Parallels Desktop not responding with macvm guest running

BradR5

Junior Member
Parallels Desktop: 18.1.1 (53328)
Host OS: Ventura 13.2
Guest OS: Ventura 13.2
HW: MBP M1

Issue: As soon as the macvm launches, Parallels Desktop becomes unresponsive (spinning beachball). The vm operates normally, but I can't interact with the Parallels Desktop app until I shut down the macvm. I have tried fixing permissions on the disk, reinstalling Parallels Desktop, changing allocated RAM to macvm... nothing works. All other apps run fine on the host OS. Is this by design?
 
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