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On fallout 4, everything got blured out in the background. They used buildings and hills to hide that. You will notice it more on continent mods, fallout miami had that problem everything in the background just disappeared.
However, I seriously doubt the graphical fidelity is 16x as (I'm guessing Fallout 4), so probably just marketing fluff that turned meme.
However, I do remember reading a reddit thread discussing the video options for FO76, and the OP said that for whatever reason, LOW settings on Fallout 76 is like the ULTRA settings from Fallout 4 on crack, which might of caused so many people to wonder why a game that grabs about 90% of the assets from an older game run so bad, since it doesn't even SHOW that kind of fidelity increase, but the performance drop certainly acts like it. (At least in the early days, dunno about now.)
I have no idea why the game is like this, if it really is, but if that's what "16 times the detail" really meant, then it was worded poorly.
I can however say that because the game is set in a less suburban State, and a little bit more way towards a, for lack of a better term, "healthier" world recovering from the bombs, there is a heck of a lot more grass, trees, rocks etc. compared to Fallout 76, so that does take up more demand.
And while FO76 doesn't have a massive city complex like Diamond City in FO4 in the middle of the map, it does have (I think) more structures and buildings scattered about the entire map as whole.
That doesn't mean it looks better though, which is what I think people gaslight themselves into believing. 16x the detail on a turd means you're probably looking at the turd too close.
I can run read dead redemption 2 and even cyberpunk 2077 better than this sweet little lie of a game