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The holoship was built to serve as a transporter holodeck which would be used to create holographic environments to simulate the Ba'ku village and confuse the Ba'ku and convince them that they were still on their planet. The holoship was then employed by Admiral Matthew Dougherty and Ru'afo, so that the 600 Ba'ku could be evacuated without their knowledge, so that Starfleet and the Son'a could obtain the metaphasic radiation inherent in the planet's rings. (DS9 novel: Abyss; TNG movie: Star Trek: Insurrection)
Before the plan was executed, the ship was cloaked and concealed at the bottom of a lake near the Ba'ku village. However, it was later detected by Captain Jean-Luc Picard and Lieutenant Commander Data of the USS Enterprise-E. The holoship was later brought back into orbit by Lt. Commander Worf, and was used to transport the command crew from the bridge of Ru'afo's flagship. The holoship's transporters have also been modified to beam people up without their knowledge, both by removing the visual effects and the sensation of transport. (TNG movie: Star Trek: Insurrection)
At the conclusion of the incident, the holoship was slated for destruction by Starfleet Command. However, Commander Elias Vaughn and his cabal of Starfleet officers who were set against Section 31, were able to fake destruction reports and steal the holoship, for use in thwarting several Section 31 operations. Vaughn used the holoship to rescue several Ingavi from Sindorin in 2376. (DS9 - Section 31 novel: Abyss)