I may question again that this stuff is related to the servers (especially to servers hosted by MS).
On my end I also see blurry textures, however only after a certain height like 1000ft AGL. Watching at my network to me it more looks like the MSFS client does not request higher detail levels from the servers (I have the feeling most people seem to misinterpret their network utilization by thinking the servers don’t “deliver fast enough”, however to me it just looks like the client does not ask for more data )
This problem is also not a new one (too aggressive reduction in quality), it’s just new for PC users as we didn’t have had automatic tuning on MSFS 2020:
Now we also have the functionality too on PC and a toggle, however my feeling is that toggling off/on the dynamic settings does not affect map tiles and photogrammetry, so that setting might be buggy. Also to me it feels like the issue was introduced with the hotfix.