Application DBA are involved in the actually application's schema management of the database. Creating objects, sizing correctly, grants, index management, user management, privllieges etc.
System's DBAs are more Backup and recovery, installation, tablespace creation and modifications, upgrades and migrations.
Few companies nowadays hire separate Application DBAs and Systems DBAs. At least in Europe. DBA are invloved even in other processes: Unix administration, Application development, etc. The time of B&R DBAs is over :-)
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