The app.yaml file must be located in your application's root directory. You 
may check this detail and general app.yaml-related information on the 
"Configuring your App with app.yaml" documentation page 
This means that the ./config/dev/ directory, where app.yaml is saved, must 
be regarded as the root directory: you should copy all your app's other 
directories and files accordingly, to dev, from your home directory, or 
where stored initially. Once this file copy succeeds, and your app 
directories are placed under the root "dev" directory, the "gcloud app 
deploy ./config/dev/app.yaml" command should succeed, as expected. 

Depending what your services entail, you might use the "service: 
service_name" settings in app.yaml. 

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