MKR Wifi 1010 Disconnecting From Network When ArduinoCloud.update() is called.

Software IoT Cloud
2

Try commenting out the following lines and see if the device still disconnects.

CheckWiFiStatus();
PingGoogle();

Also, in your set-up, I would move the WiFi lines to after the ArduinoCloud.begin call and add a delay(7000) before your code.
Ex

  ArduinoCloud.begin(ArduinoIoTPreferredConnection);
  delay(7000);
  // Set Red LED
  WiFi.WiFiInitLEDs();
  WiFi.WiFiRedLED(255);

However, the issue might just be a compatibility issue between the calls to WiFi and PingGoogle and the ArduinoCloud code.