Abstract: A system and method to enable realistic augmented reality 2D or 3D audiovisual imagery, integrating virtual object(s) and audio source data in the vicinity of a user/wearer of a head-mounted device (HMD), the HMD integrated with a mobile communication device. The system includes a HMD to facilitate enhancement of the user/wearer's audiovisual capabilities, a mobile communication device integrated with the HMD. The system also includes a dedicated system mounted on the HMD and comprising at least an embedded software solution, at least four (4) miniature speakers mounted on the HMD and configured to optimize the audio provided to the user/wearer and an inertial measurement unit (IMU) mounted on the HMD for processing the data on and through the speakers according to the data imputed to the software instructions, thereby providing realistic sound in the HMD and anchoring of sounds deriving from virtual objects in the real world.