Re: GPU does not support DirectX 11.0 which is required.

That may be even so although the error is wrong here.

His embedded card DOES come with Dx11, even Dx12:

http://www.geforce.com/hardware/notebook-gpus/geforce-gtx-860m -> look at left side

It can't be a low gpu memory issue either since, afaik, these get their own error

The error message is being triggered by the grossly inadequate Intel IGP, because the Optimus won't step up and work.  It makes no difference that Intel claims Dx11 compatibility; the Intel video is essentially useless for 3D. 

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@Gorath_the_Elder wrote:

The error message is being triggered by the grossly inadequate Intel IGP, because the Optimus won't step up and work.  It makes no difference that Intel claims Dx11 compatibility; the Intel video is essentially useless for 3D. 

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Same as always for the Optimus.  The game is unable to find any game-capable video doing anything!