I can no longer control the brush size with the thumbnail control on my Logitech mx master 3 after the recent update. I confirmed that Photoshop was an approved app with Logitech options. Still works fine with PS 2020.
Finally, I found the solution. I also had this same Brush Size issue with the Adobe Photoshop 22.3.1 release. There is an issue with the Graphics Processor Settings in Adobe Photoshop - (Edit/Preferences/Performance). Sometimes it'll not detect the Graphics Processor. It's greyed out and unchecked. The issue is not with the Logitech MX Master 3 Mouse. The issue exists with Photoshop version 22.3.1. Please see the attached screenshots.
The Solution: I've uninstalled the Adobe Photoshop 22.3.1 version and installed the 22.4.2 version. The issue completely resolved and the Brush Size adjustments work very smoothly with the thumbwheel that comes with the Logitech MX Master 3.
Try this and send me your experiences on this. I'm happy to share my experience with you all to release you all from this bottleneck. Good luck. Cheers!
FYI... This was a LogiTech issue with the MX 3, a user on their forum found a fix couple on months back, which works on any version of Photoshop, took about 10 months to get there. Since then I dont think anyone has posted the bug again.