Slightly different issue, but my Xcode simply spins on "Resolving package graph" and won't do anything else. If I try to close it, I get the rainbow ball of death. The fix was to delete the DerivedData dir of the project it was trying to resolve.

Got an answer back from Apple support and it did solve the problem: Based on your request Apple Developer Technical Support believes that your question is answered by the "Xcode Release Notes: Xcode 13 Release Notes" linked here: https://developer.apple.com/documentation/xcode-release-notes/xcode-13-release-notes Specifically: Swift libraries depending on Combine may fail to build for targets including armv7 and i386 architectures. (82183186, 82189214) Workaround: Use an updated version of the library that isn’t impacted (if available) or remove armv7 and i386 support (for example, increase the deployment target of the library to iOS 11 or higher). In my case, I addressed this by installing a local version of the package and then bumping the swift-tools-version in Package.swift to 5.5. This info came in very handy: https://developer.apple.com/documentation/swift_packages/editing_a_package_dependency_as_a_local_package

@Transpais I submitted a tech support incident request, will update with more info