A certain Japanese developer uploaded cute demo video in Japanese video sharing site Nico Nico Douga. It is right ideal fusion of AR and VR.
Sony cat Toro Inoue dances to a song of Hatsune Miku in a real room. It is really Kawaii(super cute)!! He has a shadow, and there is presence, but there is no AR marker and specific image which should be necessary for AR technology. Because the developer used PTAM(Parallel Tracking and Mapping).
This is a program that compose 3DCG in mapping of the 3D space researched and developed by Georg Klein of Oxford University. Because AR marker and an image are unnecessary in this, developers can utilize contents more freely.
The developer who let Toro appear practically considers put Oculus Rift and PTAM together next. Now, VR is the most enthusiastic in Japan.