updated to 2.1 now my podcast/audiobook thumbnails are pixelated!

[212rikanmofo]

Is anyone else noticing this? When I am in the iPod mode on my iPhone 3G, I go to podcasts or audiobooks and the thumbnail displays of my album art are all pixelated. They look okay when they are blown up, but other than that what gives???!!

[Mobile923]

same with my Movies thumbnails...

[212rikanmofo]

weird... i wonder if this is a bug, doesn't seem to affect everyone. hrmm... in 2.0.2 my thumbnails displayed fine. So not sure what's happening to them in 2.1.