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Microsoft is getting ready to launch the next version of its Hololens augmented reality (AR) headset in early 2019, according to Engadget. The tech blog reported Friday that Microsoft is using Qualcomm’s new XR 1 chip to power the device. A Microsoft spokesperson declined to comment.

Microsoft released the first version of Hololens in early 2016. With an introductory price tag of $3000, the headset has primarily been embraced by enterprise clients looking to use AR in manufacturing as well as developers trying to get a head-start on AR.

Microsoft has since expanded its work in immersive technologies with the launch of Windows Mixed Reality, which powers virtual reality (VR) devices like the Samsung Odyssey headset.

The current-generation Hololens device is being powered by an Intel chipset. Qualcomm recently introduced the XR1 as a processor custom-build for AR and VR devices, promising to deliver 4K video at 60 frames per second. The chip also supports artificial intelligence (AI) with on-device processing, which could make for more lifelike, interactive AR and VR experiences. Other companies using the chipset for next-generation devices include HTC, Meta and Vuzix, according to Qualcomm.

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