ESRI only makes arcSDE connections available via a ‘sde file’ which is a propierity file stored on disk, sometimes C drive, other times on network storage. Often we struggle with access to these files, as some are open and read only access, others have higher privileges to write to the SDE geodatabase.
So its confusing to me having *.sde files as “Database Connections”
In 2025, we now have the option to store database connection in FME Flow. We can change the dataset path from local to the Shared Resources on FME, either the Engine or the Data folder.

This enables further re-use of the connection within Flow… however the problem then becomes how can FME authors manage the connection in Form?

In practice, you go to re-use the flow connection for SDE and despite the path being to Resouces (engine and shared to roles) the error is repeatable

The workaround for now is to follow Option 2 in article https://support.safe.com/hc/en-us/articles/30212601575693-How-to-Create-and-Manage-Esri-Geodatabase-ArcSDE-Connections-in-FME storing a single SDE file in a network share location that is accessible to both Form and Flow
Can Safe software please add an enhancement to help find a better solution surrounding SDE connections and FME?
Maybe ESRI have ideas or community wishes to move away from only have *.sde files as the single means to connect to Spatial Database Engine. What's needed is another means/protocol to properly “direct connect” to the DBMS and to include the sde registry.

A requirement for FME Flow instance is to have ArcServer installed for the licensing of SDE/FGDB. Perhaps this opens up something new.

