I have made reference to this site in other peoples' posts. Here is a site where MIT is working with nano tech for the soldier of the future. They won this military contract earlier this decade and have invested millions of their own money for this project. See it for yourself. Also check out MIT World. There is a 40 minute lecture about their projections.
Institute for the solider:
http://web.mit.edu/isn/
and MIT World:
http://mitworld.mit.edu/video/140