Visual Studio Code 1.142 has made the Copilot agent harness the default for new sessions and automatically migrated enterprise workspaces that utilize sandboxing or permissions. This update introduces preview features like Canvases for co-editing artifacts and allows users to move chats between folders and Git worktrees without losing context. Additional enhancements include a revamped Markdown editor, background shell controls, and a redesigned model picker. Overall, the release emphasizes Microsoft's strategy to steer developers towards its SDK runtime while positioning third-party harnesses as optional alternatives

Visual Studio Code 1.142 Release: Copilot Becomes the Default Agent Harness

Visual Studio Code 1.142 quietly makes the Copilot agent harness the default for new sessions and auto-migrates enterprise workspaces that use sandboxing or permissions. The update introduces preview Canvases for co-editing artifacts with agents and lets you move a chat between folders and Git worktrees without rebuilding its context. Smaller upgrades include a substantially expanded Markdown editor, harness names in chat titles, background shell controls, and a redesigned model picker. Taken together, the release cements Microsoft's strategy of steering developers toward its own SDK runtime while leaving third-party harnesses like Claude and Codex as opt-in alternatives.

Visual Studio Code 1.142 Release: Copilot Becomes the Default Agent Harness @ NT Compatible