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I've had a MBP 16" for less than a week and have had the faded screen issue a few times. I have the laptop hooked up to a Dell monitor via DisplayPort with a simple USB-C video adaptor from StarTech. Please note that it only affects the MBP's retina display, not the external monitor. The first two times the issue arose I fixed it by unplugging and reinserting the display adaptor, but this time I toggled the True Tone setting off and on under Displays Preferences pane and that fixed it (temporarily, I assume). To me, this suggests that either it is an issue with True Tone or that toggling this setting resets the colour profile as other users have reported as a fix.

I thought it might be helpful to include some photos of the screen with the external monitor for comparison. Hopefully adding this info may help Apple's devs troubleshoot the issue.

Issue pic #1
View attachment 921195
Issue pic #2
View attachment 921197

Resolved issue by toggling True Tone off/on (left display now looks more faded by comparison to the MBP screen, but I assure you it remained the same)
View attachment 921198

I suppose it may also be worth mentioning here for the sake of a keyword search that my MBP 16" was incompatible with my Dell WD15 dock, causing flashing/flickering of my external monitor. I tried HDMI/DisplayPort, every possible setting on the monitor, different USB-C ports and many more fixes until I realised changing to another (unpowered) display adaptor fixed the issue.
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I should add that the MBP 16" had the faded screen issue twice on 10.15.4 and now again today on 10.15.5 so there has not been a fix applied with the update.

Thank you. Similar set up - toggling True Tone returned my MacBook Pro display to the correct colours. It had turned very faded and I had no idea why.
 
Im going thru the same issue. I have the 2019 Macbook Pro 16" with the Catalina V. 10.15.5
Has anyone found a solution for this issue or do we wait for Mac to release an update addressing this?
 
I have exact same issue with the new 2020 macbook pro 13". About once or twice a week, the screen is all faded and washed out. Perfectly usable but requires a reboot to get proper colours again.

I also sometimes notice the color tones changing rapidly back and forth for a few seconds. Like night shift, but on steroids.
 
I get this once in a while too. Put the display back to sleep and wake it again and it will fix it. No need to reboot.
 
Try toggling the True Tone setting in Display Preferences on and off a few times. That worked for me, a fix (or workaround) suggested by @zjack earlier in this thread.
 
I wrote an app that fixes this issue by switching color profile automatically on wake. You can download it here and also view the source code if you are curious. Let me know if this fix works for you as well.
 
I've been having this issue with my 16 in MBP using a usb-c to DisplayPort cable onto an LG 4k monitor. Colors on the MBP screen seemed fine, but LG monitor was super washed out. I don't have this issue with the monitor when I connect my 2013 15 in MBP. Solution for me was to turn off HDR in the apple display settings and my colors returned to normal on the LG Monitor.
 
I fixed it, you need to disable auto brightness! Auto-brightness not only changes backlight but also gamma settings.
 
I had this problem with my 16" (connected via USB-C to DisplayPort to an LG 4K) when it first came out but after an update at some point it completely stopped. Months passed without it happening, with the same usage patterns, but recently it just started happening again. Hmm.
 
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