Sketch Shapes in Augmented Reality - iPhone App (Hacked)
The excellent ReadWriteWeb site has a neat article on 'Devs Hack iPhone API for True Augmented Reality '
In short - take a look at the movie below and note the ability to draw shapes and then render via AR, complete with attached physics:
It has notable potential for designing buildings - see http://www.readwriteweb.com/ for more.
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