@Ramesh , For Device setup phase in ESP, it will deploy security policies, applications like LOB, Win32 offline store app, connectivity profile, certificate profile in this phase. We can see more details in the following link: in this
https://learn.microsoft.com/en-us/mem/intune/enrollment/windows-enrollment-status#enrollment-status-page-tracking-information
For our issue, please firstly check if the network requirements are all met:
https://learn.microsoft.com/en-us/mem/autopilot/networking-requirements
Then try to increase the "Show an error when installation takes longer than specified number of minutes" in ESP to a much higher value and reset the device to try again to see if it can be successful.
Meanwhile, here is a link about troubleshooting the Enrollment Status Page for the reference:
https://learn.microsoft.com/en-us/troubleshoot/mem/intune/understand-troubleshoot-esp#troubleshooting
Hope it can help.
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