The advanced of the technology evolving currently enable the use of innovative learning tools for various fields especially in education. Different technologies have been implemented in the educational sector to enhance the method of teaching and learning. Augmented Reality (AR) is a technology with vast potential and great pedagogical that offers new methods for the purpose of education. AR with computer generated system allows user to see the real world environment with virtual objects superimposed or composite in real world. Although AR will enhance the educational outcome, the domain specific, pedagogical and psychological aspects have to be considered for real use in class. The strategies such as collaborative learning were considered when designing and engaging an AR learning environment. Collaboration is to work together from one to other party where they can communicate each other to learn and get some mutual benefits. This research gives a brief insight into the potential and challenge of Augmented Reality in education to enhance the method of teaching and learning from conventional to the technological by using the AR technology.