ltnublet
it appears that "mechanical compression" refers to rendering the text in the standard font, and then reducing the horizontal width of the rendered text after-the-fact.
Regarding the second part of your comment ("that you got used to it is irrelevant"), during normal usage the notch doesn't obstruct any content on the screen. The screen real estate was gained by the removal of the bezels on the older models, so there's been an effective increase in vertical resolution despite the notch. In 16:9 content viewed in landscape, the notch is hidden by the black of the OLED, and is not noticeable. There's nothing to get used to other than there being a black notch at the top of the screen when used in portrait mode, which is made less abrasive by apps not normally taking control of the upper-left and -right corners (and so that vertical section would be unused anyway).