Where is the Moodle2 Files area?

In Moodle2, a file is associated with an item e.g. a label, forum post, section title or assignment submission.

Moodle2 does not support the concept of an independent Files area, as exists in Moodle1.

Hence in the Copy from Moodle page, when option Course contents is selected, only files that are actually used in Moodle1 are copied to Moodle2.  
Files that are listed in the Moodle1
Files area, but are not otherwise used, are not copied.

As a concession to users who have many  files that are not used in Moodle1 but will be used in Moodle2, the Copy from Moodle page also has a Legacy course files option.
Selecting this option will copy all the files f
rom the Moodle1 Files area to a Moodle2 Legacy course files area.

There is a link to the Legacy course files in both the Course administration block and under Server files in the file picker.

Note: The Moodle2 Legacy course files area is read-only.