To improve flexibility and fidelity in tracing a virtual object and inserting a specific real environment into the virtual object, in an augmented reality system and its method.

The augmented reality system comprises means for gathering image data of a real environment, means for generating virtual image from the image data, means for identifying a predefined marker object of the real environment based on the image data, and means for superimposing object image data with the virtual image data at a virtual image position corresponding to the predefined marker object.