I started noticing this right after I got my iPhone 3g about a month ago. Here’s the deal. Apple is downsampling images that are imported through iTunes onto your iPhone. I.E. they go from looking great on screen to looking grainy and slightly textured.

If you want to see for yourself save out a photo from your favorite photo manager and import it via iTunes onto the iPhone. It should now be located in your photos directory within the iPhone Photos App. Take a look at it closely in comparison with the original, you will see the result on the right (rollover for comparison shots).

Here’s my question, why is iTunes doing this to our photos? It seems like the iPhone has a good enough processor that it shouldn’t have trouble showing photo details. After all, this is the platform that plays video and 3d games. And even worse, it doesn’t seem to have this issue if you look at photos via Safari. In fact, I found that my image uploaded online and then saved via Safari to the camera roll looked a lot better than the imported version from iTunes!

What’s the deal Apple? I don’t want my photos and wallpapers to look like they came from 1996.