The news: Microsoft launched Project AirSim, a flight simulator that can train drones by using AI to test flights in high-risk places, per BBC News.

Why it's worth watching: Microsoft is uniquely positioned to incorporate its flight simulator technology, AI, and possibly mixed-reality headsets like HoloLens into drone training solutions.

• The company envisions Project AirSim will help develop autonomous vehicles like air taxis and delivery drones, which are coming to market.
• Gurdeep Pall, corporate vice president for Microsoft, said the solution showcases “the power of the industrial metaverse — the virtual worlds where businesses will build, test and hone solutions, and then bring them into the real world.”

Why this could succeed: Microsoft’s adherence to security and compliance standards has made it a leading government software vendor, which could help in securing contracts and certification for future drone deployment.