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I'm trying to drag and drop screenshots in png format into illustrator, but it says that the format is not supported. How do I fix this? Is this a bug? or is this a windows screenshot problem?
Check if they are 8/bits channel and try if resave in Photoshop helps.
Update: It's not just screenshots, this is happening to all PNGs
If they are 8/bits channel and if resave in Photoshop does not help, you may try to reset your preferences.