Visual Studio Code, the popular development text editor and IDE, has rolled out its big July 2025 release. The v1.103 update adds new Git and terminal integrations, better language support, and more.

Microsoft's fifth July update expands agent monitoring, adds offline speech transcription and changes Python environment management.

Visual Studio Code 1.129 adds a dedicated process for running AI agent sessions and an experimental docked editor for reviewing agent-generated changes.

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