Processing on computer not working and weird Recover Faces issue

I just updated Photo AI today after getting their email advertising "up to 2x faster on Mac."

When I attempt to process an image using Wonder I get an "Error running model" error in the status bar, and the process hangs indefinitely while "Enhancing your image with Wonder." Cloud processing seems to work OK.

Another weird new issue: after Auto-Pilot runs, it sometimes add a layer of "Recover Faces," which messes up a face, causing blurriness and streaking. It's almost like the program runs a pass of Recover Faces as part of Auto-Pilot, and then doubles up the process. Hiding or deleting the Recover Faces layer gets it back to normal.

I already tried a full uninstall and reinstall, downloading all the models at installation, and my machine should be up to the task: M1 Max, 32GB RAM, running the latest Sonoma.