In Spider-Man: Brand New Day, MJ learns that Peter Parker is Spider-Man and reads the letter he wrote to her at the end of No Way Home. She claims to have no memory of him, a heartbreaking moment that makes it clear there's no easy solution to undoing Doctor Strange's spell.
The movie hints that she's either lying about not remembering him or at least beginning to regain what they had, as she's shown on the roof of Midtown High clutching the black dahlia necklace he gave her in Far From Home.
Peter, meanwhile, bumps into Ned, who obviously doesn't know him. They shake hands, and it becomes their signature handshake. With that, a flicker of recognition crosses Ned's face, and Spider-Man: Brand New Day ends with him smiling and saying, "Peter?"
The meaning behind that scene is dividing Marvel fans. Many believe that the moment Peter is honest with Ned, something is unlocked within his mind, and the handshake restores his memory and their friendship. That's our preferred reading, and the smile they both share certainly suggests Ned now remembers him.
A compelling alternative is that while the spell can't be undone, people can slowly recall who Peter was, with MJ perhaps regaining her memories more slowly than Ned does. For example, when Spider-Man battles The Hulk, just as the Green Goliath is set to deliver a killing blow, Spidey tells him who he is. Suddenly, the rampaging Bruce Banner seems to have a glimmer of recognition, and quickly ends the fight.
One final interpretation—and this one we don't like—is that Ned is simply putting 2+2 together and remembering that MJ accidentally let slip that Spider-Man's real name is "Peter." It makes sense to some degree, and there's definitely some deliberate ambiguity surrounding this exchange, but that would make this scene far less touching.
Ultimately, it may not matter. Avengers: Secret Wars will reboot the MCU, creating a single world inhabited by the Avengers, X-Men, Fantastic Four, and Spider-Man. That opens the door to the next movie beginning with Peter and Ned back to being best friends, and MJ keeping her distance from the wall-crawler, before he inevitably wins her back...without any convoluted explanations for Strange's spell and what they do and don't remember.
Quite a few people see Spider-Man unmasked in Brand New Day, and they don't immediately remember Peter being outed by J. Jonah Jameson. Instead, it seems a moment of true connection and honesty from the hero with people who care for him triggers something powerful enough to overcome the former Sorcerer Supreme's magic. The power of love, anyone?
"Spider-Man: Brand New Day is everything fans could want," we wrote in our review of the movie. "Emotional, hilarious, and heartfelt, it’s an action-packed love letter to the comics and one of Spidey’s best big-screen adventures. Spider-Man has never been more amazing."
Spider-Man: Brand New Day is now playing in theaters.