The power-saving technology relies on the simple but great idea that when battery is low, the system can change the display characteristics of the OLED and thus save more battery. As the chart shows, the technology will keep monitoring the remaining power of the battery in a mobile computing device and then it will switch the device's OLED display to a power saving mode depending on the battery power level, decreasing the power consumption of the device.
When in such a power saving operation mode which will supposedly have three levels, the patented technology will disable blur and animation functions of the OLED display, decrease resolution of the display, and in extreme situations, will force the system to show only red and black colors. The schema published by Google is not very elaborated but the idea of showing the red and black does make sense.
Anyways, how effective this new technology from Google proves to be will be revealed when a real phone implementing the ideas suggested in the schema surfaces.