Recently, there has been a lot of action in the space of VR and AR.

I’ll start with what the 2 are, and their applications.

VR or Virtual Reality is where a user is immersed in an environment created by someone.

AR or Augmented Reality is usually some information put on a real image (usually as seen by a user).  The information is usually in real time. e.g. a user profile superimposed on a person’s face.

Companies bringing VR to the consumers are Oculus (now owned by Facebook). The product is called Rift.

AR is being brought by Google Glass (coming back soon), Holo-lens by Microsoft (whose marketing video is better than the product), etc.

VR has a lot of applications, the main ones being gaming, tourism, data visualization etc.

AR, as I said, might be good for profiles, weather, etc.

So, both technologies are useful and they have their own applications.
Titles like this one are misleading and so do not think they are competing with each other as some media would like you to believe. Developing applications for these is a big market..