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The blue dot next to a contact on a Samsung smartphone indicates the use of RCS (Rich Communication Service), a new feature enhancing messaging for Android smartphones. RCS is similar to iMessage on iPhones and offers advanced features like WhatsApp. The presence of a blue dot means both parties can use this feature, while its absence indicates the use of standard texting. New smartphones like the Pixel, LG, Motorola, and Galaxy S10 have RCS capabilities.