It appears the issue is caused by FME 2023 not connecting to Microsoft OLE DB Driver 19.x for SQL Server 

The FME program directory has the file installed D:\\Program Files\\FME2023\\msoledbsql.msi

In the windows install directory the dlls are installed

%SYSTEMROOT%\\SysWOW64\\ msoledbsql.dll

%SYSTEMROOT%\\SysWOW64\\ msoledbsql19.dll

This issue was reported in another post with FME not connecting to the OLE DB Driver 19 and redirecting to the native client.

https://community.safe.com/s/question/0D54Q00009Vq2HkSAJ/new-fme-server-build-windows-which-odbc-driver-to-use

I installed FME(R) 2023.0.1.0 (20230630 - Build 23332 - WIN64)

Is it still the Beta version that the OLE DB 19 Driver is compatible with?

Hi @andrew_patterso​ 

We should be using Microsoft OLE DB Driver 19 for SQL Server in FME 2023 (b23332). In our clean Windows instance, v19.2.0.0 of this driver is installed. This seems to be the same version that the early beta for 2023 was using. There is the Microsoft System CLR Types for SQL Server 2012 bundle that is still required.

It might help to see the full log of a simple repro you might have. I think it might be good to open a case to investigate this a little further. If you are seeing a slow down - that's concerning for us. I'm wondering if the FME engine is trying some things before it gets to run the query and these are 'timing out' quietly or something.

Hello Steve,

The following driver is installed.

Is this compatible with FME 2023 (b23332)?

Best Regards

Andrew

@andrew_patterso​ I've replied to the case that you submitted as well. Thanks for submitting it.

It seems this driver version is loading... maybe we just have a performance issue to look into here. I suggest we take it up in the case and follow up here with any findings.

Further to your original post, FME won't be using the ODBC flavour of this driver (unless you are using some of the formats dependent on that driver - like the ODBC Reader for example. However, Esri software has used this driver in the past, but I think the very latest is now using OLE DB drivers as well (in v11.1 of ArcGIS).