I have exactly the same situation. Images are blurry, unsharp, even when weather is sunny. Focusing by finger works partially.
I have noticed that the more I practice the more I can take a decent picture. But compared to other phones I have owned /used the camera on the One is just to inconsistent. It seems like there is just too much work involved in trying to take a decent picture. But again it's my fault for not researching the camera on the One before I bought it. I still need to take about 5 or 6 pictures each time just to get 1 picture good enough to keep.