I frequently encounter this error. “Agent Stream Start Failed,” and it always asks to reload the window. Is this something that everyone noticed in recent times?
Hey, this is a known issue. The extension host can hang while the agent is initializing.
A few things to try:
Disable HTTP/2: App Settings Ctrl + , → search for “HTTP/2” → enable “Disable HTTP/2”. Restart Cursor. This often helps on Windows.
Disable MCP servers (if any): Cursor Settings > Tools & MCP → turn them all off, then restart.
Start without extensions:
cursor --disable-extensions
If that helps, re-enable extensions one by one to find the one causing the issue.
Clear the state database:
Fully close Cursor
Delete or rename: %APPDATA%\Cursor\User\globalStorage\state.vscdb
Start Cursor again (you’ll need to sign in again)
The team is aware of this issue. If none of this helps, please share the Request ID from the next failed request and the result of the network diagnostics (Cursor Settings > Network > Run Diagnostics).