In addition to how tight the beam, I think beam color comes into play. In reading about fog lights, I came accross the observation that more "yellow" lights are not as hard on our night vision and thus make better fog lights. I think the same thing comes into play here as the LED lights are much less yellow.
Yeah, with respect to fog, the frequency of the light should be the main difference between LED and Xenon bulbs. My LED lights are mostly white, with varying degrees of purple or greenish tints -- i.e., the Luxeon lottery. I don't have a yellow LED light -- if anyone does, it'd be interesting to hear a comparison for fog/smoke usage.