Windowsserverdocs: A better explanation can be found here

[ElimAdmin]

https://stackoverflow.com/questions/16212816/setting-up-openssh-for-windows-using-public-key-authentication.
Note that Repair-AuthorizedKeyPermission BREAKs authentication.

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Document Details

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• ID: 337c4ea8-1806-92a3-1501-b3ff5dde37bb
• Version Independent ID: c411d389-578d-57c6-cd6e-eaca7f2837db
• Content: OpenSSH Server Configuration for Windows
• Content Source: WindowsServerDocs/administration/OpenSSH/OpenSSH_KeyManagement.md
• GitHub Login: @maertendMSFT

[soul4soul]

After making the changes mentioned in the SO answer I was able to get authentication with keypairs working.

[AnthonyMastrean]

This is a major problem, either with the docs or the products. That SO question is over 6 years old and the "best" answer is 2 years old. There are multiple issues affecting even very experienced folks from getting started with SSHD on Windows...

• The OpenSSH client/service features aren't easily found https://github.com/MicrosoftDocs/windowsserverdocs/issues/3433
• The ssh-agent service doesn't start up properly https://github.com/MicrosoftDocs/windowsserverdocs/issues/2791
• The OpenSSHUtils module doesn't install correctly (despite 1.0 being just released a few days ago) https://github.com/MicrosoftDocs/windowsserverdocs/issues/3400
• The Repair Authorized Key Perm cmdlet adds the wrong grants https://github.com/MicrosoftDocs/windowsserverdocs/issues/3601
• The sshd service isn't behaving after initial install https://github.com/MicrosoftDocs/windowsserverdocs/issues/3534

[illfated]

See Pull Request #4788 for a suggested improvement to this issue.
(The PR will close this issue ticket when it gets merged.)