I touched on this before https://news.ycombinator.com/item?id=12104656. Imagine waiting in an airport and browsing instagram or watching videos on a relatively large, private display via glasses. The tiny, visible-by-others smartphone display would look very primitive in comparison.
Google Glass was squashed right? And Hololens is focused on business use cases first. I don't see it becoming consumer focused for some time. VR is amazing _today_ and has a massive gaming audience. The business applications of AR, while high impact/potential, are a much smaller audience.
And I think Google Glass was dropped because the tech wasn't there yet. It was a small square on the corner of your vision instead of a "depth aware" overlay.
VR games are the same sort of short term gimmicks that failed with the Wii and Kinect. The technology is amazing, it's just not very useful.
VR is like the desktop. It will have its uses, sure, but you'll be tied to your desk/room. Gaming will probably still be the most popular VR application.
Your AR glasses will be your smartphone, on you the entire time, and you won't even need to reach for your pocket.