Phone screens without notches, laptops which can have larger cameras for better video calls, VR gear with better eye tracking, digital mirrors and more. I'm sure there are less obvious applications.

I don't understand why a photosensing pixel is meaningfully worse for privacy than the devices we already have. I mean, sure, you might not as easily be able to cover up your camera with tape, but even then a better solution which should be implemented anyway is a physical decoupling.

And as I stated above, I doubt this is meaningful for spying capabilities. Micro cameras are likely more suitable, for better or worse.