Since Sonoma update, multiple times I get a connection timeout on everything, even local network

Hello everyone

Since I updated to Sonoma (issue happened with both 14.0 and 14.1), I'm having this issue where, out of the blue, I lose all networking connectivity. Here are some symptoms:

1. A YouTube video that's playing, suddenly stops
2. DNS servers unreachable
3. Pinging to any ip address gives icmp time out (8.8.8.8, and others)
4. Pinging to all my local network routers (main and access points) also gives icmp time outs (which works under normal circumstances)
5. Reconnecting wifi doesn't help. Once I do that, the Wifi gets an exclamation mark with "no internet" on it
6. Ethernet doesn't work (I use my Mac M1 for work, it's connected to a docking station most of the time). Both wifi and ethernet have the same problem.
7. No attempt to lease again from DHCP succeeded. DHCP lease requests sometimes work, and some times I get IP addresses that start with 169, so that fails too.
8. Disabling LittleSnitch doesn't help.
9. The ONLY solution is to restart the computer. Once I restart, it's back to normal. Everything works again.

This issue happened so far 3 times randomly. Exact same symptoms every time. The only correlation I can make is that this started after Sonoma. No idea if it's the cause.

The biggest problem here is that this issue is random... so you can tell me what to try to do and note it down. Once it happens, I'll try your suggestions... I'd really appreciate any help here.

What are my options?