ppl around here are disconnecting that auto-choke dealio.
Are you sure it is not full Choking it when trying to start it ?
1. Take off the muffler and try to start the mower without it. If the mower starts, the muffler is clogged.
2. If the muffler is not clogged, try replacing the spark plug. Inline spark tester will not tell you if you have a shorted spark plug, try a new one and see if it helps.
I feel we are overlooking something simple. I am wondering if you are actually getting spark under compression. There was an issue with some of the XT engines a few years ago where the the tab the brake cable connects to would flex over time and hit a point were it would release the flywheel brake but not enough to get a reliable spark.
Maybe disconnect the kill wire from the module and see what happens.
I removed the blower housing & saw that the brake pad fully disengaged from the flywheel when the lever was held against the handle.
But your comment reminded me of something I noticed earlier today: with the spark plug removed, the starting rope is nearly as hard to pull as when the spark plug is screwed in firmly. Shouldn't it be a lot easier instead? Could that be a clue?