What’s New in VS Code 1.107? AI Agent HQ, TypeScript 7 Preview, and More

Microsoft released Visual Studio Code version 1.107, bringing a suite of new features aimed at enhancing developer productivity and AI‑assisted coding.

Agent HQ and AI Agent Management

The update adds Agent HQ , a unified management platform that allows multiple backend AI agents to run concurrently, both locally and in the cloud. Although the release notes list Agent HQ as a new feature, a GitHub post clarifies that it is not a brand‑new capability but a strategy for integrating agents from various providers, such as the newly announced Intelligent Agent Foundation, Google’s Antigravity, and JetBrains Air.

The Agent Sessions view, part of the Agent HQ experience, is disabled by default. Microsoft’s video demo shows multiple agents operating simultaneously, and users can re‑enable the view via the chat.agentSessionsViewLocation setting, though the view is slated for removal in future releases.

New AI Agent Features

The release introduces roughly ten AI‑agent enhancements, including keeping agents alive after chat closure, migrating agent sessions from local to cloud, customizing backend agents, running sub‑agents, and sharing agents within an organization. While these features can boost productivity, they also raise security concerns, such as the risk of malicious commands or AI‑generated accidents like the recent Google Antigravity incident that allegedly erased an entire disk partition.

YOLO Security Option

VS Code now includes a YOLO (You Only Live Once) setting, disabled by default. When enabled, it disables all manual approval safeguards across the workspace, effectively turning off critical security protections and making the system more vulnerable to attacks. The option’s existence highlights a tension between Microsoft’s push for AI‑agent leadership and basic security requirements.

TypeScript 7 Preview

TypeScript 7 is now available as an experimental preview. It introduces a new Go‑based compiler and core language, promising faster load times, lower memory usage, and smoother editing. Developers can enable the preview if they have the TypeScript Go extension installed. The VS Code build scripts have also migrated entirely to TypeScript, leveraging Node.js 22.18+ support.

IntelliCode End of Life

Microsoft has discontinued the IntelliCode extension, ending its maintenance. IntelliCode previously offered AI‑assisted code completion for languages like Python, JavaScript, TypeScript, Java, and C#. Going forward, developers must rely on GitHub Copilot for similar functionality, which provides 2,000 free completions per month before requiring a subscription.

Business Model and Update Cadence

The shift from a free IntelliCode extension to a subscription‑based Copilot underscores Microsoft’s commercial strategy, even though VS Code remains open source. The monthly update cycle has moved to December, making the 1.107 release likely the last major update before February 2026.