So I booted the XSX up today, and then I immediately did a hard reboot (since I forgot to yesterday night) by holding in the console power button and I even removed the power cord for a minute or so.
I boot it up, same issue. Then I changed 120hz refresh rate to 60hz and it was gone. Then I put it back to 120hz and the issue is still gone.
Consoles have become quite complicated over time. For us it’s easy because we do a lot of research. But if you consider how complicated things got with HDMI 2.1 and all the settings you have to have right it’s hard for me to imagine most people play these consoles properly and get the most out of it. At least Xbox has ALLM which worked really nice on my TV and almost set it up on its own. But I really dont want to know how many PS5 owners play ps4 games in 60hz and cinema mode at home. The horrors!