Also it’s developer preview 1. People like the OP who gripe about bugs on such an unfinished product are the reason why Apple doesn’t make those first builds available to anyone but their registered developers for the first month.

I have of course reported the issues using the feedback app, but judging by previous experiences with other apple betas, I wouldn’t hold my hopes up of any of this getting fixed.

There’s value in talking about issues early as it allows admins of corporate networks to make adjustments to their infrastructure (like introducing split dns rather than just have *.internal.example.com resolve to internal addresses) to be prepared for the eventual launch of this feature in September

> Is this not the case for any VPN or proxying service?

No, it's not.

> In fact, it could even be a security flaw if your internal domains were accessible on external VPN style endpoints?

It would be, but then this is not something that happens on a network configured in the way you describe.

"No, it's not"

The root's observation is that it doesn't use the machine configured DNS. The overwhelming majority of VPNs also don't use the machine configured DNS. Maybe not "any", but if you're using a VPN you're generally going to want your DNS going over it as well.

But it is worth noting if you're on a corporate network, or if you use a DNS solution like NextDNS -- when you turn on PR those no longer play a part, at least to Safari traffic.

I use NordVPN. It specifically has an opt-in setting to use locally discovered DNS in favor of their in-network DNS. This is crucial since out-of-network DNS can leak activity.

I’m not sure what kind of network you believe I described, but would be useful to have a clearer explanation from you.

It is for any VPN client that routes DNS traffic through the VPN as well as HTTP and other web traffic. It's not out of the ordinary for this to happen.