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Well I think you heard it somewhat wrong. This is an enterprise device and will be available to any company that is interested in using it or building experiences for it.
The half a billion $ contract that Microsoft got with military will probably be base on some of the similar technologies, but most likely is a custom solution.
Last time I heard the petition was from 50-ish people (probably more now) out of 135000 Microsoft employees.

While I understand that these employees did not sign up to build a tech to kill people, but every tech has a potential to kill. IMHO Microsoft has a strong leadership and I rather them pick up this contract instead of some other company with looser moral values.