This system is poised to open a new set of personal computing experiences, placing holographic objects within the real world where users can interact with them even as they interact with the real-world environment. Combining several technologies, this wearable headgear uses a pair of see-through HD lenses and is completely untethered--it needs to external markers, cameras, wires or a connection to a phone or PC to operate. It also utilizes spacial sound, delivering audible feedback from all directions in reference to the wearer--even from behind.

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Most intriguing is the announcement of this system’s new type of processor--distinct from a CPU or GPU--called the Holographic Processing Unit (HPU). This component, said Xbox chief Phil Spencer, will be capable of processing terabytes of data coming in from the system’s various sensors in real time.

There’s no word on the pricing or exact availability of HoloLens, but Microsoft claims it should be launched within the Windows 10 time frame.

It’s hard to imagine the actual implications of such a new type of technology, but the video here delivers a compelling view of what all of this might imply.