Visual Studio Code 1.123 Ships Agent-Focused Features and Larger Model Context

Windows Forum·low signal

Microsoft released VS Code 1.123 on June 3, 2026, adding agent-focused capabilities, larger model context support, integrated browser updates, and a new delay for some automatic extension updates. The larger-context and agent-mode improvements continue VS Code's transition into an agent-native editor, while the extension-update delay is a quiet hardening move against the kind of supply-chain risk seen in recent coding-agent worm campaigns.