We bought a new iPhone 14 for my wife. It would not set up using a direct old phone to new phone transfer.
This is not an uncommon problem with IOS 17. Initially they suggested it only impacts iPhone 15 family phones, however it also impacts earlier phones such as new iPhone 14 family phones. Apple has released a fix as IOS 17.0.2, however they have not apparently fixed the new phone setup process.
If you are unaware of this issue and proceed as normal, it does not load IOS 17.0.2 before attempting the transfer. So the transfer fails.
If you are aware of the issue, you first do a quick setup, leaving all the tasks, such as set up face Id, apple id, Siri, etc till “…later in settings”. Just setup WiFi. Then, when prompted or via settings, update the software to 17.0.2. Then reset the phone (erase all contents and settings) to factory defaults and do the full set up normally.
Not good Apple.