The agent is doing the actual work, and VS Code is just a window.
Microsoft released Visual Studio Code 1.123 on June 3, adding agent-focused features, larger model context support, integrated browser updates and a new delay for some automatic extension updates.
Microsoft shipped Intelligent Terminal 0.1 at Build 2026 on June 2 — a separate, open-source application that puts an AI agent pane inside a forked version of Windows Terminal. The project, authored ...
As well as Coreutils, the Build 2026 developer conference also saw Microsoft announce WSL containers CLI and API to deploy ...