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@LunL I tried your suggestion but switching to Parallels and back to Apple hypervisor, although showing a greyed out nested virtualization...
I'm using Parallels Desktop 17 Pro for Mac, and I'm also seeing the same problems.
I have a VM running Win 11 that was set with 8 CPU, 64GB...
I second that. It's been two years and no replies.
Are there any plans to offer multi monitor support on macOS guests?