This could happen on machines with no Microsoft Office or Data Connectivity Component installed or if the Microsoft Office package is 64-bit version.
If running a data driven test on remote machine you get your test failed and the following exception could be found in the log:
The 'Microsoft.ACE.OLEDB.12.0' provider is not registered on the local machine
Another option to face the same error in the application log is to bind an Excel file to a test, and try to select a sheet - the list is empty.
Download and install the 32-bit version of Microsoft Access Database Engine 2010. It will install the required drivers for communication between Test Studio and the Microsoft Office files for all of the above cases.