It makes more sense than trying to build Master Chiefs. Robot powered body armour sounds awesome, but in reality it's a lot more efficient to avoid getting hit then to try and take hits and keep moving, especially if you're a rich country with an advantage in micropocessing resources (assuming Taiwan doesn't fall).
What they're talking about isn't crazy either, build out a platform that can handle robust military comms, connect it to a modern military information network, and then have local machine learning capabilities to handle local on site applications.
I mean, even just a bunch of soldiers in a line with networked helmets would create a line array of microphones that could theoretically be used to figure out where enemy fire is coming from / how many people are shooting at them, what type of gun is firing at them, how much they have left, etc. If humans today can pick out where a sniper might be shooting them from, Im willing to bet a computer connected to an array of different soldiers' sensors will be able to do it not too long for now.