Memo to self - don't ever ever ever upgrade the Apple OS. My printer does however have a Wireless Direct facility and I can connect to that and then print however, as that is a separate WiFi network to my principal network I have to manually drop the principal network and connect to the printer network and then print and then reconnect to my principal WiFi network, each and every time, a real pain but for the minute it saves me being forced in to the risky business of buying a new printer which may or may not work with Big Sur. Tried everything: resetting networks, USB connection, checked up to date firmware, then reset the printing system and now BS sees my printer but won't add it - I get the same error message as you do. It should work as it is an AirPrint connection and it did work perfectly with Catalina before I upgraded and still works perfectly with iOS and a Windows laptop.
I know its no help to you but I get the same message when trying to use my Canon TS8150 with Big Sur.
