Just today, I updated to macOS Monterey and now I am having problems opening vector smart objects in Photoshop files. If Illustrator is closed, when I double click the smart object (or choose edit contents) Illustrator will launch but the file will not open.
If Illustrator is open and I try to open the smart object, I get a Mac error window that says "The application "Adobe Illustrator 2022" can't be opened" with a -1703 error code.
I'm using Photoshop 23.2.1 and Illustrator 26.0.3, which I went back to after seeing the problem first occur in 26.1.
The computer is iMac Retina 5K, 27-inch 2019 | 3.6 GHz 8-Core Intel Core i9 | macOS Monterey 12.3