The great thing about Android is the many apps that can be used to try for free in Android Market. One of the more popular apps is an augmented reality one called Layar.

It uses the GPS and digital compass in the Xperia X10 to overlay on the screen the points of interest on the camera in front of you. By clicking on the flag you can get full address details along with distance to that point. Click through to check out the video of Layar demoed on the Xperia X10 by Sony Ericsson developer Ylva Kronqvist.