Excel desktop version on Windows refuses to load and parse custom functions metadata file (functions.json)

Prerequisites

I am converting some VSTO Excel plugin to use the new JS API. The current plugin has 500+ UDFs that need to be converted into custom functions. I have created a functions.json metadata file describing all these custom functions and have run into the problem that the windows version of Excel refuse to load this functions.json file if it exceeds 1 MB.
I couldn't find any mention of the limitations in Excel's documentation and couldn't find anyone who had encountered this problem. This is so frustrating, especially since the same project with the same functions.json file works fine in the web version of Excel

• I am running the latest version of Node and the tools
• I checked the documentation and found no answer
• I checked to make sure that this issue has not already been filed

Expected behavior

Excel will load and parse all custom functions from functions.json successfully

Current behavior

No custom function has added to Excel (desktop version)

The web version of Excel works without errors or complaints about loading custom functions. All provided functions are visible in the document

Steps to Reproduce

1. Create node project using yeoman generator with custom functions shared runtime template
2. Add 500 functions description in src/functions/functions.ts
3. Check that functions.json generated by custom-functions-metadata-plugin in dist folder is more than 1 Mb
4. Run devserver with side-loading your add-in to Excel (desktop and web versions)

Context

• Operating System: Windows 11
• Node version: Node 18.20.3
• Office version: Excel for Microsoft 365 MSO (Version 2406 Build 16.0.17726.20078) 64-bit
• Tool version: custom-functions-metadata-plugin 1.7.0