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I am more akin to believing the phone will automatically sync with whatever AR equipment you have and that will do the processing, like hooking up my laptop to the projector.

This is a 4/5 year development project. And that's being optimistic. On top of that, I'm not sure AR needs that kind of power. It's not VR. Just needs to display some objects and text on field of vision.

Hololens, for example, it's far from being a powerful machine and seems to do it just fine. Obviously we are talking about taking the first steps in a field that is still in development. it's not going to be perfect at first.

Mobile chipsets support 1440p stereo 3d 60FPS (Gear VR, Daydream)