That's a really good point. I wonder how many levels of grayscale it can actually display. It might say 256, but I wonder if it really is.
I know the panel is capable of displaying 15-bit color (5.5.5.0.1) or 16-bit color (5.6.5.0.0) at the reduced resolution of 640x400 on the Powerbook 540c. Don't know what that means for grayscale. If it is true 16-bit, and they use the green channel to display grayscale, it would be 64 shades of gray. 15-bits would be 32 shades of gray. If the panel is only 12-bits, like the one in your example, there would be only 16 shades of gray. Worst case scenario, if the 16-bit color is nothing but dithered 256 shades, then it would only be capable of displaying 8 shades of gray since 256 colors, using the green bits, only displays 8 shades.
I find this very interesting. For anyone that has a 540c, if you could check to see how it displays 256, 64, 32, 16, and 8 gray gradations, I'd be rather interested in the results. As soon as one can see obvious banding, dithering, etc... it has exceeded the ability of the screen to display that many shades.