Microsoft's May 2026 VS Code update makes BYOK usable in restricted environments while adding agent, browser and issue-reporting updates.

Visual Studio Code 1.121 focuses on agent workflows, model configuration, terminal behavior and built-in preview features -- and features another update to Claude Code functionality.

Microsoft has released VS Code 1.121 with remote AI agents, Mermaid rendering, HTML previews, and terminal optimizations.

Visual Studio Code can be transformed from a capable editor into a powerhouse development environment with the right extensions, settings, and workflows. From AI coding assistants to containerized dev ...

Your VS Code workflow is probably slower than it needs to be, but if you use the Command Palette you'll be faster.