These AR presentations are always so strange. They look good on-camera, however in real life literally none of it is real. You can only see it through the 5" window of your phone.
They are weird. And it has been something like four years of AR getting a moment in nearly every keynote (WWDC and iPhone launch). All for something which I believe is rarely used by customers. Outside of Pokemon Go, I've never seen AR used in real life as something that someone did on a regular basis. But Apple seems to think it is very important.