Hello,
I also had the problem and digged in a bit deeper using sysinternals Process Monitor to see what exactly fails, when the system tries to download the file in the temporary outlook folder. There I figured out that my problem was a somehow missing Attachments folder!
Please press WIN-R and type %userprofile%\appdata\local\microsoft\olk and press Enter.
Then an explorer windows opens. Check if you can see an Attachments folder. If not create one and problem might be solved for you.
Unfortunateley this fix no longer works as of January 21st, 2025.
The "Attachments" folder already exists. I can delete it and Outlook will recreate it, along with an empty sub-folder with a long object ID of sorts for each attachment I try to open. But the error "Error occurred while opening the file. Please try again." happens with every attachment.
I also attempted to rename the EWebView folder in the same directory but that does not work either.
I also tried to re-Import the Sync and Account Settings from the old Outlook per one Redditors suggestion, but it did not work either.
Office has been repaired, account setup from scratch, rebooted several times, and nothing so far has fixed this issue.
This is a Microsoft bug and we need a fix now that all my users are experiencing this problem.