Visual Studio Code 1.123 Microsoft released Visual Studio Code 1.123 on May 29, 2026, introducing the ability to hand off chat sessions to a standalone Agents window and to add area screenshots as chat context from the integrated browser. The update also includes support for sending chat requests with only attachments, updated Electron 42 with Chromium 148 and Node.js 22.x, and fixes for BYOK reasoning model errors and Windows CLI flag failures. Visual Studio Code 1.123 Follow us on LinkedIn https://www.linkedin.com/showcase/vs-code , X https://go.microsoft.com/fwlink/?LinkID=533687 , Bluesky https://bsky.app/profile/vscode.dev Last updated: May 29, 2026 Welcome to the 1.123 release of Visual Studio Code. Happy Coding May 29, 2026 - You can now hand off a chat session from VS Code to the Agents window, so you can continue your conversation in the standalone agents experience. 316565 https://github.com/microsoft/vscode/pull/316565 - In the integrated browser, you can now add an area screenshot as context to chat by selecting a region of the page. 318791 https://github.com/microsoft/vscode/pull/318791 - Prompt file subcommands can now be invoked with a space instead of a colon, for example /chronicle tips instead of /chronicle:tips . 318867 https://github.com/microsoft/vscode/pull/318867 May 28, 2026 - Chat now lets you send a request with only attachments and no text. For example, you can attach an image or file and send it directly without adding a message. 317776 https://github.com/microsoft/vscode/pull/317776 - Agent mode chat indicators in the title bar are now hidden when Zen mode is active. 318848 https://github.com/microsoft/vscode/pull/318848 - Copilot Cloud tasks now renders with the same tool cards, edit diffs, and terminal output as local Copilot CLI sessions. 318646 https://github.com/microsoft/vscode/pull/318646 - Fixed /doc placing Python docstrings before decorators instead of inside the function body. 318571 https://github.com/microsoft/vscode/pull/318571 - Fixed BYOK reasoning models from OpenRouter, DeepSeek, and similar providers failing with HTTP 400 errors after tool calls. 318809 https://github.com/microsoft/vscode/pull/318809 - Fixed the --folder-uri and --file-uri CLI flags failing silently on Windows when not used as the last argument or when combined with --wait . 308150 https://github.com/microsoft/vscode/pull/308150 May 27, 2026 - Updated to Electron 42, which includes Chromium 148 and Node.js 22.x. 292445 https://github.com/microsoft/vscode/issues/292445 - The AI Customization management editor now uses a compact header mode for a cleaner, more integrated look. 318378 https://github.com/microsoft/vscode/pull/318378 - Browser-related settings now appear in their own section in the Settings editor. 318602 https://github.com/microsoft/vscode/pull/318602 May 26, 2026 - The Agents window now displays sessions in a grid layout. 317309 https://github.com/microsoft/vscode/pull/317309 - Agent feedback in the Agents window now supports threaded replies, so you can respond to individual comments. 318324 https://github.com/microsoft/vscode/pull/318324 - Steering messages sent during an agent host session now appear as their own user turn in the chat, instead of being folded into the in-flight turn. 318456 https://github.com/microsoft/vscode/pull/318456 - When agent mode runs multiple terminal commands in parallel, completion notifications are now batched into a single message instead of creating a separate agent turn for each command. 316275 https://github.com/microsoft/vscode/pull/316275 We really appreciate people trying our new features as soon as they are ready, so check back here often and learn what's new.