I downgraded the firmware to 7.6.8, and the noise gone! Upgraded back again, the noise back! Hence, I decided to stay at the firmware 7.6.8.
However, please note that the firmware 7.6.8 does not not support AirPlay 2. In other words, the issue could be AirPlay 2, rather than the firmware itself. I have the following reasons for coming up with this conclusion:
1- Airport Express make noise with Airplay 2 (latest firmware) and not with older firmware using Airplay 1.
2- My new Music streamer (Bluesound Node 2i) has the same crackling noise when using Airplay 2, and no noise when I directly stream through its dedicated App.
3- My Yamaha Stereo Receiver using Airplay 1 makes no noise.
4- All the above devices are connected to the same network.
These together, points out to me that there could be a software issue / glitch with Airplay 2 in general.
You may object, and it’s valid if you do, that if there was issue with Airplay 2 then why there is no noise with AppleTV when using Airplay 2?
I don’t know the answer, but I could just guess, maybe when streaming music through Apple TV, the Apple TV takes over the music and play it on its own, rather than actual streaming. Maybe I’m right, maybe not!
Please note that, the noise that I’m referring to is very subtle. Hence, other people might have it as well but never noticed it due to the type of music they listen. I hear it for example when I listen to Bach’s Well-tempered Pianos, rather than when I listen to Rock/Jazz/Electric.
You have to pay close attention to your speakers to hear it.