According to posts on the Apple Support and MacRumors forums, users are reporting problems with external monitors after the latest macOS Monterey 12.3 update.

Users have reported issues with the update bricking their Macs, as well as having logic board replacements and problems with using game controllers, in the ten days since the update became available to the public. Users are reporting that the update is causing problems with external monitors.

Users on the Apple Support and MacRumors forums say that some external displays are no longer detected by Macs after updating to the latest macOS update. One user reported on Apple Support.

After updating my Mac mini today to 12.3, my monitor now no longer displays an image via USB-C, just keeps saying on no signal on the monitor.

I have tried HDMI and same issue. The odd occasion it will display a picture but once I shutdown or restart the mac mini it does not display a picture. The mac is booting up. I have had to resort to connecting it to my old TV with HDMI connection.

This is so frustrating.

Users have similar experiences. Many people report issues with the displays, but others say that the connections to the Mac are not recognized. Some users have been able to crowdsource potential solutions. A user on the MacRumors Forum says that the issue is due to macOS not recognizing a DisplayPort protocol version, which meant they had to change the version to an earlier one with poorer quality output.

I've solved this problem (on 2022-03-15). On my monitor (LG LCD 27 27UN880-B IPS) I've went into settings, and I've lowered the DisplayPortVersion from the default v1.4 to v1.2. As soon as I've lowered the monitor's DisplayPortVersion, my Mac with OS X 12.3 has started recognizing the second display correctly. It seems that the new OS X update has issues with a DisplayPortVersion 1.4 protocol (has faster data rate, faster refresh, and stream compression). Hope this helps.

There is a suggestion on the Apple Support and MacRumors forums to plug the external display into a power outlet and then plug it back into the Mac, after which it should work. Users have reported problems using two external monitors with their Mac.

The issue of only one external display being recognized when two are connected to a Mac seems to have been present during the testing period. The issue remains even after release. One user on the Apple Support forums relates.

2018 Mac Book Pro 15" and I have 2 external monitors (same viewsonic model), have been using fine for just under 2 years. After updating to 12.3, one is recognized and one is not and I have no clue why. I have swapped cables, connected other devices, including a iPad Pro (all fine) I have tried all 4 ports on the machine no difference. The Mac book flashes when the unrecognized monitor is plugged in, but never displays an image. the monitor seems to think it's connected (I don't get the no signal warning) nothing.... 8* the monitor is powered and the screen it bright (bleed from the backlight). The other monitor (same exact model) connects and works fine.

According to online reports, these issues are not arising when using Apple's new Studio Display, but instead with third-party monitors.

Universal Control is one of the new feature additions in macOS 12.3. MacRumors reached out to Apple for feedback on the issues users are having with the latest macOS update. If we get a response, we will update this post.