Decided to see if Mac OS 11.0 Developer Beta 1 (20A4299v) would make a difference. As I noted previously, running 10.15.5 on my 2019 MacBook Pro 16" resulted in the WatchDog timeout as noted throughout this thread. Unfortunately, the problem remains. I submitted a Feedback / Problem report for what it is worth and referenced this discussion thread as well. With 26 pages of entries and more than 1000 saying "I have this question too", I sure hope this issue gets some attention. For now, I am just checking "Prevent computer from sleeping automatically when the display is off". That seems to prevent the issue and I can use the clamshell mode. All other settings are default, including leaving "Enable Power Nap while plugged into a power adapter" checked.
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panic(cpu 10 caller 0xffffff8012127a69): userspace watchdog timeout: no successful checkins from com.apple.WindowServer in 120 seconds
service: com.apple.logd, total successful checkins since wake (2900 seconds ago): 291, last successful checkin: 0 seconds ago
service: com.apple.WindowServer, total successful checkins since wake (2900 seconds ago): 266, last successful checkin: 120 seconds ago
service: com.apple.remoted, total successful checkins since wake (2900 seconds ago): 291, last successful checkin: 0 seconds ago
Backtrace (CPU 10), Frame : Return Address
0xffffffb0c81636a0 : 0xffffff800ecbe00d
0xffffffb0c81636f0 : 0xffffff800edfbf03
0xffffffb0c8163730 : 0xffffff800eded2da
0xffffffb0c8163780 : 0xffffff800ec63b2f
0xffffffb0c81637a0 : 0xffffff800ecbd84d
0xffffffb0c81638c0 : 0xffffff800ecbdb43
0xffffffb0c8163930 : 0xffffff800f4b88e4
0xffffffb0c81639a0 : 0xffffff8012127a69
0xffffffb0c81639b0 : 0xffffff801212778e
0xffffffb0c81639d0 : 0xffffff800f44191e
0xffffffb0c8163a20 : 0xffffff8012126c3c
0xffffffb0c8163b20 : 0xffffff800f44bc4b
0xffffffb0c8163c80 : 0xffffff800eda97c1
0xffffffb0c8163d90 : 0xffffff800ecc3ef7
0xffffffb0c8163e00 : 0xffffff800ec9a691
0xffffffb0c8163e60 : 0xffffff800ecb16f5
0xffffffb0c8163ef0 : 0xffffff800edd22c3
0xffffffb0c8163fa0 : 0xffffff800ec64316
Kernel Extensions in backtrace:
com.apple.driver.watchdog(1.0)[813A55E7-E453-3745-8BCB-454098C5D76F]@0xffffff8012124000->0xffffff8012127fff
Process name corresponding to current thread: watchdogd
Boot args: chunklist-security-epoch=0 -chunklist-no-rev2-dev
Mac OS version:
20A4299v