FMOD sounds not working in unreal editor but works in game

Unreal Engine
7

Thank you for the clarification!

This is actually a known issue, and the fix is currently scheduled for out next release of 2.03.
In the meantime, there’s a temporary workaround available here:
Animation Preview No Longer Works (2.03.08 - 5.5) - #8 by Leah_FMOD

Hope this helps!