MacBook Pro M3 with macOS Ventura pre-installed, Can't yet Be Updated to macOS Sonoma - after reset mac stuck and not utilizable at all

Others are having the same issue. I just read this on AppleInsider.com, and have clipped out the fix for it:

Fixing the issue

It is unknown what Apple will do about the problem. There is a chance that Apple may release an update to macOS Sonoma in the near future that the affected MacBook Pro units can update to, as part of the usual post-release update process — but that seems unlikely.

As a more immediate fix, researcher Nicolas Alvarez said owners can download the Install Assistant for an M3-compatible release of macOS Sonoma 14.1 to perform a manual installation.

Sounds like you need to perform a firmware "Restore" which will reset the security enclave chip, system firmware, and also pushes a clean version of macOS Sonoma onto the internal SSD. This process unfortunately requires access to another Mac running macOS 12.4+ (at least the last time I checked).

If this laptop was purchased through a school or employer, then the laptop may be managed by them. If so, then talk to your IT department to have the laptop removed from their MDM management system. The same thing could happen if you purchased an open box or returned product.

Like the others have mentioned, returning it within 14 days may be the easiest option.

AlexDG83 wrote:

thx a lot for your reply, but the issue that I have at the moment is that I can enter only the recovery mode, as some "clever" Agent asked me to proceed with the full reset, so that now I stuck in this limbo without any possibility to escape :-(

I agree with dialabrain on taking it in to the Apple Store. If not, call Apple and tell them you need to return it.

Similar experience with Apple support and I’m unable to log in now as well. I have the 16 MacBook Pro Max M3 and used the migration assistant for transferring from a pc. My mail and contacts didn’t transfer. Also, many of the Apple applications kept freezing so I had to perform a lot of forced closes. Going to the Genius Bar tomorrow and if they can’t get it going properly, I’m returning it.

Return it and get your refund. This is the second time I read this here.

Before that try in Terminal,

softwareupdate --list

Any chance you have a nearby Apple Store? If not, returning it within 14 days may be your best option.

If possible, walk in to an Apple Store. They will restore your faith.