Are you installing from the Parallels program? I run nothing but ARM machines (M2 MacBook pro, Studio Pro Ultra, MacBook Air) and have always used the Parallels install before installing beta releases on some of these. Check in your personal folder/Parallels for a windows 11.PVM file. If there is one, delete it. This will remove any pre-existing VM's. It's possible (unlikely, but possible) that you don't have enough free disk space for the initial install.