It actually sounds like it's faulty, not too bright - something seems to be wrong with the projection of the dot or the beam inside - sortof the way a laser pointer can not project a straight beam, but a wider, cone shaped beam if it gets damaged or screwed up.
Sounds to me more like it's just dysfunctional - get it exchanged - explain to them that it's not too bright, it's just not working since you got it. It SHOULD be a dot, not a big blotch.
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