They do need to be that bright at daytime, and most indeed use automatic brightness by default. If only there was a technology that could use daylight instead of fighting it...
I mean, I don't mind brands visible on purchased goods per se, it's the same as a maker's mark like artisans have added to their wares for thousands of years. It's no more an ad than a book including the name of its author on the front.
But it's my conscious choice to buy certain products from certain brands, with careful considerations to quality and price. If a product is good and it is reasonably priced, I don't care if they have a logo on there. But I don't go buying products for the brand.
Where ads are different is that they intrude into parts of our lives they have no right to be in.
I want to watch some sports, but no, ads everywhere.
I want to watch a movie, but I have to sit through all the ads first.
I am waiting at the bus/train stop and there's business posters everywhere, and then the bus/train pulls up and it's covered in ads inside and out, all during my commute.
I'm in the waiting room at the doctor's office having a panic attack about the results of some recent tests and there's a dumb ad on the wall with some smiling white lady staring directly at me, who has everything figured out and can now live life to the fullest thanks to her doctor having prescribed [DrugName]™.
That's the shit I can't stand. When it's not possible to simply exist in life without some entity trying to extract capital from you at every turn.
Don't look at your shirt, shoes, socks, pants, hat, water bottle, or even you camera either. If you packed your lunch, you likely see a brand there too in the wrapper.
I have a sensory thing about tags, only purchase undecorated, monochrome clothing, and have worn the paint off of my water bottle. Plus, I make my own lunch and pack it in metal Tupperware whose branding is also worn away. It’s wild to me that there’s an application for being a fucking weirdo, but I don’t have any visible ads on my person.
This is in general for LED text signs. The "inventors" (more like engineers because they just combined multiplexing with superbright LEDs) OP mentioned probably didn't specify a purpose, they just wanted a more reliable alternative to mechanical or manual signage but yes, most are for ads.
They have an LED each in the top-right corner of the corresponding dot. The LEDs use different driving signals (much higher frequency and not just when the display changes) but are kept in sync with the slow-updating display to allow both technologies to complement each other: they do work in total darkness and faulty dots have LEDs as a fallback; the LEDs are half-brightness at night, full brightness at dusk and off in daylight.
Also, they were significantly LESS expensive than a sufficiently luminous LED display in the 90s before superbright LEDs existed.
As I said in another comment, they weren't designed for ads but info signage, so they don't actively catch attention, which is what you want to get a visually cleaner environment.