The function works in the Azure Managed Instance I have access to. But I recall that when I first got access to it, generate_series did not work, that's another new function added in SQL 2022. I was told that the instance was lagging behind in patch level, and it has since then been fixed.
So it might be something similar in your case. And this "patch level" (in lieu of a better word) is not really something that is exposed, as far as I know. I think you should open a case with Azure support to inquire.
By the way, someone may suggest that it is related to the compatibility level of the database, but it is not. I tried on my MI database to set the compat level down 100, and JSON_ARRAY was still recognised. And this is the normal state of affairs; adding a new built-in scalar function can never break anything, since user-defined scalar functions always must be accessed in two-part notation.