Next 13 Deployment Issue from Bitbucket to Azure Static Web App

I'm having trouble deploying my Next 13.4.12 app from Bitbucket to Azure Static Web App using the steps in the following guide:
https://learn.microsoft.com/en-us/azure/static-web-apps/bitbucket?tabs=react

When I run the pipeline, it's getting stuck at `Creating an optimized production build` step.

Moreover, I deployed the identical project using GitHub Actions, and it worked without any issues.
```
[3/4] Linking dependencies...
[4/4] Building fresh packages...
Done in 52.30s.
yarn run v1.22.15
$ next build
- warn No build cache found. Please configure build caching for faster rebuilds. Read more: https://nextjs.org/docs/messages/no-cache
Attention: Next.js now collects completely anonymous telemetry regarding usage.
This information is used to shape Next.js' roadmap and prioritize features.
You can learn more, including how to opt-out if you'd not like to participate in this anonymous program, by visiting the following URL:
https://nextjs.org/telemetry
- info Creating an optimized production build...
```
Here is the bitbucket-pipeline.yml
```
pipelines:
branches:
master:
- step:
name: Deploy to test
deployment: test
script:
- pipe: microsoft/azure-static-web-apps-deploy:main
variables:
REQUIRED_OS_PACKAGES: nasm
APP_LOCATION: '$BITBUCKET_CLONE_DIR'
API_LOCATION: '$BITBUCKET_CLONE_DIR/src/app/api'
OUTPUT_LOCATION: '$BITBUCKET_CLONE_DIR/out'
APP_BUILD_COMMAND: yarn build
API_TOKEN: $deployment_token
```

Here is the next.config.js
```
/** @type {import('next').NextConfig} */
const nextConfig = {
output: "standalone",
};

module.exports = nextConfig;
```

Here is the package.json
```
"scripts": {
"dev": "next dev",
"build": "next build",
"start": "next start",
"lint": "next lint"
},
```