A "literal" in this case is a constant value defined in a module. Those live in a separate space in the VM and are referenced directly because they are immutable and can be shared. If you sent such a literal before OTP20, it would be copied into the heap of the target process. Not anymore.

But it doesn't help with cases where you are constructing a term (dynamically) in a process and sending that term. There is more meat in the blog post of mine: https://medium.com/@jlouis666/an-erlang-otp-20-0-optimizatio...