I am confused. Why on the phone if I turn on say Always on Display does it turn off other things like magnification. Weird thing to have all these great things yet only let you use a few of them at the same time.
Which model are you using? Any carrier in particular? I know Verizon disabled a lot of stuff in lieu of its own services (although I don't see how magnification falls into this category).
Mmm... OK, now I see where that message comes from. Wow, yeah, Magnification Gestures don't 'work' with a bunch of things! Unlike you, the warning shows up when I try to activate the gestures with anything like AOD active, not the other way around. Weird.
Must trigger something in the screen detection that needs to override any other screen interaction. So weird, though.