diff --git a/apps/chat/src/components/Chat/TalkTo/TalkToCard.tsx b/apps/chat/src/components/Chat/TalkTo/TalkToCard.tsx
index 7b3739606..69a6a3fe2 100644
--- a/apps/chat/src/components/Chat/TalkTo/TalkToCard.tsx
+++ b/apps/chat/src/components/Chat/TalkTo/TalkToCard.tsx
@@ -16,6 +16,7 @@ import {
   getApplicationNextStatus,
   getApplicationSimpleStatus,
   getModelShortDescription,
+  getPlayerCaption,
   isApplicationStatusUpdating,
   isExecutableApp,
 } from '@/src/utils/app/application';
@@ -24,10 +25,7 @@ import { isMyApplication } from '@/src/utils/app/id';
 import { canWriteSharedWithMe } from '@/src/utils/app/share';
 import { PseudoModel, isPseudoModel } from '@/src/utils/server/api';
 
-import {
-  ApplicationStatus,
-  SimpleApplicationStatus,
-} from '@/src/types/applications';
+import { SimpleApplicationStatus } from '@/src/types/applications';
 import { Conversation } from '@/src/types/chat';
 import { FeatureType } from '@/src/types/common';
 import { DisplayMenuItemProps } from '@/src/types/menu';
@@ -62,21 +60,6 @@ import ShareIcon from '../../Common/ShareIcon';
 import IconUserUnshare from '@/public/images/icons/unshare-user.svg';
 import { Feature } from '@epam/ai-dial-shared';
 
-const getPlayerCaption = (entity: DialAIEntityModel) => {
-  switch (entity.functionStatus) {
-    case ApplicationStatus.DEPLOYED:
-      return 'Undeploy';
-    case ApplicationStatus.UNDEPLOYED:
-    case ApplicationStatus.FAILED:
-      return 'Deploy';
-    case ApplicationStatus.UNDEPLOYING:
-      return 'Undeploying';
-    case ApplicationStatus.DEPLOYING:
-    default:
-      return 'Deploying';
-  }
-};
-
 interface ApplicationCardProps {
   entity: DialAIEntityModel;
   conversation: Conversation;
diff --git a/apps/chat/src/components/Common/ApplicationWizard/CodeAppView/CodeAppExampleLink.tsx b/apps/chat/src/components/Common/ApplicationWizard/CodeAppView/CodeAppExampleLink.tsx
index fd646444d..da6fac087 100644
--- a/apps/chat/src/components/Common/ApplicationWizard/CodeAppView/CodeAppExampleLink.tsx
+++ b/apps/chat/src/components/Common/ApplicationWizard/CodeAppView/CodeAppExampleLink.tsx
@@ -1,4 +1,4 @@
-import { useCallback } from 'react';
+import { useCallback, useMemo } from 'react';
 import { useFormContext } from 'react-hook-form';
 
 import classNames from 'classnames';
@@ -6,6 +6,7 @@ import classNames from 'classnames';
 import { useTranslation } from '@/src/hooks/useTranslation';
 
 import { constructPath } from '@/src/utils/app/file';
+import { splitEntityId } from '@/src/utils/app/folders';
 import { getIdWithoutRootPathSegments } from '@/src/utils/app/id';
 
 import { Translation } from '@/src/types/translation';
@@ -36,6 +37,11 @@ export const CodeAppExampleLink = ({
 
   const dispatch = useAppDispatch();
 
+  const bucket = useMemo(() => {
+    const { bucket } = splitEntityId(folderId);
+    return bucket;
+  }, [folderId]);
+
   const handleClick = useCallback(() => {
     const example = CODE_APPS_EXAMPLES[exampleType];
     Object.entries(example.files).forEach(([newFileName, content]) => {
@@ -48,6 +54,7 @@ export const CodeAppExampleLink = ({
             relativePath: getIdWithoutRootPathSegments(folderId),
             id: constructPath(folderId, newFileName),
             name: newFileName,
+            bucket,
           }),
         );
       }
@@ -83,7 +90,7 @@ export const CodeAppExampleLink = ({
         }
       });
     }
-  }, [exampleType, fileNames, dispatch, folderId, setValue, getValues]);
+  }, [exampleType, fileNames, dispatch, folderId, bucket, getValues, setValue]);
 
   return (
     <span
diff --git a/apps/chat/src/components/Common/ApplicationWizard/CodeAppView/CodeEditor.tsx b/apps/chat/src/components/Common/ApplicationWizard/CodeAppView/CodeEditor.tsx
index 45357d8cc..febd8cab7 100644
--- a/apps/chat/src/components/Common/ApplicationWizard/CodeAppView/CodeEditor.tsx
+++ b/apps/chat/src/components/Common/ApplicationWizard/CodeAppView/CodeEditor.tsx
@@ -313,11 +313,20 @@ export const CodeEditor = ({ sourcesFolderId }: Props) => {
       rootFolders: [],
     };
   }, [files, folders, sourcesFolderId]);
+
   const rootFileNames = useMemo(
     () => rootFiles.map((f) => f.name),
     [rootFiles],
   );
 
+  const { bucket, parentPath } = useMemo(() => {
+    if (sourcesFolderId) {
+      const { bucket, parentPath } = splitEntityId(sourcesFolderId);
+      return { bucket, parentPath };
+    }
+    return { bucket: undefined, parentPath: undefined };
+  }, [sourcesFolderId]);
+
   useEffect(() => {
     if (sourcesFolderId) {
       dispatch(CodeEditorActions.initCodeEditor({ sourcesFolderId }));
@@ -342,6 +351,11 @@ export const CodeEditor = ({ sourcesFolderId }: Props) => {
     [dispatch, openedFoldersIds],
   );
 
+  const openUploadDialog = useCallback(() => {
+    setUploadFolderId(sourcesFolderId);
+    dispatch(FilesActions.getFolders({ id: parentPath }));
+  }, [dispatch, parentPath, sourcesFolderId]);
+
   const handleUploadFiles = useCallback(
     (
       selectedFiles: Required<Pick<DialFile, 'fileContent' | 'id' | 'name'>>[],
@@ -354,11 +368,12 @@ export const CodeEditor = ({ sourcesFolderId }: Props) => {
             id: file.id,
             relativePath: folderPath,
             name: file.name,
+            bucket,
           }),
         );
       });
     },
-    [dispatch],
+    [bucket, dispatch],
   );
 
   const handleDeleteFile = useCallback(
@@ -395,7 +410,6 @@ export const CodeEditor = ({ sourcesFolderId }: Props) => {
   const handleUploadEmptyFile = useCallback(
     (fileName: string) => {
       if (fileName && sourcesFolderId) {
-        const { bucket } = splitEntityId(sourcesFolderId);
         dispatch(
           FilesActions.uploadFile({
             fileContent: new File([''], fileName, {
@@ -411,7 +425,7 @@ export const CodeEditor = ({ sourcesFolderId }: Props) => {
         setNewFileName('');
       }
     },
-    [dispatch, sourcesFolderId],
+    [bucket, dispatch, sourcesFolderId],
   );
 
   const handleToggleFolder = useCallback(
@@ -597,7 +611,7 @@ export const CodeEditor = ({ sourcesFolderId }: Props) => {
               <Tooltip tooltip={t('Upload file')}>
                 <button
                   type="button"
-                  onClick={() => setUploadFolderId(sourcesFolderId)}
+                  onClick={openUploadDialog}
                   className="text-secondary hover:text-accent-primary"
                 >
                   <IconUpload size={18} />
@@ -652,6 +666,7 @@ export const CodeEditor = ({ sourcesFolderId }: Props) => {
               onUploadFiles={handleUploadFiles}
               onClose={() => setUploadFolderId(undefined)}
               maximumAttachmentsAmount={Number.MAX_SAFE_INTEGER}
+              rootFolderId={sourcesFolderId}
             />
           )}
           <ConfirmDialog
diff --git a/apps/chat/src/components/Common/FolderContextMenu.tsx b/apps/chat/src/components/Common/FolderContextMenu.tsx
index b16c35540..338494a9a 100644
--- a/apps/chat/src/components/Common/FolderContextMenu.tsx
+++ b/apps/chat/src/components/Common/FolderContextMenu.tsx
@@ -18,6 +18,7 @@ import {
   hasInvalidNameInPath,
   isEntityNameInvalid,
 } from '@/src/utils/app/common';
+import { canEditSharedFolderOrParent } from '@/src/utils/app/folders';
 import { isEntityIdExternal, isMyEntity } from '@/src/utils/app/id';
 import { isEntityIdPublic } from '@/src/utils/app/publications';
 
@@ -26,6 +27,7 @@ import { FolderInterface } from '@/src/types/folder';
 import { DisplayMenuItemProps } from '@/src/types/menu';
 import { Translation } from '@/src/types/translation';
 
+import { FilesSelectors } from '@/src/store/files/files.reducers';
 import { useAppSelector } from '@/src/store/hooks';
 import { SettingsSelectors } from '@/src/store/settings/settings.reducers';
 
@@ -79,11 +81,23 @@ export const FolderContextMenu = ({
     SettingsSelectors.isSharingEnabled(state, featureType),
   );
 
+  const folders = useAppSelector(FilesSelectors.selectFolders);
+
   const isExternal = isEntityIdExternal(folder);
   const isNameInvalid = isEntityNameInvalid(folder.name);
   const isInvalidPath = hasInvalidNameInPath(folder.folderId);
   const disableAll = isNameInvalid || isInvalidPath;
 
+  const canEditShared = useMemo(() => {
+    return canEditSharedFolderOrParent(folders, folder.folderId);
+  }, [folder.folderId, folders]);
+
+  const isMyFolder = useMemo(() => {
+    return isMyEntity(folder, featureType);
+  }, [featureType, folder]);
+
+  const isMyOrCanEdit = isMyFolder || canEditShared;
+
   const menuItems: DisplayMenuItemProps[] = useMemo(
     () => [
       {
@@ -95,7 +109,7 @@ export const FolderContextMenu = ({
       },
       {
         name: t('Upload'),
-        display: !!onUpload && !isExternal,
+        display: !!onUpload && isMyOrCanEdit,
         dataQa: 'upload',
         Icon: IconUpload,
         onClick: onUpload,
@@ -103,7 +117,7 @@ export const FolderContextMenu = ({
       },
       {
         name: t('Rename'),
-        display: (!!onRename && !isExternal) || !!folder.temporary,
+        display: !!onRename && (!isExternal || !!folder.temporary),
         dataQa: 'rename',
         Icon: IconPencilMinus,
         onClick: onRename,
@@ -166,23 +180,20 @@ export const FolderContextMenu = ({
       {
         name: t('Delete'),
         display:
-          (!!onDelete && isMyEntity(folder, featureType)) || !!folder.temporary,
-        dataQa: 'delete',
-        Icon: IconTrashX,
-        onClick: onDelete,
-      },
-      {
-        name: t('Delete'),
-        display: !!onDelete && !!folder.sharedWithMe,
+          !!onDelete &&
+          (isMyEntity(folder, featureType) ||
+            !!folder.temporary ||
+            !!folder.sharedWithMe),
         dataQa: 'delete',
         Icon: IconTrashX,
         onClick: onDelete,
       },
+
       {
         name: t('Add new folder'),
         display:
-          (!!onAddFolder && !isExternal) ||
-          !!additionalItemData?.isChangePathFolder,
+          !!onAddFolder &&
+          (isMyOrCanEdit || !!additionalItemData?.isChangePathFolder),
         dataQa: 'new-folder',
         Icon: IconFolderPlus,
         onClick: onAddFolder,
@@ -197,6 +208,7 @@ export const FolderContextMenu = ({
       onSelect,
       featureType,
       onUpload,
+      isMyOrCanEdit,
       disableAll,
       onRename,
       folder,
diff --git a/apps/chat/src/components/Files/FileItemContextMenu.tsx b/apps/chat/src/components/Files/FileItemContextMenu.tsx
index 2150a865d..b3c2585e1 100644
--- a/apps/chat/src/components/Files/FileItemContextMenu.tsx
+++ b/apps/chat/src/components/Files/FileItemContextMenu.tsx
@@ -9,7 +9,7 @@ import { MouseEvent, MouseEventHandler, useMemo } from 'react';
 
 import { useTranslation } from '@/src/hooks/useTranslation';
 
-import { isCurrentFolderOrParentSharedWithMeAndCanEdit } from '@/src/utils/app/folders';
+import { canEditSharedFolderOrParent } from '@/src/utils/app/folders';
 import { isMyEntity } from '@/src/utils/app/id';
 
 import { FeatureType } from '@/src/types/common';
@@ -118,7 +118,7 @@ export function FileItemContextMenu({
         display:
           isMyEntity(file, FeatureType.File) ||
           !!file.sharedWithMe ||
-          isCurrentFolderOrParentSharedWithMeAndCanEdit(folders, file.folderId),
+          canEditSharedFolderOrParent(folders, file.folderId),
 
         Icon: IconTrashX,
         onClick: onDelete,
diff --git a/apps/chat/src/components/Files/PreUploadModal.tsx b/apps/chat/src/components/Files/PreUploadModal.tsx
index 601197d04..6c4c0734a 100644
--- a/apps/chat/src/components/Files/PreUploadModal.tsx
+++ b/apps/chat/src/components/Files/PreUploadModal.tsx
@@ -22,8 +22,11 @@ import {
   notAllowedSymbols,
   prepareFileName,
 } from '@/src/utils/app/file';
-import { getParentAndCurrentFoldersById } from '@/src/utils/app/folders';
-import { getFileRootId } from '@/src/utils/app/id';
+import {
+  getParentAndCurrentFoldersById,
+  splitEntityId,
+} from '@/src/utils/app/folders';
+import { getFileRootId, isMyBucket } from '@/src/utils/app/id';
 
 import { DialFile } from '@/src/types/files';
 import { ModalState } from '@/src/types/modal';
@@ -33,6 +36,7 @@ import { FilesActions, FilesSelectors } from '@/src/store/files/files.reducers';
 import { useAppDispatch, useAppSelector } from '@/src/store/hooks';
 
 import { OUTSIDE_PRESS_AND_MOUSE_EVENT } from '@/src/constants/modal';
+import { SHARED_WITH_ME_SECTION_NAME } from '@/src/constants/sections';
 
 import Modal from '@/src/components/Common/Modal';
 
@@ -52,6 +56,7 @@ interface Props {
   ) => void;
   uploadFolderId?: string;
   customUploadButtonLabel?: string;
+  rootFolderId?: string;
 }
 
 const bytesInMb = 1_048_576;
@@ -66,6 +71,7 @@ export const PreUploadDialog = ({
   onUploadFiles,
   uploadFolderId,
   customUploadButtonLabel,
+  rootFolderId,
 }: Props) => {
   const dispatch = useAppDispatch();
   const { t } = useTranslation(Translation.Chat);
@@ -82,12 +88,20 @@ export const PreUploadDialog = ({
   const [isChangeFolderModalOpened, setIsChangeFolderModalOpened] =
     useState(false);
   const [selectedFolderId, setSelectedFolderId] = useState(
-    uploadFolderId || getFileRootId(),
+    uploadFolderId || rootFolderId || getFileRootId(),
   );
 
   const headingId = useId();
   const descriptionId = useId();
 
+  const { bucket, name: rootFolderName } = useMemo(
+    () =>
+      rootFolderId
+        ? splitEntityId(rootFolderId)
+        : { bucket: undefined, name: undefined },
+    [rootFolderId],
+  );
+
   const folderPath = useMemo(() => {
     return (
       getParentAndCurrentFoldersById(folders, selectedFolderId)
@@ -156,7 +170,7 @@ export const PreUploadDialog = ({
             return {
               fileContent: file,
               id: constructPath(
-                getFileRootId(),
+                getFileRootId(bucket),
                 folderPath,
                 prepareFileName(file.name),
               ),
@@ -169,7 +183,7 @@ export const PreUploadDialog = ({
         uploadInputRef.current.value = '';
       }
     },
-    [allowedTypes, folderPath, t],
+    [allowedTypes, bucket, folderPath, t],
   );
 
   const handleUpload = useCallback(() => {
@@ -400,7 +414,12 @@ export const PreUploadDialog = ({
               data-qa="change-path-container"
             >
               <span className="truncate" data-qa="path">
-                {constructPath(t('All files'), folderPath)}
+                {!bucket || isMyBucket(bucket)
+                  ? constructPath(t('All files'), folderPath ?? rootFolderName)
+                  : constructPath(
+                      t(SHARED_WITH_ME_SECTION_NAME),
+                      folderPath ?? rootFolderName,
+                    )}
               </span>
               <span
                 className="cursor-pointer text-accent-primary"
@@ -490,7 +509,7 @@ export const PreUploadDialog = ({
       <SelectFolderModal
         isOpen={isChangeFolderModalOpened}
         initialSelectedFolderId={selectedFolderId}
-        rootFolderId={getFileRootId()}
+        rootFolderId={rootFolderId ?? getFileRootId(bucket)}
         onClose={(folderId) => {
           if (folderId) {
             setSelectedFolderId(folderId);
diff --git a/apps/chat/src/components/Files/SelectFolderModal.tsx b/apps/chat/src/components/Files/SelectFolderModal.tsx
index 3828ba5bb..7ba55f03b 100644
--- a/apps/chat/src/components/Files/SelectFolderModal.tsx
+++ b/apps/chat/src/components/Files/SelectFolderModal.tsx
@@ -1,7 +1,12 @@
-import { ChangeEvent, useCallback, useEffect, useState } from 'react';
+import { ChangeEvent, useCallback, useEffect, useMemo, useState } from 'react';
 
 import { useHandleFileFolders } from '@/src/hooks/useHandleFileFolders';
 
+import {
+  getParentFolderIdsFromFolderId,
+  splitEntityId,
+} from '@/src/utils/app/folders';
+
 import { FilesActions, FilesSelectors } from '@/src/store/files/files.reducers';
 import { useAppDispatch, useAppSelector } from '@/src/store/hooks';
 
@@ -10,6 +15,8 @@ import { SelectFolderFooter } from '@/src/components/Common/SelectFolder/SelectF
 import { SelectFolderHeader } from '@/src/components/Common/SelectFolder/SelectFolderHeader';
 import { SelectFolderList } from '@/src/components/Common/SelectFolder/SelectFolderList';
 
+import uniq from 'lodash-es/uniq';
+
 interface Props {
   isOpen: boolean;
   initialSelectedFolderId?: string;
@@ -27,13 +34,29 @@ export const SelectFolderModal = ({
 }: Props) => {
   const dispatch = useAppDispatch();
 
+  const { name: rootFolderName } = splitEntityId(rootFolderId);
+
+  const defaultSelectedFolder = useMemo(() => {
+    return (
+      initialSelectedFolderId ??
+      (!disallowSelectRootFolder ? rootFolderId : undefined)
+    );
+  }, [disallowSelectRootFolder, initialSelectedFolderId, rootFolderId]);
+
+  const defaultOpenedFoldersIds = useMemo(() => {
+    return initialSelectedFolderId
+      ? getParentFolderIdsFromFolderId(initialSelectedFolderId)
+      : [];
+  }, [initialSelectedFolderId]);
   const [searchQuery, setSearchQuery] = useState('');
-  const [openedFoldersIds, setOpenedFoldersIds] = useState<string[]>([]);
+  const [openedFoldersIds, setOpenedFoldersIds] = useState<string[]>(
+    defaultOpenedFoldersIds,
+  );
   const [isAllFilesOpened, setIsAllFilesOpened] = useState(true);
   const [errorMessage, setErrorMessage] = useState<string | undefined>();
+
   const [selectedFolderId, setSelectedFolderId] = useState<string | undefined>(
-    initialSelectedFolderId ??
-      (!disallowSelectRootFolder ? rootFolderId : undefined),
+    defaultSelectedFolder,
   );
 
   const folders = useAppSelector((state) =>
@@ -110,11 +133,17 @@ export const SelectFolderModal = ({
     [handleClose, selectedFolderId],
   );
 
+  const onCancel = useCallback(() => {
+    handleClose(undefined);
+    setSelectedFolderId(defaultSelectedFolder);
+    setOpenedFoldersIds((prev) => uniq(prev.concat(defaultOpenedFoldersIds)));
+  }, [defaultOpenedFoldersIds, defaultSelectedFolder, handleClose]);
+
   return (
     <SelectFolder
       isOpen={isOpen}
       modalDataQa="select-folder-modal"
-      onClose={() => handleClose(undefined)}
+      onClose={onCancel}
       title="Select folder"
     >
       <SelectFolderHeader
@@ -138,7 +167,7 @@ export const SelectFolderModal = ({
           handleFolderSelect={handleFolderSelect}
           isAllEntitiesOpened={isAllFilesOpened}
           selectedFolderId={selectedFolderId}
-          rootFolderName="All files"
+          rootFolderName={rootFolderName}
           rootFolderId={rootFolderId}
           onShowError={setErrorMessage}
         />
diff --git a/apps/chat/src/components/Marketplace/ApplicationCard.tsx b/apps/chat/src/components/Marketplace/ApplicationCard.tsx
index ee279fc0b..c916f336f 100644
--- a/apps/chat/src/components/Marketplace/ApplicationCard.tsx
+++ b/apps/chat/src/components/Marketplace/ApplicationCard.tsx
@@ -18,6 +18,7 @@ import {
   getApplicationNextStatus,
   getApplicationSimpleStatus,
   getModelShortDescription,
+  getPlayerCaption,
   isApplicationStatusUpdating,
   isExecutableApp,
 } from '@/src/utils/app/application';
@@ -25,10 +26,7 @@ import { isMyApplication } from '@/src/utils/app/id';
 import { isEntityIdPublic } from '@/src/utils/app/publications';
 import { canWriteSharedWithMe } from '@/src/utils/app/share';
 
-import {
-  ApplicationStatus,
-  SimpleApplicationStatus,
-} from '@/src/types/applications';
+import { SimpleApplicationStatus } from '@/src/types/applications';
 import { FeatureType } from '@/src/types/common';
 import { DisplayMenuItemProps } from '@/src/types/menu';
 import { DialAIEntityModel } from '@/src/types/models';
@@ -86,21 +84,6 @@ const CardFooter = ({ entity }: CardFooterProps) => {
   );
 };
 
-const getPlayerCaption = (entity: DialAIEntityModel) => {
-  switch (entity.functionStatus) {
-    case ApplicationStatus.DEPLOYED:
-      return 'Undeploy';
-    case ApplicationStatus.UNDEPLOYED:
-    case ApplicationStatus.FAILED:
-      return 'Deploy';
-    case ApplicationStatus.UNDEPLOYING:
-      return 'Undeploying';
-    case ApplicationStatus.DEPLOYING:
-    default:
-      return 'Deploying';
-  }
-};
-
 interface ApplicationCardProps {
   entity: DialAIEntityModel;
   onClick: (entity: DialAIEntityModel) => void;
diff --git a/apps/chat/src/components/Marketplace/ApplicationDetails/ApplicationFooter.tsx b/apps/chat/src/components/Marketplace/ApplicationDetails/ApplicationFooter.tsx
index b43b53409..390cd2176 100644
--- a/apps/chat/src/components/Marketplace/ApplicationDetails/ApplicationFooter.tsx
+++ b/apps/chat/src/components/Marketplace/ApplicationDetails/ApplicationFooter.tsx
@@ -19,6 +19,7 @@ import { useTranslation } from '@/src/hooks/useTranslation';
 import {
   getApplicationNextStatus,
   getApplicationSimpleStatus,
+  getPlayerCaption,
   isApplicationDeploymentInProgress,
   isApplicationPublic,
   isApplicationStatusUpdating,
@@ -63,22 +64,6 @@ import UnpublishIcon from '@/public/images/icons/unpublish.svg';
 import IconUserUnshare from '@/public/images/icons/unshare-user.svg';
 import { Feature, PublishActions } from '@epam/ai-dial-shared';
 
-const getFunctionTooltip = (entity: DialAIEntityModel) => {
-  switch (entity.functionStatus) {
-    case ApplicationStatus.UNDEPLOYED:
-    case ApplicationStatus.FAILED:
-      return 'Deploy';
-    case ApplicationStatus.DEPLOYED:
-      return 'Undeploy';
-    case ApplicationStatus.DEPLOYING:
-      return 'Deploying';
-    case ApplicationStatus.UNDEPLOYING:
-      return 'Undeploying';
-    default:
-      return '';
-  }
-};
-
 const getDisabledTooltip = (entity: DialAIEntityModel, normal: string) => {
   switch (entity.functionStatus) {
     case ApplicationStatus.UNDEPLOYING:
@@ -142,6 +127,7 @@ export const ApplicationDetailsFooter = ({
 
   const isExecutable =
     isExecutableApp(entity) && (isMyApp || isAdmin || canWrite);
+
   const isModifyDisabled = isApplicationStatusUpdating(entity);
   const playerStatus = getApplicationSimpleStatus(entity);
   const isAppInDeployment = isApplicationDeploymentInProgress(entity);
@@ -215,9 +201,10 @@ export const ApplicationDetailsFooter = ({
         },
       },
       {
-        name: t(getFunctionTooltip(entity)),
+        name: t(getPlayerCaption(entity)),
         dataQa: 'status-change',
-        display: isExecutable && isCodeAppsEnabled,
+        // TODO remove '&& !entity.sharedWithMe' when core issue will be ready #655
+        display: isExecutable && isCodeAppsEnabled && !entity.sharedWithMe,
         disabled: playerStatus === SimpleApplicationStatus.UPDATING,
         Icon: PlayerContextIcon,
         iconClassName: PlayerContextIconClasses[playerStatus],
@@ -327,7 +314,7 @@ export const ApplicationDetailsFooter = ({
     ],
   );
 
-  const hasBookmark = !isMyApp || !entity.sharedWithMe;
+  const hasBookmark = !isMyApp && !entity.sharedWithMe;
   const countDisplayTrue = menuItems.filter((item) => item.display).length;
   const menuItemsCount = hasBookmark ? countDisplayTrue + 1 : countDisplayTrue;
 
@@ -354,8 +341,9 @@ export const ApplicationDetailsFooter = ({
                   className="icon-button !p-[5px]"
                 />
               )}
-              {isExecutable && isCodeAppsEnabled && (
-                <Tooltip tooltip={t(getFunctionTooltip(entity))}>
+              {/*TODO remove '&& !entity.sharedWithMe' when core issue will be ready #655*/}
+              {isExecutable && isCodeAppsEnabled && !entity.sharedWithMe && (
+                <Tooltip tooltip={t(getPlayerCaption(entity))}>
                   <button
                     disabled={playerStatus === SimpleApplicationStatus.UPDATING}
                     onClick={handleUpdateFunctionStatus}
diff --git a/apps/chat/src/constants/sections.ts b/apps/chat/src/constants/sections.ts
index b9c6e3881..0b0c78887 100644
--- a/apps/chat/src/constants/sections.ts
+++ b/apps/chat/src/constants/sections.ts
@@ -3,6 +3,7 @@ import { translate } from '../utils/app/translation';
 export const ORGANIZATION_SECTION_NAME = translate('Organization');
 export const APPROVE_REQUIRED_SECTION_NAME = translate('Approve required');
 export const SHARED_WITH_ME_SECTION_NAME = translate('Shared with me');
+export const ROOT_SECTION_NAME = translate('All files');
 
 export const PINNED_PROMPTS_SECTION_NAME = translate('Pinned prompts');
 export const RECENT_PROMPTS_SECTION_NAME = translate('Recent');
diff --git a/apps/chat/src/hooks/useHandleFileFolders.ts b/apps/chat/src/hooks/useHandleFileFolders.ts
index 352b88465..295b6e47d 100644
--- a/apps/chat/src/hooks/useHandleFileFolders.ts
+++ b/apps/chat/src/hooks/useHandleFileFolders.ts
@@ -119,9 +119,11 @@ export const useHandleFileFolders = (
    * Handles the creation of a new folder.
    */
   const handleNewFolder = useCallback(() => {
-    dispatch(FilesActions.addNewFolder({ parentId: getFileRootId() }));
+    dispatch(
+      FilesActions.addNewFolder({ parentId: rootFolderId ?? getFileRootId() }),
+    );
     setIsAllFilesOpened?.(true);
-  }, [dispatch, setIsAllFilesOpened]);
+  }, [dispatch, rootFolderId, setIsAllFilesOpened]);
 
   return {
     handleRenameFolder,
diff --git a/apps/chat/src/utils/app/application.ts b/apps/chat/src/utils/app/application.ts
index a23c492c3..6fbdb18de 100644
--- a/apps/chat/src/utils/app/application.ts
+++ b/apps/chat/src/utils/app/application.ts
@@ -269,3 +269,18 @@ export const getSharedTooltip = (context: string) => {
 
 export const isApplicationPublic = (entity: DialAIEntityModel) =>
   isEntityIdPublic(entity) || entity.id === entity.reference;
+
+export const getPlayerCaption = (entity: DialAIEntityModel) => {
+  switch (entity.functionStatus) {
+    case ApplicationStatus.DEPLOYED:
+      return 'Undeploy';
+    case ApplicationStatus.UNDEPLOYED:
+    case ApplicationStatus.FAILED:
+      return 'Deploy';
+    case ApplicationStatus.UNDEPLOYING:
+      return 'Undeploying';
+    case ApplicationStatus.DEPLOYING:
+    default:
+      return 'Deploying';
+  }
+};
diff --git a/apps/chat/src/utils/app/folders.ts b/apps/chat/src/utils/app/folders.ts
index 67a43fd3c..3dd23c835 100644
--- a/apps/chat/src/utils/app/folders.ts
+++ b/apps/chat/src/utils/app/folders.ts
@@ -13,6 +13,7 @@ import { Prompt } from '@/src/types/prompt';
 import { EntityFilters } from '@/src/types/search';
 
 import { DEFAULT_FOLDER_NAME } from '@/src/constants/default-ui-settings';
+import { ROOT_SECTION_NAME } from '@/src/constants/sections';
 
 import {
   doesHaveDotsInTheEnd,
@@ -442,6 +443,7 @@ export const splitEntityId = (
   name: string;
   parentPath: string | undefined;
   apiKey: string;
+  isRoot: boolean;
 } => {
   const parts = id.split('/');
   const parentPath =
@@ -449,11 +451,16 @@ export const splitEntityId = (
       ? constructPath(...parts.slice(2, parts.length - 1))
       : undefined;
 
+  const isRoot = parts.length < 3;
+
+  const name = isRoot ? ROOT_SECTION_NAME : parts[parts.length - 1];
+
   return {
     apiKey: parts[0],
     bucket: parts[1],
     parentPath,
-    name: parts[parts.length - 1],
+    name,
+    isRoot,
   };
 };
 
@@ -601,26 +608,19 @@ export const renameFolderWithChildren = ({
   return updatedFolders.concat(newFolder);
 };
 
-export const isCurrentFolderOrParentSharedWithMeAndCanEdit = (
+export const canEditSharedFolderOrParent = (
   folders: FolderInterface[],
   folderId: string | undefined,
 ): boolean => {
-  if (!folderId) {
-    return false;
-  }
-
-  let folder = folders.find((folder) => folder.id === folderId);
-
-  if (folder?.sharedWithMe && hasWritePermission(folder.permissions)) {
-    return true;
-  }
-
-  while (folder) {
-    folder = folders.find((item) => item.id === folder!.folderId);
+  while (folderId) {
+    const folder = folders.find((folder) => folder.id === folderId);
 
     if (folder?.sharedWithMe && hasWritePermission(folder.permissions)) {
       return true;
     }
+
+    folderId = folder?.folderId;
   }
+
   return false;
 };
diff --git a/apps/chat/src/utils/app/id.ts b/apps/chat/src/utils/app/id.ts
index 6657a6678..a620ce8e3 100644
--- a/apps/chat/src/utils/app/id.ts
+++ b/apps/chat/src/utils/app/id.ts
@@ -77,3 +77,7 @@ export const isMyEntity = (entity: { id: string }, featureType: FeatureType) =>
 
 export const isMyApplication = (entity: { id: string }) =>
   isMyEntity(entity, FeatureType.Application);
+
+export const isMyBucket = (bucket: string) => {
+  return bucket === LOCAL_BUCKET || bucket === BucketService.getBucket();
+};