I tried to create a similar instance and saw the same error. It seems that you have to request a quota on GPU. Make sure that you have the necessary quota for using the GPU on an instance.
There is this help center article that will help you to create the instance with GPUs. Also, do check the restrictions mentioned in the documentation on creating the GPU integrated instances.
It is also clearly mentioned here in the introductory part that GPU instance has to terminate for host maintenance events and thus cannot live migrate.
When you create an instance with one or more GPUs, you must set the instance to terminate on host maintenance. Instances with GPUs cannot live migrate because they are assigned to specific hardware devices. See GPU restrictions for details.
gcloud compute instances create [INSTANCE_NAME] \
--machine-type [MACHINE_TYPE] --zone [ZONE] \
--accelerator type=[ACCELERATOR_TYPE],count=[ACCELERATOR_COUNT] \
--image-family [IMAGE_FAMILY] --image-project [IMAGE_PROJECT] \
--maintenance-policy TERMINATE --restart-on-failure \
--metadata startup-script='[STARTUP_SCRIPT]'
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