What does sharing a layer as copy mean?

Sharing a layer as a copy means that the data is uploaded and hosted on a platform, such as ArcGIS Online or an ArcGIS Enterprise portal. This process allows the layer to be accessible to other users and applications without needing them to have access to the original source data. By sharing the layer, you create a separate instance of the data that can be used and shared independently of the original dataset. This approach is useful for collaboration and ensuring that others can use the layer without compromising the original files or workflow.

In this context, options that discuss exclusive editing rights or a shared view only do not capture the essence of data being hosted elsewhere. The option regarding data remaining locally stored specifically contradicts the notion of sharing a layer as a copy, as it implies that the data is not being transferred or made accessible online. Thus, uploading and hosting the data is central to the function of sharing a layer as a copy in a collaborative environment.