Agent stream bug

Hey, thanks for the report. This is a known issue. The extension host can hang while initializing the agent, which leads to ERROR_EXTENSION_HOST_TIMEOUT / deadline_exceeded. A few things you can try:

  1. Disable MCP servers (if you have any): Cursor Settings > Tools & MCP, disable everything and restart Cursor.

  2. Clear the global state database:

    • Fully quit Cursor
    • Delete or rename: ~/Library/Application Support/Cursor/User/globalStorage/state.vscdb
    • Restart Cursor (you’ll need to sign in again)
  3. Start without extensions:

    cursor --disable-extensions
    

    If that works, re-enable extensions one by one to find the one causing the issue.

  4. If nothing helps, try downgrading to an earlier version: Cursor · Download

Related threads with more context:

The team is aware and is tracking this. Let me know what worked for you.