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> Capitalizing the first word of a sentence can also lose information.

Only if you are using a lousy keyboard layout for your language. I'm a native French speaker, and my layout (Bépo) let me type ÉÈÊÀÆŒ without having to remember any weird combination.

I can't think of significant loss of information besides diacritics.



In English, it can make a big difference in meaning if something is a proper noun or not.




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