I’d like to report an issue we've encountered during the update of the Microsoft Azure Recovery Services Agent (MARS). When attempting to update the agent, the process fails with the following error message: "Error: Failed to install the Microsoft Azure Recovery Services Agent. Problem: 1624 – Error applying transforms. Verify that the specified transform paths are valid."
The installation wizard shows that all prerequisites, including Microsoft .NET Framework 4.5 and Windows PowerShell, are available. However, the update does not complete and displays the mentioned error at the final stage.

What’s particularly interesting is that this issue appears to affect machines running Windows 11 specifically. We’ve successfully updated the agent on other operating systems, such as Windows Server 2016 and Windows Server 2019, without any problems.
We also observed the same error on a Windows 11 machine that had never had MARS installed before, which rules out the possibility of leftover files or configuration issues from previous installations.
In our case, we’re updating from version 2.0.9274.0 to version 2.0.9415.0. It’s worth mentioning that the version 2.0.9274.0 does not appear listed as a preview release on the official Microsoft MARS download page.
https://free.blessedness.top/en-us/azure/backup/backup-support-matrix-mars-agent
We hope this report can help others experiencing similar issues and contribute to further investigation into the problem.