Hi,
I would like to apologize that you are experiencing this. Yes the messaging is not clear but we are working to improve the functionality and messaging of this feature.
From what I gathered from the team is that you are seeing this message because at the time of publishing the path to the images in the Oriented Imagery dataset has to be a http path. At the moment no other path is supported, ie if your images are pointing to a local drive you will see this error.
Hope this helps you.
Randall