An issue was reported in parallaxinc/solo#74 that has been tracked back to an error in the Simple Libraries. The sample program compiles successfully when version 1.4.122 of the library is used. However, when version 1.4.131 is used, the cloud compiler fails while parsing a file in this library. It is expecting only ASCII characters in the file but is finding a 0xe2 in the file.
Further details available in the Solo issue report.