Many people still not clear. At the core they have similar technology but have some key differences. When we think about AR vs VR, they both change our perception. However Virtual Reality changes the presence we are in through closed visors or goggles. VR blocks out the room and puts our presence elsewhere. It takes you entirely into a virtual world.That is the main concept Oculus Rift, Samsung Gear VR, Google Cardboard well known VR devices.
Whereas Augmented Reality doesn’t change your perception of presence.Itsimply “augments” it by using a camera, phone or clear glasses as a medium. The user can see and feel the real world around them in real time. Then the digital elements in question will be projected onto various media. A well known example would be Pokemon GO.
It will only affect a very small aspect of your view, such as viewing company content on a business card as in Cxocard. AR doesn’t need to show the user the environment, but it can still use information about the individual’s surroundings. In the business card example, the user can hold their phone onto a predefined business card and view the content/video.
The question isn’t if AR vs VR. They are not competing technologies, but rather complimentary technologies. And yes, in the very near future we will see many uses of both technologies and actually the use of combination of both AR and VR. Shall we call it mixed reality? It can be explained as a combination of a live feed of the world around you with digital information or Computer Graphics on top. Mixed reality also tends to be more immersive than augmented reality. It requires a little more processing power. This means almost a third of what you can see is computer generated, instead of seeing a piece of text or a single object on top of the real world.