I have decided to use Power BI Desktop to author a report model which is then published to the service and consumed in other reports by using the new Power BI Service connection. The problem is that you can’t change the data set you’re connected to once you have connected to it initially as all the options are disabled in desktop. I’ve also tried modifying the actual Connections file in the pbix itself but that always renders my pbix corrupt. Has anyone been successful in doing this before?
I have tried the solution mentioned in the post below using the June 2017 update for Power BI Desktop but I constantly get the message "This file is corrupted or was created by an unrecognized version of Power BI Desktop. It can't be opened".
Based on my test, currently, it is not available to change the live connection dataset from Power BI service that the report connects to. Now this capability is on team's backlog, please be patient for waiting for the future release.
By the way, from the error message when you attempted to open the zip file, it looks like the pbix file was destroyed during the compression processor. In my test, after adding the pbix file to Zip file, there is no way to change the connection file.
Under Edit Queries you find the option Data source settings, when you open it you can change the dataset used as source. In my particular case I moved a report from on domain to another domain by switching accounts and then choosing the new (copied) dataset in the new workspace. I do not know whether this option works for you, but it might be worth a try ...