Hi rldeveloper ,
Sorry about the delay. Our staff was mostly offline over the past 5 days because of Thanksgiving here in the US.
So I think the issue on the distance being incorrect is that the BW1098OBC has a minimum depth of 0.7 meters. (See here)
So we now support both extended disparity and also lower resolution operation, both of which independently halve the minimum depth. So running extended disparity at full 1280x800 resolution on the BW1098OBC would result in 0.35m (35cm) minimum depth. And runnning 640x400 resolution -and- extended disparity would result in a theoretical minimum depth of 0.175m (17.5cm) but actually would be limited by the min in-focus distance of the grayscale global shutter cameras, which is 0.196m (19.6cm).
So I'd recommend trying out extended disparity from here, and visualize the depth (like the default example does) to see if you can properly get depth information when extended disparity is enabled:
https://github.com/luxonis/depthai-experiments/tree/master/gen2-camera-demo

For example, above, you can see my knuckles are too close to that BW1092 w/ subpixel enabled.
Thoughts?
Thanks,
Brandon