They acknowledged the problem on https://developer.apple.com/system-status/

I'm seeing "Failure Reason: Failed to spawn AssetCatalogSimulatorAgent" now.

I couldn't even sudo rm -rf it for some reason - I assume system integrity getting in the way. Oddly, though, dragging it to the trash worked.

I don't see any difference between the xip files. Maybe it was just the release notes they updated? shasum Xcode_14_beta_3.xip returns 362056ce1af2d64da154fd7d1f8b4633491147c6 on the one that failed and on the one I just downloaded a minute ago.

Are you using both --target and --scheme parameters to xcodebuild? If so, try --scheme only.

I'm not an expert on this, but shouldn't the configuration be set by the scheme?

That link says it's fixed in 14.1b3, but we're still seeing the problem in our app.

Same problem here with Enterprise apps.

That fixed it for me, although I have no idea why. Thanks.