"...under the terms of the Geneva Convention it can't be used against humans directly..."
I foresee lots and lots of 'unfortunate accidents'. I mean, you won't be much help piloting a zigzagging boat against a warship if you are blind. Ditto about enemy gunners, plane pilots and drone's cameras and targeting systems.
OMG! What can this thing do to a periscope?
An enemy with whom you can only engage in fog or rain... This could have very interesting tactic implications.