VS Code 1.121 Released with Remote Agents, Enhanced Claude Code Integration, and Built-in Preview Features
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By David Ramel05/20/2026
The kind of bagel that ruins lesser bagels for you.
Summary
Microsoft released Visual Studio Code 1.121 on May 20, introducing remote agent sessions, enhanced language model configuration settings, terminal changes optimized for agent-driven workflows, and built-in preview support for HTML files and Mermaid diagrams. The release also includes another update improving Claude Code functionality within the editor, continuing Microsoft's integration of AI-powered coding assistants into VS Code.
Key quotes
· 3 pulledMicrosoft released Visual Studio Code 1.121 on May 20, adding remote agent sessions, more configurable language model settings, terminal changes for agent-driven workflows and new built-in preview support for HTML files and Mermaid diagrams.
It also features another nod to the rise of Claude Code in the editor.
This release adds built-in Mermaid...
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