I also had this problem after oxygen 4.7.4 update. the auto focus doesn't seem to work properly and the touch to focus doesn't focus on nearby subjects, the touch only sets the metering or exposure. Tried to change the focus using manual and that worked like a charm. Tried a third party camera app, that worked too, but that app doesn't support 18*9 aspect ratio. I guess this might be your problem too, getting blurry due to poor focusing. (it takes some rather longer time but eventually the touch to focus and auto focus did work, this is okay for a testing case, but in real life situations I'm afraid the subject will not be sitting there that long)
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