Music 1 itself must always be installed to the default directory on the c-drive. Your M1 data may be kept in one folder that you create on an external server or on one of the cloud services such as Dropbox, Google Drive, etc. I recommend naming the cloud folder: Music 1 Data , however it can be named anything you choose.
With such a setup, three things be in the folder:
1) Your library/database file ( the “station”.m1 file)
2) The Logs folder
3) The Playlists folder
IMPORTANT: The two Log folders must be Name Only , the field should NOT include a drive\path\filename
Playout / Automation Playlists
When you save a new schedule, M1 makes two files; one for it’s own uses and another for your playout/automation system to import and use. The Music 1 file goes into the folder that you name on the General window above. Only Music 1 itself can read and use these files. They will be named: yyyymmdd.log
On the Automation screen in System Settings, you set where M1 is to put the playlists that will be used for playout. The two files may be directed to be saved into the same folder, but it is usually more efficient and less confusing if they are in separate folders.