Experiencing this issue as well. Details below:
Yesterday, we installed KB5019959 on two guest VMs, each Windows 10 Enterprise LTSC Version 21H2 Build 19044.2251. It works on my host OS, but not my coworker's. Stop Code: UNSUPPORTED PROCESSOR
My host OS information: Windows 11 Pro Version 22H2 OS Build 22621.674
Coworker's host OS information: Windows 10 Pro Version 21H2 OS Build 19044.2130
Removing the update on the guest OS works, but as stated earlier I don't have the problem on my Windows 11 host machine, only on Windows 10 host machine. I'm going to continue troubleshooting with some version upgrades and such. I'm willing to provide logs and further troubleshooting to try to get this resolved.
The below info is troubleshooting I tried but didn't fix this issue:
In my initial troubleshooting, I attempted a potential fix mentioned in another forum post: (1) Latest Dev Channel builds of Win 11 fail to instal... - VMware Technology Network VMTN.
This did not fix, but did give a new Windows Stop Code: SYSTEM THREAD EXCEPTION NOT HANDLED
This allowed us to use 1 processor, 2 cores instead of just 1 processor, 1 core. But it did not fix the issue.
Please note, if you try the fix mentioned in the article, you'll need to reset
bcdedit /set hypervisorlaunchtype auto
in order to get your machine to use more than 2 cores once you remove KB5019959.