Microsoft has disclosed that it is working to enable the second version of its HoloLens VR Headset with its own AI processing chip. The company is customizing a new microprocessor that will go into future hard ware products, such as the next version of its HoloLens. It is supplemented reality glasses, to perform artificial intelligence task. The AI co-processor will permit the HoloLens to analyze data without needing to use the cloud. This means speedy processing times.

A dedicated AI chip is necessary for a gadget like the HoloLens, says Microsoft, which must be able to comprehend large amounts of complex data gathered by its depth and camera sensors without latency. Microsoft hasn’t said when it will release the updated HoloLens headset.

The AI co-processor will analyze visual, auditory and other sensor data locally on the other device instead of relying on sending the information to- a cloud based server for review. In Microsoft Build event CEO Satya Nadella has also provided examples of future uses of AI which include industrial working scenarios. Faster processing and greater mobility can be a serious factor in those scenarios.

“This is the kind of thinking you need if you’re going to develop mixed reality devices that are themselves intelligent. Mixed reality and artificial intelligence represent the future of computing, and we’re excited to be advancing this frontier,” Microsoft said of the chipset plans.

Microsoft is not the only one to produce its own chips. Google also constructed its own AI processors to power bots, while Apple is said to be secretly developing a dedicated chip for the iPhone.

Comparatively, HoloLens is much more mesmeric since it can display larger graphics that fall within the wearer’s field of view. Unlike Google Glass, it is also a functionally holistic device, unconstrained by reliance on a smartphone or VR device. All of HoloLens’s necessary computing components are baked into the headset.