Indeed. The error message indicating you have not installed and registered Context Service to Discovery Service.
In SDL Tridion Sites 8+ (formerly SDL Web) DXA OOTB uses the Context Service by default and supports server-side responsiveness (e.g. image resizing) the SDL Context Engine to get device data needed for that purpose.
In order to fix the above error, you have to either switch to ADF or enable Context Service.
If you configure DXA to get context claims from ADF, In that case, you will need to configure the Context Cartridge in your Content Service.
In DXA Webapp configure Unity.config in the root of the site DXA web app to change the Unity configuration to use AdfContextClaimsProvider instead of ContextServiceClaimsProvider
<type type="IContextClaimsProvider" mapTo="AdfContextClaimsProvider">
<lifetime type="singleton" />
I hope it helps.