I have the same issue as OP and have tried what thehumanwire suggested but without effect. I agree, turning off those options presents a more true-to-source sound, however the issue is still there. It’s there across all sources I’ve tried: analog and HD radio, Spotify, iTunes, Pandora, Podcasts, etc. It sounds like compression artifacts, as if the head unit is cramming everything through a 128kbps MP3 encoding. There’s no detail or crispness to anything above 8KHz. Cymbals and snares sound smushed, and spoken “T”, “Ch”, and “S” sounds are hissy and full of static. It’s most noticeable on talk radio or podcasts. It‘s bad enough that my girlfriend doesn’t like listening to anything in my car above barely audible. She says it hurts her ears.
I have to say, this is the one and only thing I’m disappointed in on my Palisade (70MPH prop shaft vibration aside, which I need to get fixed with that TSB). Everything else about the vehicle is great.
Edit to add: I found a decent Youtube video that articulates what gets lost with compression like this: