The problem is with the firmware, compression level is set way too high and the sampling rate is set way too low, and they have the gain turned way down to minimize the noise generated in the hardware circuits.
You can try to replace the microphone with a higher gain, it will help little bit, if you’re trying to hear conversations better, I’ve tried it, and it might not be worth the trouble. If only someone with firmware hacking skills was willing to take on this problem, because Wyze is not going to fix this.