We describe the design of an image-recognition system and its performance on multi-sensor imagery.The system satisfies a list of natural requirements, which includes locality of inferences (for efficient VLSI implementation), incorporation of prior knowledge, multi-level hierarchies, and iterative improvement. Two of the most important new features are: a uniform parallel architecture for low-, mid-and high-level vision; and achievement of recognition through short-, as opposed to its long-time behavior, of a dynamical system. Robustness depends on collective effects rather than high precision of the processing elements. Th resulting network displays a balance of high speed and small size. We also indicate how this architecture is related to the Dempster-Shafer calculus for combining evidence from multiple sources, and present novel methods of learning in such networks, including one that addresses the integration of model-based and data-driven approaches.