I also have what appears to be the same issue with AAO and touch screen. My issue is basically the same where my touch screen (iPad using DUET instead of spacedesk) works just fine until I load AAO. As another poster suggests, I can open file manager, drag to the ipad, and then close 'touching' the close.
In my case I am trying to use Air Manager and the G1000 template. I can also use the mouse to 'click' on controls, but as Rocky_53 says, it kind of defeats the idea of having a touch screen if you can't touch 🙂
Since I do use AAO extensively with multiple stream decks, not loading AAO doesn't appear to be an option.
Just trying to add another data point in a search for a solution....