With local staging and web content unstaged, it is not possible to display web content on the live site

Issue

• I cannot display web content on an Asset Publisher Portlet in the Live site.

Reproduction Steps: 

1. Go to Publishing --> Staging --> enable local staging and uncheck "Web Content" from the Staged Content.
2. Go to the Live Site --> Content & Data --> Web Content and add basic web content.
3. On Staging Site go to Site Builder --> Pages and add a widget page.
4. Add an Asset Publisher to the page and configure it by Going to Asset Selection then check "Manual".
5. At the "Asset Entries" click on "Select" and choose "Basic Web Content"
6. On the Select Basic Web Content popup, select the web content and click on "Add".

Expected Result:  The web content should be added and displayed on the Asset Publisher.
Actual Result: the following message appears on the UI:
"The selected asset(s) have been removed from the list because they do not belong in the scope of this widget."
and the web content is not added and not displayed on the Asset Publisher.

Environment

• Liferay DXP 7.4 u53+

Resolution

• This issue is resolved by LPS-179558. The fix is included in u74. You can upgrade to u74 or the latest. You can also request a hotfix.