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I've had this problem on Mac. In my case a pair of AirPods sounded really muddy and low quality. macOS was setting them up as the output AND input audio device. The two-way Bluetooth communication eats more bandwidth, hence the lower quality. The solution was to set the audio input to something other than the AirPods.

Try setting your audio input to something other than the headset on the Windows machine.

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I honestly don’t understand how this is still an issue with Bluetooth devices in 2020. Why is there no lossless duplex audio profile / codec available at this point?

Because transmitting and processing that data takes too much energy, pretty much. We have the tech to stream lossless equality audio with latencies in the milliseconds, but it takes too much power.

Thanks for the hint. I have tried everything else I could think of the improve the audio quality but not this one. I'll give it a go this afternoon!

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