Possible OneNote Bug in Windows Phone
"The Windows Phone Nodo Update may have created a image scaling bug with OneNote. Images look clean and crisp when viewed from a computer but after being synced to OneNote, the note becomes distorted, washed out and pixelated."
This is a curious bug, considering Windows Phone has been pretty good and snappy when scaling images and text from within a browser. So we could assume that it's not related to the hardware.
Hit up the link for more information. Then let us know if you're experiencing the same, or similar, issues.