How does it work?
Is it done by moving the lens/chip to transform the light or just by software transform on the image?
If it is the latter, that means we will get lower picture quality as it will project less pixel on the screen.
Correct, the more keystone correction applied to the image, the lower quality it will be. Image artifacts may become visible. For best quality picture you want to apply no or as little correction as possible.
For example, the straight edge of the projected image takes on a bit of a sawtooth shape at extreme 4 corner correction amounts. The effect is subtle if you aren’t looking for it but definitely there if you try to see it, especially when projecting 2+ m image size.
Pretty much everything that is done to the picture on software level will somehow lower its quality. If you are going to see and make difference - that is different question. Let’s not forget that PPM is a pico projector and it is one of the smallest (don’t want to give examples with rivals but they are all bigger). So I don’t think it is possible to have optical image corrections at all with this size (I mean all pico projectors, not only PPM).
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Indeed, as it is software based, it will slightly decrease quality. But that is with almost every projector. You should always try to put the projector in the right spot, only using correction when that is not possible.
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