A colleague told me today that this cool app for the Iphone by Tonchidot called Sekai our of Japanis launching shortly. (It may already be available).
I blogged about this type of mobile technology in a post called Connecting Cyber and Real Space last November.
This line from the video - “Real space as an interface to the internet” – may interest you t check the app out.

loerchner said
I have started a facebook group petitioning Apple to open the API for video augmentation. This will allow agmented reality apps in the store! Please join and pass it on:
http://www.facebook.com/group.php?gid=105162007611