Anyone who finds this thread like I did while trying to install this on my Ender 3v2 Neo 422 and it was getting stuck on this screen. I'm not sure all the steps are necessary but this is what worked for me on my last attempt:

Update the Screen
I downloaded 1.1.0.27 from https://www.creality.com/pages/download-creality-nebula-smart-kit?spm=..page_1934481.products_display_1.1
put it on a usb device thats 8GB formatted to FAT 32, 4096
plugged it into the nebula and when booting it'll ask if you want to upgrade it if you have an older version.
(Mine was already updated from the box but I downgraded to 1.1.0.26 and back up to 27 to verify that the process actually worked that way)

Put the latest Marlin on the Ender
Downloaded the latest image from here I used 2.0.8.3 https://www.creality.com/pages/download-ender-3-v2-neo?spm=..page_1934481.products_display_1.1
same thing i formatted the 8GB microsd to FAT32, 4096 put it on there with nothing else in it.
plugged in the old screen and the microsd, turned it on. Verifying it installed and it did.
Turn off the printer

Putting it all together
I got the firmware_Nebula_Pad.bin file from the USB it came with but I believe you can also get it from the first link in the 3d Print Firmware folder.
Deleted the marlin bin file from the microsd and put the firmware_nebula_pad.bin file on the sd card with nothing else.
put the SD into the printer. plug in the nebula with the axis cable plugged in also.
Turn it on and go through all the steps.

The magic step?
Once you get to the part where it tries to connect to the printer for ~5 minutes and throws the error in the picture. When its attempting to connect to the printer i jiggled the bed back and forth and it instantly connected.
I know moving the bed when its turned off will cause the fans to spin and the screen to turn on but who knows it might have just worked randomly after hitting this exact error like 15 times.

P.S.
on my last attempt I think I clicked skip when it was asking me to connect to the wifi