Nah, this is Windows we're talking about. Pushing the user into doing a big install only to tell them it failed at the very end, after it has made a mess of the hard drive, is standard procedure.
TBH I'm in the same position right now with a Chromebook. I keep getting prompted for an upgrade, which I accept, it spins for a while, then fails, then spins for another while rolling everything back. At least it does that, rather than leaving me with partly-updated, likely unusable device.
--
"Microsoft recommentds Windows 11 for your device"
"blablabla it's the best"
"Learn more -- Decline upgrade -- Get it"
--
Pressing "Decline upgrade" yields a new screen:
--
"Not sure about Windows 11?"
"blablabla it's the best"
"Skip for now -- Get Windows 11"
--
And "Skip for now" brings me to my desktop.
I wonder if disabling TPM could be a solution.