I've been playing about with the Depth Effect on the iPhone 7 Plus since it was made available in iOS 10.1 Beta a short while ago and I have to say; I'm really impressed.
iOS 10.1 has just been made publicly available today so if you have an iPhone 7 Plus; update your OS and give it a try.
Depth Effect is applied very quickly in post so the image is saved both normally and with the Depth Effect.
The images below haven't been edited other than resized for the blog post; they're straight from the iPhone.
Without Depth Effect:
With Depth Effect:
As you can see; the image with Depth Effect is really impressive and emulates an image you might obtain from a DSLR pretty well but it's not without issue.
The effect has been highlighted as a feature for portrait photographs; the effect is actually selected with "Portrait" within the Camera application.
The portraits that have been demonstrated look very good but if you look at the edges of the leaf in my photograph; they look a bit weird.
You can see where the effect algorithms have selected the edge of the leaf to keep in focus and apply the blur behind that edge; it's impressive for sure but as this is just an effect - you can see the issue that this has caused.
A picture taken of the same subject with an actual DSLR would appear quite different and much better but you can clearly see that this effect is impressive nonetheless and it's a great achievement.
The effect has only just been made available with the public release of iOS 10.1 and no doubt we'll see advancements of this in future incremental versions of iOS.
Portrait with Depth Effect only uses the 2x lens on the iPhone 7 Plus and cannot be used with the standard 1x lens which is why this feature is exclusive to the larger phone (as the iPhone 7 has a single lens camera).