The above comment indicates there is no apparent issue with the storage device.
Have you considered a manual install - instead of running in circles around Calamares?
An earlier comment does indicate an issue with the install medium
When the unpackfs fails it is likely a checksum error which points to an incomplete ISO or an error on the USB holding the ISO.
The least error prone method for transferring ISO to USB is to use ventoy.
Digging a little further into the message details
We know the error emerges during unpacking of desktopfs.sfs
We get
rsync failed with error code 3
We get a point in code
/usr/lib/calamares/modules/unpackfs/main.py;, line 500
The unpack operation runs inside a python try → finally which sets the correct permissions on root.
def repair_root_permissions(root_mount_point):
"""
If the / of the system gets permission 777, change it down
to 755. Any other permission is left alone. This
works around standard behavior from squashfs where
permissions are (easily, accidentally) set to 777.
"""
existing_root_mode = os.stat(root_mount_point).st_mode & 0o777
if existing_root_mode == 0o777:
try:
os.chmod(root_mount_point, 0o755) # Want / to be rwxr-xr-x
except OSError as e:
libcalamares.utils.warning("Could not set / to safe permissions: {}".format(e))
# But ignore it
Python i/o error 5 is a generic error - not always telling precisely what is wrong - I know too little about the inner workings of Calamares.
Since the storage chip is apparently ok - it moves our focus to the quality of the ISO used to install the system.
The rsync error points to the quality of the ISO and/or the USB used.
Did you verify the ISO after download?
A manual installation could be the workaround needed in this case.