Managing sound and video settings during Teams meetings and calls for optimal communication
I had the exact same issue with new TEAMS version (Version 23320.3110.2622.1325 (23320.3110.2622.1325) on my mac M2.
I closed TEAMS and ran the following two commands from Terminal.
rm -rf ~/Library/Group Containers/UBF8T346G9.com.microsoft.teams
rm -rf ~/Library/Containers/com.microsoft.teams2
When I restarted TEAMS soft focus was there, I am not sure if it this will work for you. But it did work for me.