We already know a part of the answer as Panorama are images stitched together. So, the main limitation of smartphone – most of the time less pixels than bigger sensor – is by definition less important, unless you specifically want Panorama for hundreds of megapixels. But that’s not a kind of corner case for a niche market. Furthermore, even if not all sensors of your smartphone can shoot RAW images, it is also less important, it just means maybe more images like for the Samsung S20 Fan Edition for which no RAW images are available with the ultra-wide angle. As we know the performances of its main sensor are particularly good for both non-demanding and low light conditions, these images can make great panoramas in many circumstances. It is always arguable, it depends on how you shoot but long story short, this smartphone is a very capable camera. And so can it be too for panoramas.
When it comes to the second part, “can the Panorama process streamlined generate excellent panorama straight out of the box ?”, the first test I have done has proven the Samsung software is somewhat limited. Indeed, it tries to automate everything, and this can be misleading. It is not a question of “smartphone” or “another camera”, it is just due to the software approach. This is fine for consumers, but not great for enthusiasts who like to be able to choose the options they need. For instance, with this below panorama, the choice of the perspective (done by the software automatically) was not fantastic, a euphemism with a significant part blurred in the process:
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