I'm seeing the same thing. 4 minutes for a build and 400% CPU usage with AssetCatalogSimulatorAgent.

I've had this issue intermittently for the past week while uploading iOS 17-only builds to ASC. Sometimes a clean build would fix it. For past couple of days not even that would help. I've had to move the files from the framework to a folder directly in the app and now it uploads fine. Very annoying.

We've also seen the same bug in our application on macOS. We can reliably reproduce it by renaming the .app file after the initial keychain item creation. I've submitted feedback for this: FB9055785.