Studio One Options > Audio Setup > Audio Device > Control Panel.
Turn Exclusive mode off (as stated already elsewhere), and select your speakers and microphone/inputs properly. In Windows, Control Panel, Sound, and for Recording and Playback devices right click the ones you want and pick your default devices properly (Set as Default is sufficient, Set as Default Communications is unnecessary.)
This error can come up on machines with "soft" devices such as Virtual Audio Cable or NDI devices where the control Studio One is asking for confuses the driver and generates errors or puts undue load on the CPU.