Microsoft has published Visual Studio Code 1.137, and the update focuses on automating AI agent work inside the editor.
The headline feature is a preview called Automations. Recurring agent tasks, such as summarizing repository changes, can now run on a fixed schedule. Developers choose hourly, daily or weekly execution, and automations can also be triggered manually. To use the feature, the setting chat.automations.enabled must be activated in the settings editor of the agents window. Automations then appear in the sidebar. In the stable build the feature is off by default, while Insiders users get it enabled.
A second addition hides behind the experimental setting extensions.experimental.enableAgentsWindowCapability. When a chat conversation references GitHub, the agents window integrates directly with the GitHub Pull Requests extension. Issues on github.com and pull request links open with full details inside the agents window. Users no longer need to switch to a browser. The GitHub Pull Requests extension from the Visual Studio Marketplace must be installed for this to work.
Microsoft also runs a community side quest: the VS Code Pet, introduced in version 1.131, needs a name. Suggestions can be submitted from September 10 to 17, 2026, one entry per GitHub account. The winner receives a free month of GitHub Copilot Max, and honorable mentions get VS Code swag.
Full release notes cover stable version 1.137 and the Insiders build 1.138.
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