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Not enough Free cells.
This is the last step of a logical sequence.
An assumption may result in a position where the line cannot be completed with the required number of ship segments
Look at the situation in the given half board. The number 2 requires tow of five the cells in that line to be segments. When we assume cell A to be water, it helps us to proceed further easily by applying the rule All remaining cells are ship segments.(See below)

These cells form a destroyer and the cells surrounding it are water. This position contradicts the digit 1 (circled), which requires one ship segment in that line, but there are no free squares for the ship segment.

So the cell A cannot be water. It has to be ship segment.
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