It seems as Microsoft is working on a virtual reality device that bears huge resemblance to Google's Cardboard project.

The Microsoft VR kit will be given to developers attending a hackaton which will take place on October 17. It was not said where the hackaton will take place. The news first broke out on Microsoft Russia.

The kit works the same way Google Cardboard works – it's a generic headset with a slot for the Lumia phone.

Microsoft wants the developers to use the kit and create apps in three categories: games, education and corporate. After evaluating the creations, it will award the best apps in all categories, and the team behind it will be given the VR kit to continue development.

This is not Microsoft’s first entry into the virtual reality space. It already has HoloLens, a promising technology which mixes the real world with the digital one.

Microsoft announced Windows Holographic at its "Windows 10: The Next Chapter" press event on January 21, 2015. It is set to be introduced as part of the general rollout of Windows 10, through the smart glasses headset Microsoft HoloLens.

The Windows 10 launch began July 29, 2015 with release of the PC version, with HoloLens to be released within the next year. Microsoft HoloLens is a smart-glasses headset that is a cordless, self-contained Windows 10 computer. It uses advanced sensors, a high-definition stereoscopic 3D optical head-mounted display, and spatial sound to allow for augmented reality applications, with a natural user interface that the user interacts with through gaze, voice, and hand gestures.

If you are interested in participating in the event, you can sign up on this link.