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VS Code 1.132 puts Copilot, Claude and Codex behind one host, and removes the policy admins used to turn it off

Visual Studio Code 1.132 · Microsoft, first-party release notes · Released August 5, 2026

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The agent host is the structural change. It runs agent harnesses "such as Copilot, Claude, and Codex in a dedicated process" on a published Agent Host Protocol, lets you reach one agent session from several windows, and puts a harness dropdown in the editor. Microsoft describes it as rolling out progressively.

The deprecations remove the ChatAgentHostEnabled policy, and the notes say what that means without softening it: administrators can no longer centrally disable the agent host through policy. The per-developer setting chat.agentHost.enabled remains, so the control has not gone away, it has moved from the administrator to the developer.

Why it matters: A protocol with three named harnesses behind it is the first sign of harness portability arriving as infrastructure rather than as a wrapper script. The deprecation is the more urgent half: a removed admin policy disappears silently on upgrade, and nobody files a bug when a restriction stops being enforced.