Thanks @Wayne-TP  for your response,

Please find the below screen shot with red circled having excessive white light. Basically, it is front road which has extra white brightness.

Below is in Auto Mode during day time:

Below one is in day mode enabled:

Please advice.

Thanks @Wayne-TP for your observations,

There are few things which are still not making sense here,

1. Even it is early morning when sunlight has not reached over the road, excessive brightness problem occur. During morning and evening there is no strong sunlight or brightness though camera picture quality is not perfect.

2. I checked neighbors using other brand of CCTV camera and at same angle they all are getting better vision and sunlight has no impact on picture quality.

Next step I am taking to visit service center for thorough diagnostic or possible replacement.

Thanks @Wayne-TP for coming back to my queries,

Most of my neighbors are using CP PLus brand CCTV cameras which has around 2 to 4 MP resolution. They have feature to adjust the brightness (WDR) to adjust picture quality during different light conditions. Regarding getting the live picture snapshot from neighbors, considering it is going to open forum they have their own concerns and reluctant to share over public domain. However, they are happy to show to technician visiting for inspection.

I have been in touch with Tapo technician for over one month and tried options suggested. Eventually, Tapo technical support team have recommended for replacement, which is in progress.

I will update once I receive the replacement which they mentioned will take 3-4 weeks timeframe.

Thanks again for your prompt response and observation to my queries.