Visual Studio Code November 2025 Update Brings Powerful Terminal & AI Improvements

Visual Studio Code’s latest update, version 1.107, is here with exciting features that improve coding efficiency and experience. The most notable upgrade is a significantly enhanced terminal, offering interactive suggestions as you type commands, command line arguments, and file paths.

Using the arrow keys or Tab key can accept these suggestions, providing users like Oh My Zsh shell extension users a boost in productivity. Although not as powerful as the main editor’s code completions, the new terminal offers some benefits, such as showing available arguments for commands.

The update also includes enhancements to AI agents, enhancing their performance and flexibility. Agent sessions are now integrated into the chat view, making it easier to check status, progress, and file change statistics. Background agents can be isolated to specific Git worktrees, allowing users to manage their workflow more efficiently.

Additionally, Visual Studio Code’s November update brings an updated preview of TypeScript 7, enabling auto-import completions, rename support, and reference code lenses. Although still in experimental mode, these features will become available when the final version is released.

Source: https://www.howtogeek.com/visual-studio-code-just-got-a-huge-terminal-upgrade