I found settings that allow the solution to converge. The changes I made were:
- change contact to Rough, which means no sliding
- change the contact Normal Stiffness back to the default value of 1
- turn on Weak Springs to resolve the rigid body motion issue
- suppress Remote Displacements
- reduce the pressure to 1e-5 MPa

https://jmp.sh/LDVt41l6
This pressure will not push the corners down, so make the analysis a 2-step solution where a higher pressure can be applied in step 2.
