We've seen this profile picture bug on AVD (Windows 11 Multi-User) happen twice now, and it's been difficult to troubleshoot.
Has anyone had success narrowing this down? Even just knowing which logs to collect when it happens would help, we want to be ready if it happens again as I'd prefer not to raise a support ticket only to get a response too late, once the logs are no longer relevant.
In my case (Win11 24H2 multi-session) the image files, remained in the golden image, caused the problem. Sysprep is not cleaning them up:
C:/Users/Public/AccountPictures
I deleted the broken ones manually before taking the image. After that it worked; since about 2 months without issues. But I guess this is not a very good blueprint.
there are also some registry values:
HKLM/SOFTWARE/Microsoft/Windows/CurrentVersion/AccountPicture\Users
I did not cleanup there.