I got the same error message on macOS 10.12.6 with Xcode 9.0 when trying to run Simulator directly without opening Xcode, i.e. by clicking the simulator icon that was dragged to the dock. 
The solution was to open Xcode from the launchpad. He then introduced a dialog box saying that additional components needed to be installed. After the installation is complete, the Simulator application can be launched without errors.
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