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The LA Times recently published a story regarding Apple’s current restriction of “augmented reality” apps from the App Store.

If you are unfamiliar with the concept, augmented reality apps utilize the iPhone’s camera to create a live “background image” that the iPhone then projects a heads up display of sorts onto (relying heavily on GPS as well as the compass feature.)

Nearest Tube is a perfect example of how augmented reality is used on the iPhone:

While augmented reality on the iPhone is undoubtedly very cool, I must say it is much easier (in my opinion) to open up maps, get an idea of where you’re going, and then go there (as opposed to holding the iPhone out in front of you while you follow its step-by-step directions.)

Now, that’s not to say that the possibilities offered by augmented reality on the iPhone are limited to finding subway stops, which they most certainly are not, just that there’s a place and time for them.

According to the LA Times,

“Apple is telling developers that it won’t make them [augmented reality] publicly available on the App Store until September.”

A September iPhone update (presumably 3.1,) would nicely coincide with the rumor that Apple plans to unveil its lineup of new iPods at around the same time.

[LATimes]