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An Augmented Reality system supplements the real world with virtual (computer-generated) objects that appear to coexist in the same space as the real world. While many researchers broaden the definition of AR beyond this vision, we can generally find Augmented Reality system to have the following properties: 1) Combines real and virtual objects in a real environment; 2) Runs interactively, and in real time; 3) Aligns real and virtual objects with each other.
Augment Reality can be thought of as a ?middle ground? between Virtual Environment (completely synthetic) & Tele-presence (completely real).
Augmented Reality Vs Virtual Reality
VR was defined as a ?computer generated interactive 3-D environment in which a person is immersed?. The user is completely immersed in an aartificial world & is divorced from the real environment.
VR - Strives For Totally Immersive Environment.
AR ? Augmenting Real World Scenes.

Real Desk with Virtual Lamp and Two Virtual Chairs

? It shows a real desk with a real phone.
? Inside this room are also a virtual lamp and two virtual chairs.
? objects are combined in 3-D, so that the virtual lamp covers the real table, and the real table covers parts of the two virtual chairs

Milgram?s Reality Virtuality Continuum

Taxonomy for Mixed Reality
Reproduction Fidelity
Extent To Present Metaphor
Extent To World Knowledge

Characteristics of Augmented Reality
? Augmentation
? Optical vs. Visual
? Focus and Contrast
? Portability
? Comparison Against Virtual Environments

Application of Augmented Reality
1. Medical
? Virtual fetus inside womb of pregnant patient.
? Mockup of tumor biopsy.
2. Military Training
? Two Views Of A Combined Augmented Reality Virtual System
3. Maintenance & Repair
? Prototype laser printer maintenance application, displaying how to remove the paper tray
? Printer maintenance application
4. Robot and Telerobotics
? Virtual lines show a planned motion of a robot arm.

CONCLUSION Augmented Reality is far behind VE in maturity. The first deployed HMD-based Augmented Reality systems will probably be in the application of aircraft-manufacturing. For example, Boeing has made several trial runs with workers using a prototype system but has not yet made any deployment decisions. The next generation of combat aircraft will have Helmet - Mounted Signals with graphics registered to targets in the environment. These displays combined with short - range steerable missiles that can shoot at target off-boresight, give a tremendous combat advantage to pilots in dogfight. One area where a break-through is required is tracking an HMD outdoors at the accuracy required by Augmented Reality. If this is achieved several interesting applications will become possible.

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