What does "Copy only when installing" on the Embed Frameworks build phase do?

We're bringing in an updated framework in our app, and the update requires ticking "Copy only when installing" in the Embed Frameworks build phase.

When ticking that box, we get numerous other errors, suggesting frameworks xyz cannot be found.

I've tried to find some documentation on this checkbox but there doesn't appear to be much on it, other then builds magically failing/suceeding when its toggled on/off. Is anyone able to shed some light on what is happening under the hood when that checkbox is ticked?

What does "Copy only when installing" on the Embed Frameworks build phase do?
 
 
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