It's no surprise people confuse VR with AR - they are very similar. However, as you can see for yourself, Virtual Reality works by replacing the real-world environment completely while Augmented Reality simply adds virtual elements to it. Additionally, since AR doesn't require users to wear a headset, it is much more accessible to people all around the world - all they need to enjoy the experience is a smartphone or a tablet.
There's no way of telling which of the two immersive technologies is superior as both of them have gathered millions of fans over the years. One thing for sure, exciting times lie ahead.