Cloud Sync ignores user preferences - Always Enabled
Issue transferred from https://github.com/ValveSoftware/steam-for-linux/issues/8763.
@nPHYN1T3 posted on 2022-08-26T23:03:43:
I have disabled Cloud Sync for each game individually and globally. However if Steam is offline Cloud Sync always nags that it's enabled and can not sync. This has been going on for a few prior builds and I have reported it to Steam Support several times.

The UI has been broken too though for the attached Screen Shot I notice it's finally sizing correctly to where you can click the nag. Before the UI would be sized in a way that you would have to scroll to click the nag buttons.
GameAction [AppID 107410, ActionID 1] : LaunchApp changed task to SynchronizingCloud with ""
LogonFailure No Connection
GameAction [AppID 107410, ActionID 1] : LaunchApp waiting for user response to SynchronizingCloud "syncfailed"
Installing breakpad exception handler for appid(steam)/version(1658944613)
GameAction [AppID 16900, ActionID 1] : LaunchApp changed task to SynchronizingCloud with ""
LogonFailure No Connection
GameAction [AppID 16900, ActionID 1] : LaunchApp waiting for user response to SynchronizingCloud "syncfailed"
I forgot to note the issue is triggered if Steam was launched in offline mode OR online and network has been disabled or dropped.
Another important note is that games will silently fail to launch unless Steam is set to "Large Mode." If Steam is set to "Small Mode" the Cloud Sync failure dialog is hidden and there will be no sign of a problem other than your game didn't launch at all. You can not launch a game at all until you change Steam to "Large Mode" which then displays the nag and allows a game to launch.
Issue is still present in build from Sept 28 2022
Yup, rumor has it the current beta is fixed but that doesn't help (yet).
Issue appears to be resolved in build from Oct 6 2022
Seems fixed here...says with trepidation...
Issue no longer present in latest builds.
Your system information
Please describe your issue in as much detail as possible:
Launching game benchmarks from the command line is blocked by a cloud sync failure dialog, even when cloud sync is disabled. Going online seems to work around the issue.
Steps for reproducing this issue:
steam -applaunch 750920 -benchmark