I think it's a gimmick that Samsung will cut out in future models for cost savings reasons. Like Samsung ditched the edge displays, or the Bluetooth in their S-Pen, or like Apple ditched 3D touch.
Reading comments here looks like most of the commenters didn't read past the title.
This is not the same as a privacy screen protector. The screen hardware itself can dynamically protect parts of the screen on demand down to pixel level, the OS can then dim only the app or notifications you want dimmed. There is no screen degrading for parts that are not in privacy mode.
The Samsung masking tech can selectively mask parts of the screen. And it has configurability so it automatically is turned on only in certain apps and things like that. Because it dims the screen slightly (when you look at it straight on), just like a screen protector, it’s really useful that it can be customized in these ways. You get to keep the quality of the screen high to a much greater amount while still keeping your privacy.
So does this function from Samsung. You can see in all the video demonstrations that the 'privacy' pixels are notably dimmer even head-on compared to normal pixels.
Currently a lot of smartphone power consumption is used to drive the screen, but only a small fraction reaches someone's eye. This could be used to improve the power efficiency of screens by at least an order of magnitude
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