The miniaturization of digital image acquisition and processing hardware, positional sensors, and batteries has enabled the creation of assisted targeting systems light enough to be integrated onto small firearms to increase the probability of soldiers detecting and hitting targets. As well, the technology allows soldiers to share target locations, thereby increasing tactical situational awareness and enabling target prioritization and target hand-off. We investigated how these new technologies might impact operational effectiveness by testing the concepts using human-in-the-loop simulation in a virtual environment. Two conditions examined the tool usage (no target hand-off vs. target hand-off). Within these conditions we added patrol and attack variants (no enemy, inaccurate enemy and accurate enemy). Each condition was repeated 8 times for a total of 64 randomized trials. Combat effectiveness measures quantifying blue casualties and the disruption of enemy activity were augmented with physiological indicants of stress and self-report measures of self-efficacy, performance and cognitive load. Null hypothesis significance testing applied to the combat effectiveness measures did not detect any statistically significant improvement in the combat effectiveness of the section as a result of using the target hand-off system. A Bayesian analysis was conducted to determine the probable size of an undetected effect. The human factor measures indicated differences between the simulated high and low threat conditions. Self-report measures combined with physiological measures did not reveal increases in stress when high and low levels of threat were compared. While participants evaluated the target hand-off system positively, the ability of the new technology to decrease cognitive load and therefore increase combat effectiveness measures remains unconfirmed. Simulations have limitations, particularly when exploring the benefits of target hand-off functionality (i.e. weapons effects and risks encountered in combat cannot be fully represented for safety and ethical reasons). And, combat stress is difficult to produce in an experimental setting. However, despite the small number of participants (n = 8), it was possible to estimate the probability distribution for the actual effect size.