Why did my PC restart? "Windows 11 Install Stuck on Internet Check After Applying Updates"

Restintrip

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Has anyone experienced this issue during a Windows 11 installation? The setup detects an internet connection, but after clicking "Next," it tries to apply updates and then loops back to the same error screen asking for a connection.
As i'm running in VirtualBox it had internet, also on pc i'm on ethernet cable so if i try to install this build probably i had the same error.
This issue happens both on a physical PC and in VirtualBox. Is there a way to bypass or fix this problem during installation to prevent the loop?
I’d appreciate any advice or workaround to resolve this!

PS: I attached the XML file :)

View attachment 13324
 

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It's <c>efssvc 'Encrypting File System (EFS) - Service'</c>
Interesting bit is if fully unattended, it does not seem to be needed, only if OOBE is to be prompted, so I added it to the OOBE compatibility in the future version.
It was there already but only for Win10 1709 for some reason.

Let me know if you see anything else after keeping this one.
 
It's <c>efssvc 'Encrypting File System (EFS) - Service'</c>
Interesting bit is if fully unattended, it does not seem to be needed, only if OOBE is to be prompted, so I added it to the OOBE compatibility in the future version.
It was there already but only for Win10 1709 for some reason.

Let me know if you see anything else after keeping this one.
Now seems to work, maybe with oobe its required to read the setup?
 
Now seems to work, maybe with oobe its required to read the setup?
Good.
EFS is for Apps data encryption, and OOBE is an app which deals with sensitive data; probably preloads it to save some personal data or login for MS Account during setup onboarding.
 
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