Full sunlight is about 200 times stronger than the light coming from your phone. Plain glass reflects about 4% of incident light, so the reflected light is 8 times brighter than the screen. Even with anti-reflective coatings, you can’t get much below 1% for white light, so the reflected light is still double the maximum output of your phone.
That’s a basic problem with a smooth glass screen, and it isn’t going away. Paper-like screens, as other people have commented, have problems with refresh rates and resolution that make them unsuitable for normal smartphones.
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