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Because you're supported to use NTFS, not FAT32. NTFS is the native format.

But you don't have to do all that. Use the Media Creation Tool:

https://www.microsoft.com/en-us/software-download/windows11/

Edit: Or even better, as degenerate comments below, use Rufus, which is what I use.

Or for more options use Rufus: https://rufus.ie/en/

If you were supposed to use NTFS that's what the Media Creation tool would do. Instead it uses FAT32 and an image with superior compression (ESD). This is because FAT32 is the only required format for UEFI implementations to boot from.

Some advanced tools, and I'd recommend looking at Ventoy over Rufus, use an intermediate loader to mitigate that. Others just let you assume the board supports NTFS boot.

Rufus has an intermediate loader. One that's way less picky about what the MBR part is doing than Ventoy.

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