I am attempting to save a file from the local file system to the Explorer SharePoint site.
I can go to sharepoint directly and create a file and save it from within SharePoint.
If I go to a workstation that is joined to the Azure AD (Cloud only) and attempt to copy/past a file from the local file system to the SharePoint site it produces an error.
I receive this error

I am able to create and save documents directly from SharePoint as the same user.
I have verified the user has permissions within SharePoint to do this task.