Appears to be fixed in 2024, not fixed in 2020. Here is a screenshot from 2020, 1.39.12.0, taken from -35.138856, 138.279754 (if I come any closer, the terrain spike disappears):
For MSFS2020 it’s a different process. I’m not sure a fix is coming soon as it’s a different process but the issue is known and logged in the backlog. I will let the users bump the original forum ticket.
Interesting. I’m in 1.7.7.0, Sim Update 5 beta. Just to be safe, I turned off World Update 7 (Australia) before I made this screenshot to make sure the terrain update wasn’t hiding in there:
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