For the error that is caused by conda update anaconda, it indeed caused by the anaconda package not existing in the current environment. If we want to solve this error, just need to use conda install anaconda to install it.

But we should know that what is the anaconda package, it is a package including some special sub-packages usually used for data science, and most user to run conda update anaconda in base environment, generally the base environment should keep in the original setup, and the initial setup currently will not install this package, and we do not need to update it.

As the above description we should only install the anaconda package in a virtual environment which is used for a data science related Python project