I'm guessing there's a network drive that's been saved in our list of previous list of directories that you're no longer able to access.
If this is the case, how can I fix it? I tried to reset all config files related to sqldev, but no use.
BTW: I installed 8u112 again, and point sqldev back to it. The problem gone.
Could it be that you downloaded the 32-bit version of JDK 8u202, whereas 8u112 is the 64-bit version? I ask this since the error message refers (in the dialog title) to sqldeveloper64W.exe.
And did you actually remove and re-install 8u112? It is possible and normal to have multiple JDKs installed on a machine, even a mix of 32-bit and 64-bit if the OS is 64-bit.
I confirm I have installed 64bit for both JDK.
In that case, somewhat incredibly, that points to there being a real difference between the two JDKs. You also say...
I tried to reset all config files related to sqldev, but no use.
To make sure that is really true, you should...
1) Rename C:\Users\<yourUserID>\AppData\Roaming\SQL Developer\system184.108.40.206.1842 to something else.
2) Edit C:\Users\<yourUserID>\AppData\Roaming\sqldeveloper\20.2.0\product.conf to comment out the SetJavaHome line.
3) Download the SQL Developer 20.2 Windows 64-bit zip with JDK 8 included, then unzip it into an empty directory.
4) Start SQL Developer 20.2 and skip the user settings migration step. (Export your connections from 19.1 and import to 20.2 if desired).
This will insure you have a clean environment plus use the bundled server JRE that ships with 20.2, the 8u221 update.
Hope this helps