They did it in anticipation of the tightening CAFE requirements. It was part of a TSB (EG018-06) that came out in 2006-2007. There was a follow-up on that TSB that said it could be used for other models as well. Started with only the 2006-2007 model years, and I'm pretty sure it was extended to all models that used that same family of engines.
5w-20 recommended for these engine families:
AZ, GR, JZ, MZ, NZ, RZ, UZ, VZ series, 1ZZ–FE and 2TR–FE
0w-20 recommended for these vehicles starting in the 2006 model year:
2AZ–FE Camry, 2AZ–FE Solara, 2AZ–FE Highlander, and 2AZ–FE RAV4
Thinner oil is generally better for tighter tolerances - gets into those tighter places more readily. Lower drag on parts means less overall friction, less heat generation - ultimately means you'll see better MPG. But the disadvantage is film strength - on some engines, especially ones with a lot of miles or ones that tend to consume some motor oil. Oil consumption, smoking on startup, and excessive engine noise can start with the thinner oil.
Personally - I've favored a little more film strength than ultimate MPG, so been running a 0w-30 on my newer cars. Plenty of film strength, don't see much of a drop in overall MPG (~ less than 5%), and engines are quieter at idle than the recommended fill of 5w-20. Good all around protection, good low temp flow, additive package is plenty stout, and VI improvers are "supposed" to be better here than in the 5w-30 version of the oil. Also 20 weight oils can also be harder to find - tend to be more expensive than other oils. With 0w-30 and 5w-30, you can find them pretty much anywhere.
I've pulled some UOAs and wear levels are very low with this grade of oil. Also pretty cheap at Walmart - I can get 5 quart jugs of Mobil 1 0W-30 for about $23-$25. Already have a block of Denso "tall" filters - 10K mile oil change intervals seems to be well within the safe range for my driving style.