Meta Fired Palmer Luckey. Now, They're Teaming Up on a Defense Contract. -- WSJ

Dow Jones
05-30

By Heather Somerville

Meta Platforms had a messy split with its virtual-reality chief Palmer Luckey. Now, the two have reconnected to build high-tech headsets for the U.S. Army.

Luckey's defense firm Anduril Industries and Meta said Thursday they will together build a line of new rugged helmets, glasses and other wearables that provide a virtual-reality or augmented-reality experience.

The system, called EagleEye, will carry sensors that enhance soldiers' hearing and vision -- detecting drones flying miles away or sighting hidden targets, for instance. It will also let soldiers operate and interact with AI-powered weapon systems. Anduril's autonomy software and Meta's AI models will underpin the devices.

The collaboration brings together a social-media giant that has long been the target of Washington scrutiny and a weapons maker that is a rising star inside the Pentagon. The partnership offers another example of Silicon Valley's ideological evolution and Big Tech's expanding embrace of defense work.

"I should look at this as 'I have succeeded,'" Luckey said in an interview. "I have successfully persuaded not just Meta but many others that working with the military is important."

Meta in recent months has recruited former Pentagon staff to join its ranks, an effort to navigate the labyrinth of the defense procurement process. In November, it opened up its AI models for military applications -- a new business line for a company whose profits have been powered by online advertising.

In a statement, Meta Chief Executive Mark Zuckerberg said the EagleEye technology will help U.S. soldiers to "protect our interests at home and abroad."

Meta and Anduril have jointly bid on an Army contract for VR hardware devices, worth up to about $100 million. If awarded, it would be Meta's most significant tie-up with the Defense Department. The contract is intended to vet headset prototypes that are part of a larger $22 billion Army wearables project, of which Anduril became the lead vendor in February after Microsoft failed to deliver a functional VR headset.

Anduril said the collaboration on the headsets -- which the companies have already mostly funded themselves -- is going forward irrespective of winning the Army contract. Anduril is betting other parts of the military will also be buyers.

The Meta partnership delivers a victory lap to Luckey, whose entrepreneurial roots and much of his fortune can be traced to VR.

At age 15, Luckey founded one of Silicon Valley's early VR headset companies, called Oculus VR. In 2014, Meta -- called Facebook at the time -- bought the startup, making him a billionaire. But Zuckerberg fired Luckey in 2017 following a controversial political donation.

The new partnership gives Luckey access to his old VR designs, plus newer tech his team built after he was fired. "I finally got all my toys back," Luckey said.

Luckey, a longtime Donald Trump supporter, donated to a group opposing Hillary Clinton in 2016. His political actions triggered a campaign inside Facebook to oust him. Meta leadership has recently publicly expressed regret for Luckey's firing. For many years, he was anomalous for his outspoken conservative ideals and his enthusiasm to build lethal tech for the U.S. military.

"This is way too important of a capability for the United States military to let the last vestiges of a decade-old pissing contest get in the way," Luckey said.

The Trump administration has urged the military to adopt commercial software and startup technology to save money and time. Venture-backed startups widely view this moment as their best opportunity yet to start winning defense contracts that have mostly gone to large, established vendors.

The Meta partnership is Anduril's latest in a series of tie-ups with big names in tech to expand the scope of its offerings to the Pentagon. Other partners include OpenAI, Oracle and Palantir Technologies. Anduril is among the leading candidates to help build Trump's Golden Dome, an elaborate and expansive plan to protect America from high-tech missiles.

Write to Heather Somerville at heather.somerville@wsj.com

 

(END) Dow Jones Newswires

May 29, 2025 12:01 ET (16:01 GMT)

Copyright (c) 2025 Dow Jones & Company, Inc.

免責聲明:投資有風險,本文並非投資建議,以上內容不應被視為任何金融產品的購買或出售要約、建議或邀請,作者或其他用戶的任何相關討論、評論或帖子也不應被視為此類內容。本文僅供一般參考,不考慮您的個人投資目標、財務狀況或需求。TTM對信息的準確性和完整性不承擔任何責任或保證,投資者應自行研究並在投資前尋求專業建議。

熱議股票

  1. 1
     
     
     
     
  2. 2
     
     
     
     
  3. 3
     
     
     
     
  4. 4
     
     
     
     
  5. 5
     
     
     
     
  6. 6
     
     
     
     
  7. 7
     
     
     
     
  8. 8
     
     
     
     
  9. 9
     
     
     
     
  10. 10