I created a new virtual Android device and now face the "Guest hasn't come online in 7 seconds" problem. It appears to be a well-known problem and the solution seems to be to turn of "quick boot":
Unfortunately, the "AVD manager" mentioned in those Q&As has been deprecated, and while Microsoft claims that Xamarin's Android Device Manager is "functionally equivalent" to the old AVD manager tool, I cannot find the option to disable quick boot there:

Where do I find this option in the new Android Device Manager?
The quick boot setting is in a different ini-based file than the one that Xamarin's AVD manager is editing:
quickbootChoice.ini
The only entry is boolean saveOnExit:
saveOnExit = false
saveOnExit = true
You can create the file yourself since Xamarin AVD manager is lacking the ability (it goes in the same AVD directory as the config.ini|hardware-qemu.ini|... files.
Or once your emulator is running, use the emulator's extended settings dialog to enable/disable it (thus creating/changing the quickbootChoice.ini file)

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