Error 001369 and 001487 when overwriting services in ArcGIS Enterprise 10.7

Description

When publishing or overwriting a service in a non-hosted federated server in an ArcGIS Enterprise 10.7 environment with multiple federated servers, the publication fails with errors 001369 and 001487 appearing in the logs.

Error:   
ERROR 001369: Failed to create the service.

Error:   
ERROR 001487: Failed to update the published service with the server-side data location. Please see the server's log for more details.

Cause

This issue is caused by a known limitation in ArcGIS Enterprise 10.7 when publishing or overwriting a service that is set to the shared instance type.   

Note:
Upgrading ArcGIS Enterprise from 10.6.1 to 10.7 changes all services to the shared instance type.

Solution or Workaround

Change the service instance type to dedicated. Refer to ArcGIS Server: Configure the instance type for a service for more information.

Alternatively, upgrading ArcGIS Enterprise 10.7 to 10.7.1 changes all the service instance types from shared to dedicated.