Augmented reality enhances the real world by overlaying digital content. There are two types: marker-based AR uses image recognition of programmed markers, while marker-less AR recognizes objects without markers using algorithms. AR offers advantages like improved work environments and experiences but also disadvantages like privacy issues and potential health risks or addictive behaviors. The key components of AR include artificial intelligence, AR software, processing power, lenses or screens, and sensors to integrate digital and physical worlds.