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Last year, after workers petitioned the company to cancel a cloud computing and artificial-intelligence contract with U.S. Immigration and Customs Enforcement, Microsoft said it would allow employees to change positions within the company if they thought their existing roles betrayed their values. But Brad Smith, president of Microsoft, has said the company will not cease working with the Defense Department, a business relationship that he said dates back decades.

“As we have discussed these issues with governments, we’ve appreciated that no military in the world wants to wake up to discover that machines have started a war,” Smith wrote in an October blog post. “But we can’t expect these new developments to be addressed wisely if the people in the tech sector who know the most about technology withdraw from the conversation.”

Microsoft’s early marketing positioned the HoloLens as a “mixed reality” consumer device that architects, artists, video gamers and others could use to transpose computer graphics into real life. The holographic system is now being sold to developers and businesses, but is not yet available for public use. Microsoft is expected to unveil a new version of its HoloLens headset at a major industry trade show in Barcelona next week.

Last year, the headset proved to be the clincher for Microsoft to beat out two dozen other companies, including military contractors Lockheed Martin and Raytheon and the tech start-up Magic Leap, for the Army contract. The military said it could end up buying more than 100,000 of the systems in the coming years.

The Defense Department in August issued a request for an “Integrated Visual Augmentation System” for training and combat that would give soldiers “increased lethality, mobility and situational awareness . . . against our current and future adversaries,” military purchasing records show.

The military said it wanted a heads-up display system that could supercharge soldiers’ capabilities: giving them heat detection, night vision ,and the ability to view video and navigation; automatically recognizing and targeting “relevant threats”; and allowing them to stealthily see where their weapons were aiming, without using a laser that could give their location away.

The military also wanted the system to quickly identify land mines and improvised explosives and relay back real-time “squad lethality metrics” and health data, such as soldiers’ heart rates, breathing rates and whether they’ve sustained a concussion. The headset could also be used as part of an advanced simulation system that would “train units where they will fight (and) with whom they will fight,” contract documents show.