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Update Docker Desktop to the latest version.
Restart Docker Desktop.
Clear Docker’s cache:
docker system prune -a.
Use an alternate repository URL in Dockerfile or devcontainer.json:
RUN git clone --depth=1 git@github.com:romkatv/powerlevel10k.git ~/powerlevel10k
Check for corporate proxy/firewall issues.
Verify Docker image configuration.
Try a different base image in Dockerfile.
Manually build the container using Docker CLI:
docker build -t <image_name>
Source:stackexchange.com