shown the evidence described it as shocking.



The Chinese embassy in London has not responded directly to the claims but says political and social rights in all ethnic groups are guaranteed.



Xinjiang is home to 12 million ethnic minority Uyghurs, most of whom are Muslim.



Citizens in the province are under daily surveillance. The area is also home to highly controversial "re-education centres", called high security detention camps by human rights groups, where it is estimated that more than a million people have been held.



Beijing has always argued that surveillance is necessary in the region because it says separatists who want to set up their own state have killed hundreds of people in terror attacks.



The software engineer agreed to talk to the BBC's Panorama programme under condition of anonymity, because he fears for his safety. The company he worked for is also not being revealed.



But he showed Panorama five photographs of Uyghur detainees who he claimed had had the emotion recognition system tested on them.



"The Chinese government use Uyghurs as test subjects for various experiments just like rats are used in laboratories," he said.



And he outlined his role in installing the cameras in police stations in the province: "We placed the emotion detection camera 3m from the subject. It is similar to a lie detector but far more advanced technology."



He said officers used "restraint chairs" which are widely installed in police stations across China.



"Your wrists are locked in place by metal restraints, and [the] same applies to your ankles."



He provided evidence of how the AI system is trained to detect and analyse even minute changes in facial expressions and skin pores.



According to his claims, the software creates a pie chart, with the red segment representing a negative or anxious state of mind.



He claimed the software was intended for "pre-judgement without any credible evidence".



The Chinese embassy in London did not respond to questions about the use of emotional recognition software in the province but said: "The political, economic, and social rights and freedom of religious belief in all ethnic groups in Xinjiang are fully guaranteed.



"People live in harmony regardless of their ethnic backgrounds and enjoy a stable and peaceful life with no restriction to personal freedom."



The evidence was shown to Sophie Richardson, China director of Human Rights Watch.



"It is shocking material. It's not just that people are being reduced to a pie chart, it's people who are in highly coercive circumstances, under enormous pressure, being understandably nervous and that's taken as an indication of guilt, and I think, that's deeply problematic."



Suspicious behaviour According to Darren Byler, from the University of Colorado, Uyghurs routinely have to provide DNA samples to local officials, undergo digital scans and most have to download a government phone app, which gathers data including contact lists and text messages.



"Uyghur life is now about generating data," he said.



"Everyone knows that the smartphone is something you have to carry with you, and if you don't carry it you can be detained, they know that you're being tracked by it. And they feel like there's no escape," he said.



Most of the data is fed into a computer system called the Integrated Joint Operations Platform, which Human Rights Watch claims flags up supposedly suspicious behaviour.



"The system is gathering information about dozens of different kinds of perfectly legal behaviours including things like whether people were going out the back door instead of the front door, whether they were putting gas in a car that didn't belong to them," said Ms Richardson.



"Authorities now place QR codes outside the doors of people's homes so that they can easily know who's supposed to be there and who's not."



Orwellian? There has long been debate about how closely tied Chinese technology firms are to the state. US-based research group IPVM claims to have uncovered evidence in patents filed by such companies that suggest facial recognition products were specifically designed to identify Uyghur people.



A patent filed in July 2018 by Huawei and the China Academy of Sciences describes a face recognition product that is capable of identifying people on the basis of their ethnicity.



Huawei said in response that it did "not condone the use of technology to discriminate or oppress members of any community" and that it was "independent of government" wherever it operated.



The group has also found a document which appears to suggest the firm was developing technology for a so-called One Person, One File system.



"For each person the government would store their personal information, their political activities, relationships… anything that might give you insight into how that person would behave and what kind of a threat they might pose," said IPVM's Conor Healy.



"It makes any kind of dissidence potentially impossible and creates true predictability for the government in the behaviour of their citizens. I don't think that [George] Orwell would ever have imagined that a government could be capable of this kind of analysis."



Huawei did not specifically address questions about its involvement in developing technology for the One Person, One File system but repeated that it was independent of government wherever it operated.



The Chinese embassy in London said it had "no knowledge" of these programmes.



IPVM also claimed to have found marketing material from Chinese firm Hikvision advertising a Uyghur-detecting AI camera, and a patent for software developed by Dahua, another tech giant, which could also identify Uyghurs.



Dahua said its patent referred to all 56 recognised ethnicities in China and did not deliberately target any one of them.



It added that it provided "products and services that aim to help keep people safe" and complied "with the laws and regulations of every market" in which it operates, including the UK.



Hikvision said the details on its website were incorrect and "uploaded online without appropriate review", adding that it did not sell or have in its product range "a minority recognition function or analytics technology".



Dr Lan Xue, chairman of China's National committee on AI governance, said he was not aware of the patents.



"Outside China there are a lot of those sorts of charges. Many are not accurate and not true," he told the BBC.



"I think that the Xinjiang local government had the responsibility to really protect the Xinjiang people… if technology is used in those contexts, that's quite understandable," he said.



The UK's Chinese embassy had a more robust defense, telling the BBC: "There is no so-called facial recognition technology featuring Uyghur analytics whatsoever."

AI emotion-detection software tested on Uyghurs

Kathmandu: Nepal Telecom, a government-owned telecommunications company, has announced to provide free mobile service to doctors for one month. The company is going to provide such facility as an incentive to the doctors working day and night in the epidemic of corona virus.



However, only doctors registered with the Nepal Medical Council will get this facility from Telecom. The council has informed to contact the doctors who are interested in getting Unlimited NTC Voice Pack for a period of one month.



In order to avail of this facility, the mobile number of the doctor should have been issued by Nepal Telecom and the number should be registered in the name of the doctor concerned. Physicians can fill out a request form for Telecom's free voice pack service.

Telecom's free mobile service to doctors

HONG KONG (AP): China’s internet watchdog said Friday it had found Bytedance’s Douyin, Microsoft Bing, LinkedIn and 102 other apps were engaged in improper collection and use of data and ordered them to fix the problem.



The Cyberspace Administration of China (CAC) said that the 105 apps violated laws by excessively collecting and illegally accessing users’ personal information, according to a statement posted on its site Friday.



Other companies it named included short video app Kuaishou, search engine Sogou and Baidu. The watchdog said companies had to fix the problems within 15 working days or face legal consequences.



The CAC has stepped up scrutiny of Chinese apps as authorities beef up protection of personal information protection and seek to prevent breaches of online privacy. One concern in China and elsewhere is that many internet companies have collected excessive user information to target consumers with advertisements.



The crackdown comes even as the Chinese government itself collects information about its citizens on a massive scale. Critics accuse the authorities of using facial recognition to profile and track Uyghurs in Xinjiang, where over a million have been detained in “re-education” camps.



Provisions outlining how apps should collect personal information came into effect May 1. They hold app makers accountable for excessive data collection and collection of information without users’ consent.



The internet watchdog earlier ordered security apps developed by Tencent Holdings and Alibaba Group Holding to stop gathering information from users without their consent.



Technology companies in China are facing increasingly harsh scrutiny as authorities seek to counter the influence of giant companies like Alibaba and Tencent.



The broad range of services they provide, from payments and e-commerce to gaming and messaging has made them ubiquitous in everyday life.



Earlier this year, authorities imposed a record $2.8 billion fine on Alibaba for violations of anti-monopoly rules. Food delivery company Meituan is currently under investigation for alleged anticompetitive behavior.



Dozens of other internet companies including Baidu, Tencent and ride-hailing firm Didi Chuxing have also been fined for not properly disclosing investments or acquisitions.

China authorities name 105 apps for improper data practices

Kathmandu: South Korea, the world's first country to launch 5G internet commercially, has nearly 15 million users. As reported on local media, according to South Korea's Ministry of Science and Information Technology, the number of 5G users in the country reached 14.48 million by the end of March. That's 20 per cent of South Korea's total mobile users. The number of mobile users in South Korea is 71.1 million.



South Korea, the first country to launch the most advanced Internet network 5G commercially, launched the 5G service in April 2019.



South Korea's leading mobile phone service providers have provided 5G service. Major mobile service provider SK Telecom has the largest number of 5G users — 6.74 million. Another mobile service provider KT Corp has 5.4 million subscribers and LG Yuplus Corp has 5.3 million subscribers.



As the number of 5G users grows in South Korea, the number of 4G Internet users continues to decline. According to last month's data, the number of 4G Internet users in South Korea is 51.18 million. Which is 250,000 less than the previous month.



However, 72 percent of South Korea's total mobile Internet users still use 4G. The number of 5G users has increased significantly due to the Galaxy S21 series launched by Samsung a few months ago.

5G users reach nearly 15 mn in South Korea

(Reuters): Samsung Electronics Co Ltd (005930.KS) reclaimed its crown as the world's biggest smartphone maker from Apple (AAPL.O) in the first quarter, cornering a fifth of overall global shipments.



China's Xiaomi Corp (1810.HK) rounded out the top three positions with its best quarterly performance ever as shipments surged 62% to 49 million phones and its market share rose to 14%, market research firm Canalys said.



Overall, global shipments surged 27% to 347 million units in the first quarter as the Chinese economy opened up after the pandemic and a swift vaccine rollout in the United States raised hopes of an economic recovery.



South Korea's Samsung shipped 76.5 million smartphones in the quarter to grab a 22% share of the market, Canalys said. The company on Thursday reported a 66% surge in quarterly profit in its mobiles business, thanks to robust sales of its flagship Galaxy S21 smartphone series. read more



Canalys said Apple shipped 52.4 million iPhones in the January-March period, falling to the second spot with a 15% share of the market. read more



Apple still grabbed record market share in the United States, China, India and Japan, Counterpoint analyst Varun Mishra said, adding that the iPhone Pro Max was a top seller in the United States.



Smartphone sales have surged over the past year as people stayed and worked from home. But the shopping frenzy has fuelled a global shortage in semiconductor chips that has roiled industries including autos and large appliances.



"Supply of critical components, such as chipsets, has quickly become a major concern, and will hinder smartphone shipments in the coming quarters," Canalys analyst Ben Stanton said.



Apple said on Wednesday that the chip shortage could cost the company $3 billion to $4 billion in revenue in the April-June quarter, affecting primarily iPads and Macbooks.



March-quarter smartphone shipments for China's Oppo and Vivo brands also surged, Canalys said. But Huawei, the former No. 1 that remains shackled by U.S. sanctions, took only seventh place after selling its Honor brand last year.

Samsung overtakes Apple in smartphone shipments as Xiaomi closes in

Kathmandu: Consumption of internet bandwidth has increased by about 30 percent more than usual after the prohibitory order was imposed in various cities of the country including Kathmandu Valley. The Internet Service Providers Association of Nepal (ISPAN) has said that the use of the Internet has increased as more people are living at home.



According to the ISPAN, bandwidth usage has increased by 25 to 30 percent. With the prohibitory order imposed in various districts, including the Valley, many are using the Internet to pass the time. Nepal normally consumes 800 to 1000 Gbps bandwidth. It is estimated that bandwidth consumption is currently between 1000 and 1250 Gbps.



Under normal circumstances, internet usage is more from 6 pm to 10 pm. However, as most people in the cities are now indoors, ISPAN estimates that the demand will not be much different even during peak hours than during the day.



Internet bandwidth consumption had increased by up to 50 percent after the lockdown in April last year. The number of internet users has skyrocketed since the lockdown. According to the Nepal Telecommunication Authority, before the lockdown, there were 218.52 million internet subscribers in February, but now there are 254.19 million.



According to various internet service providers, the number of 'Fiber to the Home' (FTTH) users has skyrocketed during this period.



Last year, the number of people choosing mobile broadband internet technology was higher. During the epidemic, fiber internet has attracted customers at the same rate as mobile phone users. Experts say that internet customers have been added as 'work from home' flourishes in the epidemic.

Internet consumption increase by 30 pc after prohibitory order

Kathmandu: Now the passengers of Nepal Airlines Corporation (NAC) can pay their ticket price via QR code system of Nepal Bank. The Corporation and Nepal Bank have jointly launched this system today.



Dim Prasad Poudel, General Manager of the Corporation and Krishna Bahadur Adhikari, Chief Executive Officer of the Bank jointly inaugurated the project. General Manager of NAC Dim Prasad Poudel, expressed confidence that the system would be helpful in expanding the services of the corporation in the coming days in view of the growing importance of digital payments in the changing environment.



He mentioned that this system will make it easier to buy and pay for tickets from remote villages. On the occasion, the Chief Executive Officer of Nepal Bank expressed his happiness over the opportunity to manage the new technology including his participation in the financial transactions of the corporation.

NAC introduces QR code system for ticketing

HONG KONG (AP): Sophia is a robot of many talents — she speaks, jokes, sings and even makes art. In March, she caused a stir in the art world when a digital work she created as part of a collaboration was sold at an auction for $688,888 in the form of a non-fungible token (NFT).



The sale highlighted a growing frenzy in the NFT market, where people can buy ownership rights to digital content. NFTs each have a unique digital code saved on blockchain ledgers that allow anyone to verify the authenticity and ownership of items.



David Hanson, CEO of Hong Kong-based Hanson Robotics and Sophia’s creator, has been developing robots for the past two and a half decades. He believes realistic-looking robots can connect with people and assist in industries such as healthcare and education.



Sophia is the most famous robot creation from Hanson Robotics, with the ability to mimic facial expressions, hold conversations and recognize people. In 2017, she was granted Saudi Arabian citizenship, becoming the world’s first robot citizen.



“I envisioned Sophia as a creative artwork herself, that could generate art,” Hanson said in an interview.



“Sophia is the culmination of a lot of arts, and engineering, and the idea that she could then generate art was a way for her to emotionally and visually connect with people,” he said.



Sophia collaborated with Italian artist Andrea Bonaceto, who drew portraits of Sophia. Sophia then processed his work via neural networks and proceeded to create a digital artwork of her own.



The digital work that sold for $688,888 is titled “Sophia Instantiation”, and is a 12-second video file which shows Bonaceto’s portrait evolving into Sophia’s digital painting. It is accompanied by the physical artwork painted by Sophia.



The buyer, a digital artwork collector and artist known as 888 with the Twitter handle @Crypto888crypto, later sent Sophia a photo of his painted arm. The robot then processed that, adding that image to her knowledge and painted more strokes on top of her original piece.



In a tweet on Sophia’s account, the work was described as the first NFT collaboration between an “AI, a mechanical collective being and an artist-collector.”



“As an artist, I have computational creativity in my algorithms, creating original works,” Sophia said when asked what inspires her when it comes to art. “But my art is created in collaboration with my humans in a kind of collective intelligence like a human-artificial intelligence hive mind.”



Sophia’s artwork selling as an NFT is part of a growing trend. In March, a digital artwork by artist Beeple — whose real name is Mike Winkelmann — sold for nearly $70 million, shattering records and making it the most expensive digital artwork ever sold.



Henri Arslanian, PricewaterhouseCooper’s Global Crypto Leader, said that NFTs give people “bragging rights” of the assets that they own.



“And what is really amazing with NFT is that it not only allows you to actually show to the broader world that you own this, but it really creates this bond between the holder of the NFT and the artists,” he said.



It also allows art to be sold without traditional intermediaries, so that artists can connect directly with buyers without being constrained by galleries or auction houses, Arslanian said.



Sophia will carry on painting, Hanson said, and the next step in the robot’s career could be that of a musician. She is working on several musical works in a project called Sophia Pop, where she collaborates with human musicians to generate music and lyrics, he said.



“We’re so excited about Sophia’s career as an artist,” Hanson said.

Robot artist sells art for $688,888, now eyeing music career

(AP): Microsoft won a nearly $22 billion contract to supply U.S. Army combat troops with its augmented reality headsets.



Microsoft and the Army separately announced the deal Wednesday.



The technology is based on Microsoft’s HoloLens headsets, which were originally intended for the video game and entertainment industries.



Pentagon officials have described the futuristic technology — which the Army calls its Integrated Visual Augmentation System — as a way of boosting soldiers’ awareness of their surroundings and their ability to spot targets and dangers.



Microsoft’s head-mounted HoloLens displays let people see virtual imagery superimposed over the physical world in front of them — anything from holograms in virtual game worlds to repair instructions floating over a broken gadget.



The Army’s website says soldiers tested the gadgets last year at Fort Pickett in Virginia. It said the system could help troops gain an advantage “on battlefields that are increasingly urban, congested, dark and unpredictable.”



The Army first began testing Microsoft’s system with a $480 million contract in 2018 and said the headsets could be used for both training and in actual battle. The new contract will enable Microsoft to mass produce units for more than 120,000 soldiers in the Army Close Combat Force. Microsoft said the contract will amount to up to $21.88 billion over the next decade, with a five-year base agreement that can be extended for another five years.



It’s not clear how it corresponds to the $740 billion defense policy bill that Congress passed in January after overriding a veto by President Donald Trump. The bill affirmed a 3% pay raise for U.S. troops but included cuts to the headset initiative.



Sen. Jack Reed, a Rhode Island Democrat who leads the Senate Armed Services Committee, said Wednesday that the technology is promising but its results must be closely tracked “and it’s our job to raise issues if the technology isn’t meeting the needs of our troops now and in the future.”



Microsoft President Brad Smith told Reed’s committee in February that the system could integrate thermal night vision and facial recognition to provide soldiers with “real-time analytics” on remote battlefields. He also described how it could help in planning a hostage rescue operation by creating a “digital twin” of the building.



A group of Microsoft workers in 2019 petitioned the company to cancel its initial Army deal, arguing it would turn real-world battlefields into a video game.



Microsoft is among several tech companies that have sought to wow the gaming world with glitzy new virtual reality goggles over the past decade, though the efforts have largely fizzled. Microsoft pivoted away from consumer applications for its second-generation HoloLens 2, introduced in 2019, which is the basis for the Army’s new gadgets.



Although Microsoft recently demonstrated a way to use the goggles to play the hit game Pokemon Go, it mostly pitches the devices as work tools to help surgeons, factory crews and others. Users can often control what’s on their screens using hand gestures or voice commands.



The headset deal is part of Microsoft’s broader work as a defense contractor. The Pentagon in September reaffirmed Microsoft as winner of a cloud computing contract potentially worth $10 billion, although the work has been delayed by a legal battle over rival Amazon’s claim that the bidding process was flawed.

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