I can confirm. Going into the options and turning off any kind of air AI traffic fixed this issue. This is only a temporary workaround and we still have to wait for Asobo to fix this.
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I confirm alsoā¦ did 3 flights of 1 hour
Thanks for this mate, Iām at work at the mo but il test later..il also update my bug report to add these details cheers again @s00zster 
Duck tape engineer ..Not sure if your over here on the official forum pal but a massive thank you for finding a temporary solution for this bug..Iām not on Reddit so I canāt thank you there. Cheers pal
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Thanks just tested this with a 40 min flight and it works. No more ghost copilots! 
Has everyone raised this with zendesk?
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Yup. Provided them direct link on this topic
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SO weird, for a few days after the patch release I had minimal issues (only lost the AP on the A320 once), but today just would not load the AP indicators on the B787 at JFK at all. I suspect because this is a busier airport and the other airports I was flying in were quieter. Turning the Ground Traffic to 0 fixed it completely, thank you!
I can accept paying for a beta version, I also accept bugs in patch updates, but very strange that a group of several hundreds of customers has to search for days and do the communication. Cannot find anything from the supplier. Anyway I can fly again after several days of landing my plane in the gras near a farm 
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Just want to put out a quick update based on some more testing I did last night. Even with my original solution of resetting the realism settings before every flight I still had a complete avionics failure about every 4th or 5th flight. I eventually just turned off all aircraft damage settings, effectively disabling crash damage, stress damage, and engine damage. This worked and I havenāt had the problem since. Looks like the failure model got bugged in the latest patch, really needs to be addressed and corrected. Havenāt tried turning off ground aircraft density yet, so Iām not suggesting that doesnāt work, but this method also seems to provide a similar result.
This is crazy hahaha! Iām going to test it when I get home, explains I get this issue often as I increased all forms of AI traffic.
Same.. mooney avionics wouldnāt even turn on for me, ground aircraft zero everything works and flew it for 5-6 hours.
Confirmed.
I just did a flight from Berlin to Hamburg. Around 1:30h flight time in my Mooney. With my Airport life setting as usual: 80/80/70 and reset all failture options before spawning the plane. The flight was ābug freeā without any avionic failtures.
Seems like this did the trick.
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You mean that you put āAI Aircraft on groundā on?
This is the danger of āgoing liveā just before the weekend. Not enough time to see if what you released is stable before everyone knocks off and nowhere near enough time to get a hotfix out or revert. Lets hope a lesson was learnt from this.
They have updated the Zendesk known issues today with everything the community has found over the weekend with the new patch, so they are aware of all the problems.
So I think this is down to ground aircraft traffic if not flying online. I just started a flight with the Mooney. I had 50% Ground AI aircraft. I had all failures turned off. When I started the Mooney, the avionics would not come on. I shut down the sim. I started the flight again, all failures off, and I turned my ground aircraft to 0. Been in the air now for 45 minutes with no issues. I flew 2 flights last night with ground aircraft off. No issues.
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I also did a longer flight with the C172 (Steam Gauges) from Salt Lake City to Aspen. I turned down ground traffic to 0 and flew 2 hours without a problem. Then I deactivated the 3 failures (aircraft, engine stress and crash damage. Then I turned ground traffic to the default setting 50. Immediatly the AP and Transponder turned off and the fuel switch was set to the left tank. The solution should be deactivating ground traffic.
But Iām testing once again with another setting. Under the graphics settings you can set "Use generic plane models (AI Traffic) and this is normally to ON. I had this to OFF. Maybe you can check this setting also. Maybe the setting turned off is causing the problem.
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I have marked this as the solution for now as it seems like most people are reporting success with this method.
I must say that it is embarrassing for this game-breaking bug to exist for almost a week without any word from the dev team nor confirmation that this issue even exists to them. Crazy that we paid $120+ to solve bugs.
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Good find for the workaround.
What could be the link between AI Traffic and user avionicsā¦
This thing is a lot more complex than what I thought 
Making another flight with the C172 (Steam), only the setting āUse generic plane models (AI Traffic)ā set to ON (the default value), nothing else (ground traffic 50, default). At the moment no problems. And Iām flying without multiplayer! No idea what is the difference between ON and OFF at generic plane models.
But I think it is a good start, after every update, to set the sim to default values (like in X-Plane). Not the controllers, but graphics and assistance settings. I think, the devs and the testers check the sim always with default settings. Every change we make, could bring another problem up. Especially functions, which are not yet ready, but in the sim.
What a bizarre bug! You wouldnāt think randomly-placed aircraft models on and around an airfield would interfere but it seems thatās the case.
Speaking of which, the other day I parked on a runway apron and āflewā around with the drone cam into and around the tower, buildings, etc. I also flew into a parked AI-controlled TBM. The blasted thing had a fully-modeled cockpit, complete with activated glass cockpit displays, controls, and even dual yokes with āTBMā on them ā¦ Why the heck would this level of detail even be modeled and displayed for a parked, empty. AI-controlled aircraft?
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