Windows 10 - Bluetooth Headset - All audio muted when application is using Microphone

Hi,

I've scoured the internet to try find a resolution to an issue that seems to have gone unacknowledged by Microsoft for over a year at this point.

I seem to have the same problem as Galbi in this thread (Locked without resolution) in this thread.

When I use a Bluetooth headset and the microphone is "in use" any other applications audio is muted.

I have gone into Control Panel > Sound > Communications > Set to "Do Nothing"

I have gone into the Playback and Recording tabs to disable any kind of Exclusive control of the devices, AND I even even rebooted my computer (multiple times over the course of testing these issues).

Drivers have been updated, rolled back, devices removed and re-added. I have replicated the issue with different applications (Discord, Teams and Windows Sound Settings Menu (Recording tab)) and multiple headsets (SteelSeries Arctis 9, Sennheiser Momentum 3, Jabra Evolve 2).

The Steelseries Headset comes with a USB Dongle that functions on 2.4GHz and when I use this everything works fine, but I'm on a laptop and I pick Bluetooth devices because I hate cables / dongles, I want a solution to the Bluetooth issue so back to troubleshooting I go.

The next thing I turn my focus to is the duplication of outputs:

Headset (SteelSeries Arctis 9 Hands-Free AG Audio)

Headphones (SteelSeries Arctis 9 Stereo)

Headset option has 1 channel 16bit, 16KHz

Headphones option has 2 Channel 16bit, 44.1KHz

I've always picked Headphones for Default output because it doesn't sound rubbish, but out of curiosity I swapped the output to the Headset option and slight success, the use of the Microphone does not mute other applications, but it sounds awful so this isn't a solution for me.

Is it a case of Bluetooth just not being capable of handling voice and audio outside of the call unless I use the much lower quality output?