Where does the bug appear (feature/product)? Cloud Agent (GitHub, Slack, Web, Linear) Describe the Bug /env-setup Set up a new development environment for this codebase. Follow the “Set up a new environment” workflow in the env-setup skill. Run the relevant applications and demonstrate that the en…

Hey there - thanks for the report and screenshot! What you’re describing isn’t intended behavior, and it’s not caused by anything in your setup (that ENOENT line is a noisy fresh-VM message, not the real failure). This is an issue we’re tracking with Cloud Agent environment setup. Merging this int…

Appreciate the quick reply, the hard router setting was the culprit! Thank you.

"Agent encountered an error" when trying to setup new cloud agent env

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Topic		Replies	Views
Cloud Agents: Agent encountered an error after AttachPty — “No environment build used” (repro on Cursor default image) Bug Reports cloud-agents	3	80	August 13, 2026
Error creating new Cloud Agent environment Help cloud-agents	2	68	April 11, 2026
Cursor Cloud Agent setup fails every time Bug Reports cloud-agents	1	429	February 19, 2026
Cryptic cloud agent error + 501 response code in env setup Bug Reports cloud-agents	5	103	March 14, 2026
Issue: Cloud Agents stuck on "Setting up environment" Bug Reports cloud-agents	4	384	April 28, 2026

"Agent encountered an error" when trying to setup new cloud agent env

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