I got the same error and found a possible reason, although the message is too generic to be sure it cannot result from any number of problems. In my case, I was using .heic files that I had cropped using imagemagick's convert tool. Something must have been wong with those files, because reconstruction worked (rather well, see attachment) once I had cropped the images using the system's built-in support for the image format. I used a Hammerspoon script, but you can also use Preview or Photos or automate either one with Shortcuts etc..

To invoke Rosetta, you have to build for x64. Try: arch -x86_64 brew install, or find how to specify the target for the compiler/runtime you need. As to native M1 support: ML is probably to most hardware-specific software developers work with, so it is no wonder that it takes a while to migrate.

Having had the same problem, I've found one (unsatisfying) workaround: unplugging the iPhone before starting the app works. Since that does not seem to be very sensible behaviour, it is likely a bug and will (slightly less likely) be solved by some future update.