The AugmenTable is a desktop augmented reality workstation intended for conceptual design and prototyping. It combines a thin form factor display, inexpensive web cameras, and a PC into a unique system that enables natural interaction with virtual and physical parts. This initial implementation of the AugmenTable takes advantage of the popular open source augmented reality software platform ARToolkit to enable manual interaction with physical parts, as well as interaction with virtual parts via a physically marked pointer or a colormarked fingertip. This paper describes similar previous work, the methods used to create the AugmenTable, the novel interaction it affords users, and a number of avenues for advancing the system in the future.