This is not the decompression gone wrong, this is the image being incorrectly encoded. The problem is that the JPEG bitstream in this image is in YCbCr color space, but DICOM PhotometricInterpretation claims that the color space is RGB. In dcmdjpeg, you have a command line option --conv-always that enforces a conversion from YCbCr to RGB and another option --conv-lossy that enforces this conversion for lossy JPEG only. Both solve the problem with this image. Both option are not enabled by default, though, because they would cause some legitimate DICOM images to be displayed incorrectly. We prefer that the default behaviour of our tools is to correctly process correct data. Options that are needed for incorrect objects and would cause certain correct objects to be processed incorrectly (even if only in rare cases) are never enabled by default.