SCCM: Installation failed with “ERROR(13): Failed to iterate cab file.”

I tried to install SCCM 2307 TP in my LAb and the installation failed with “ERROR(13): Failed to iterate cab file” in ConfigMgrSetup.log.

Here are errors around it:

INFO: Extracted file e:\Program Files\Microsoft Configuration Manager\AI\LU_SoftwareHash.csv    Configuration Manager Setup    10/17/2023 11:59:31 PM    188 (0x00BC) ERROR(13): Failed to iterate cab file.    Configuration Manager Setup    10/17/2023 11:59:31 PM    188 (0x00BC) ERROR(13): Failed to expand the look up table files to the folder: e:\Program Files\Microsoft Configuration Manager\AI.    Configuration Manager Setup    10/17/2023 11:59:31 PM    188 (0x00BC) ERROR: Failed to import Asset Intelligence data into the site database.    Configuration Manager Setup    10/17/2023 11:59:31 PM    188 (0x00BC)

I reconfigured SQL with MIN memory set to 8GB an restarted the SQL service. After that I re-started SCCM setup and it finished successfully.