This new site offers the latest news in augmented reality. They now have an AR app for smartphones and Total Immersion coming soon for iPads.
Augmented Planet
This video is featured on the site and shows the latest AR aimed at teachers. The kids would LOVE this!!!!

White Board Blog
This website is a great way to 'try out' the latest technology in AR. You do have to print out a marker for the object to 'stand' on before you can interact with the object. You will also be using your computers webcam for this. The teacher in me loves the first example of AR where you can superimpose the body systems over top of your own body. What a great learning tool! If you like to experiement with technology check it out!