I setup a virtual Win10 edu guest in hyper-v. I mounted a Win11 LTSC/IoT iso as a drive using hyper-v tools. When I ran the command I got the same error you did.
Next. I copied the Win11 LTSC/IoT iso to a folder in the Win10 edu guest. I mounted the ISO and ran the command and didn't get the error.
It's installing now but the setup only gave an option for saving my files, not the apps. It's not great but it makes sense.
I setup a virtual Win10 edu guest in hyper-v. I mounted a Win11 LTSC/IoT iso as a drive using hyper-v tools. When I ran the command I got the same error you did.
Next. I copied the Win11 LTSC/IoT iso to a folder in the Win10 edu guest. I mounted the ISO and ran the command and didn't get the error.
It's installing now but the setup only gave an option for saving my files, not the apps. It's not great but it makes sense.