Error while uploading Template assembly with TcmUploadAssembly.exe using domain name to SDL 8.5

I am running a script to upload templates from the same cms server. The script fails when I use the domain name of the machine however it works when I use the localhost as the targeturl parameter. For both cases, I am using the same $user, $password and $folder value. Please find the details below

Case 1: gives error 401

$cmsendpoint = ‘http://abc.domain.com‘ (This is the domain name of the CMS server)

D:”SDL Web”binclientTcmUploadAssembly.exe /timeout:300 /verbose
/uploadpdb:true /targeturl:$cmsendpoint /folder:$folder
/username:$username /password:$password
.templatinglibTemplates.merged.dll ![enter image description
here]1

Case 2: 200 OK

$cmsendpoint = ‘http://localhost‘

D:”SDL Web”binclientTcmUploadAssembly.exe /timeout:300 /verbose
/uploadpdb:true /targeturl:$cmsendpoint /folder:$folder
/username:$username /password:$password
.templatinglibTemplates.merged.dll

Can anyone guide me on why this occurs? Do I need to make any extra configuration?

Regards,
Bimal