Hmmm, this doesn't seem to work? The screen does seem to darken when I engage this setting, but it never changes brightness after that? I'm new to Apple products, so i'm not sure if i'm testing it correctly. I cover the sensor with cardboard and the brightness does not change. Same issue if I shine a LED flashlight into the sensor. How do I test this? We just did the same test with my son's Iphone 3G with the same result? Huh? I see lots of complaints on the forum of the same thing, but some say the feature works? Could Apple have turned off the feature in Firmware do to the possible Wifi issue? Anyone with a "NEW Ipad have OR not have this issue? Please don't tell me this otherwise perfect Ipad has an issue!!!!!!!!!!!