Generally speaking. A true DC generator generates power by rotating its armature(windings) inside of stationary magnets, while an AC generator generates power by rotating the magnet inside of its field (windings). The disadvantage of a pure DC generator is that all of the electricity must pass through rotating contacts (brushes). The amount of amperage that the brushes can reliably carry is limited.
The alternating current generator, or alternator, only needs to send a small current to the rotor to magnatize it, and all of the power can be supplied directly to a buss without going through a set of brushes.
I just tried and failed to adequately explain the internal wiring differences between the two generators, so I deleted it. I'll do some research. Or just wait for Avbug, or ASquared to give a better answer.
good question,
enigma