Update: After the 17.1 update, i think everything is working fine so far! I use only the 512px photo, and it’s working on the big image player, small image player and in CarPlay too. I hope Apple not break it again in some further updates.

@siegerstein is right. Thats the only workaround so far... :( 128px is fine for the small image, but is way too small for the big image. It's pixelated. It's iOS 17... and Apple still didn't fix this issue. Apple is becoming more and more crappy every day. They should change their motto to "IT JUST DOESN'T WORKS"

Well, Regarding my previous comment, i will deny that the problem is really fixed. The problem is fixed somehow.... HALF way... This problem is becoming really annoying... The image is changing in this mode: During above mode, it's changing the micro-artwork next to the iPhone 14's Island, also it's changing the image in the small player mode. BUT... it isn't changing while in this small player mode, and it isn't changing in the Dynamic Island artwork too:

iOS 16.4 is out today. I can confirm too, its FINALLY fixed. Wow Apple, it took a while.

iOS 16.3.1 STILL NOT FIXED!!! Guys lets throw 1 report here: https://feedbackassistant.apple.com/ with title "navigator.mediaSession.metadata error" Obviously nobody is reading this forum here. As you can see there is no Similar reports, so we have to point their attention to the problem.

CONFIRMED: The problem is NOT solved in iOS 16.3 ... Wow I can't believe Apple still sleeping.

Can someone confirm is the problem is still existing in 16.3 Beta?

This problem is existing in iOS too, since 16.1.1 (I think). Before that it was ok. My laptop is old, and I'm with latest Big Sur, but there is OK too... I waited till the next iOS update, but now I see that this is Safari problem...