Answer
File Connectors (both File Readers and File Senders) only work for on-premises customers — they don't function in a cloud/SaaS-hosted installation at all, which is explicitly documented in IFS's own technical documentation for configuring the file transport connector. On IFS Cloud, file-based integration needs to be routed through an alternative mechanism (such as Boomi or another middleware/iPaaS tool) rather than IFS Connect's native File Connector.