Widgets and contacts pixelated and blocky - not whole screen

[BoDuke]

My contacts that are in the Quick Contacts Widget look horrible. Also any pictures i put on a home screen uisng the stock gallery widget, or any other gallery widget from the market, look blocky as well. This has nothing to do with the pentile screen, as everything else looks fine. When I view the pictures on the phone in the gallery app they look fine. It is really bad when I get a call, the contacts look like crap in the center of the screen. I found some older threads about this in some HTC phone forums. Is anyone else having this problem on the Bionic? Can anyone help me fix it? I am using some of the same pics I used for contacts and widgets on my Droid X and they looked fine on there. Thanks.