Dr. Dylan Schmorrow, program manager (and thus manager of research funding) for DARPA just hinted that there will be some funding for research in augmented reality for military training becoming available in about six months (esp. ramping up 2006 financial year). No details yet as to whether it’ll be a new Broad Agency Announcement or part of existing long-term funding, but sounds like it’s coming down the pike.
Makes sense — it’s one of the most immediately-promising applications for AR that’s out there.