The 3rd gen Smiths aren't the only pistols I've seen this on but here is an example of what I'm talking about - the barrel is flared out toward the muzzle instead of a straight tube.
It's the barrel bushing for lock-up. It's built into the barrel in the 3rd gen Smiths. In a S&W 59 (1st gen), there's actually a separate barrel bushing like a 1911.
A better question would be to ask the reason the barrel is relieved behind the swell. That is done so the bushing can be tightly fitted and the barrel can still have room to tilt down to unlock. Since the barrel does not tilt down until the slide moves a bit to the rear, the relief cut is made behind the bushing contact point.
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