Exception when starting Snapshot Agent when setting up database replication
I finally got it resolved. The issue was missing OLE DB driver.
I just downloaded latest driver. Then I got msoledbsqlr.rll driver in directory C:\Windows\SysWOW64\1033. Then I copied to C:\Program Files\Microsoft SQL Server\150\COM directory, so it can be found by snapshot.exe, which is executable run by Snapshot Agent.
Alternatvely, one can define environmental variable to point to C:\Windows\SysWOW64\1033 direcotry, so it will be found there.
Another issue might be that 64-bit SQL tries to use 32-bit drivers (msoledbsql.dll, msoledbsqlr.rll), but it wasn't issue in my case.