This issue has already reported but there is no feedback when this issue will be fixed.
When you install the application via service studio an error message is displayed
"There is one or more eSpaces with missing configuration which may lead to publishing errors. Please configure the Database Catalogs for the listed eSpaces." you simply select the database you want the application to install. This option is missing in service studio - when you attempt to install an application via service studio and you are using outsystems platform "Database Catalogs" feature, the installer will get stuck, it will not install.
Sorry for the late reply. The issue is known and it's currently being assessed by our R&D team.
Unfortunately there is still no fix for Service Studio, but an applicable workaround would be to publish the application from Service Center.