A source told the New York Post newspaper: "He was 100 per cent ready to use the hologram but nixed it due to backlash from social media and Prince fans. That's why he had that sheet up like in your mama's backyard."
Prince's close friend Sheila E had tweeted that Justin was not going to use a hologram ahead of the performance.
She wrote: "Family, I spoke w/Justin 2nite and he shared heartfelt words of respect for Prince & the Purple fans ... There is no hologram."
In an interview with Entertainment Tonight, she hinted she had advised Timberlake to drop his hologram plans.
She said: "I just said no. I just felt that it was too soon. The hologram was weird, and Prince did tell me [to] make sure nobody ever does a hologram [of him] ... He thought it was very demonic and that's his spiritual beliefs."
But an insider close to Timberlake insisted: "There's no way Justin would ever disrespect Prince's legacy. He didn't change his performance."
Prince's estate said in a statement: "Justin Timberlake, the NFL and the City of Minneapolis used the stadium and the city to give a beautiful hometown tribute to Prince. The two pieces of footage that appeared on the screens were licensed from the Purple Rain movie and a vintage performance in Syracuse, NY."