So, you know how virtual reality is great for gaming? Well, Virtuix Inc. (VTIX) is trying to prove it's also great for, say, rehearsing a mission on a submarine before you actually have to do it. The company announced Monday it's signed a deal with the U.S. Navy to put its VR tech through the paces for military training.

Specifically, it's a Cooperative Research and Development Agreement—or CRADA, because the government loves an acronym—with the Naval Postgraduate School. Virtuix will send its Omni One platform, which is basically a compact VR treadmill that lets you walk in any direction, over to the school's Modeling, Virtual Environments, and Simulation (MOVES) Institute. Researchers there will kick the tires and see how effective it is for training applications.

Think of it as a test drive. If the Navy likes what it sees, it could mean more business down the line. For Virtuix, this is the first formal research hook-up with the Navy, which is a notable gap filled in its defense sector resume. The company already has its systems in use with the U.S. Army, Air Force, and Marine Corps, with installations at places like West Point and the Air Force Academy.

The agreement isn't just about testing the current hardware, though. It's also meant to fuel the development of Virtuix's Virtual Terrain Walk (VTW) system. That's the company's platform that lets users physically walk through immersive, AI-generated 3D environments. The idea is that military personnel could use it to explore a digital twin of a ship, a complex urban environment, or other restricted settings to rehearse and plan before they ever set foot in the real thing.

"Following growing interest from the U.S. Army, U.S. Air Force, and U.S. Marine Corps, we are excited to see the U.S. Navy begin evaluating our Omni technology for training and simulation applications," said Jan Goetgeluk, Founder and CEO of Virtuix.

He added, "We believe the agreement highlights the broader potential and adoption of our technology in defense. The insights from this collaboration will advance the development of Virtual Terrain Walk as we continue expanding our presence in the defense market."

In other words, this is about more than just one evaluation. It's a step toward proving that this kind of VR locomotion tech has a serious, scalable role in modern military training. Every branch that signs on adds credibility and data that can make the product better.

As for the stock, investors didn't exactly throw a parade for the news on Monday morning. Virtuix shares were down 2.24% at $6.53 during premarket trading. For context, that's trading near the stock's 52-week low of $4.38, according to market data. Sometimes a new government research deal is seen as a long-term play, not an immediate catalyst.