A simple camera raw file opened into a smart object remains a raw file (usually 14 bits/raw channel) and presents as a 16 bit/channel or 8 bit/channel RGB depending on the ACR settings. They key point though is that the full camera raw file is still accesible.
I hope you can help, as I have seen a number of helpful posts from you on this subject! 🙂
I am trying to create a 32bit HDR image as a SmartObject that I can tweak in Camera RAW to get different effects. At the moment I when I do this the SmartObject only opens as another file in PS, so I can do layer adjustments etc, but not use the simpler slider controls for brightness, shadows etc that you have in Camera RAW / LR.
PS2020 (21.2.4)/ LR Classic (9.4) Camera RAW (12.4)