Originally posted by Rondec The problem you run into when the sun is in the frame is flare and this will do nothing for that -- just a basic loss of contrast around super-bright objects in your frame. It looks to me, that it would be most useful for high dynamic range situations, where there is plenty of light. Currently I tend to underexpose to protect the highlights, but this sort of camera would make that less necessary, as it would take a lot to blow out the highlights.
Yeah, in most cases I don't think it will be that big of a deal in terms of making "never before possible images" or something. Like I said before, it would be like a return to negative film -- right now we shoot on "direct positive", like slides. Of course we have much more leeway than with slides, but still blown highlights can never be recovered. Whereas with negative film, you didn't have to worry about the highlights so much (not unlimited, but 2-4 stops leeway) and could expose for the shadows. So this will be a welcome tech if they get it right (and there will be others ways to achieve it I'm sure). But it isn't revolutionary for standard use because we had it already for 100 years and we'd just be getting it back but with even more latitude. I'm sure you could also push the envelope and do some weird things with it, but that would involve long exposures and what not.
So for normal photography, this tech is not about avoiding overexposure as much as it is about avoiding underexposure in the dark parts -- now you can exposure the shadows correctly and know you'll be able to recover or tone down the highlights, which we can't do now. A simple banal example would be you can now take interior pictures and not worry about the blown out windows (although there will still be flare as you said).