Claude Code extension broken in Cursor 0.51.1

Was forcibly upgraded to 0.51.1 today and suddenly my Claude Code UI button and cmd + esc shortcut stopped working.

Have isolated this to a Cursor issue as downgrading back to 0.50.5 and both the button is visible again and the shortcut is working as expected.

Please fix so I can upgrade without broken extensions!

Hey, try opening the built-in terminal in Cursor and running Claude. The extension should automatically install or update.

Not sure why you’re suggesting a non-solution here? I don’t want to run it in the terminal window…I want the extension to work as it should - which is via the button or in it’s own window being opened with the cmd + esc shortcut – which was working fine before I was updated to 0.51.1 (even with my updates turned off).

I went through complete uninstall and reinstall of Claude Code and despite everything being installed correctly (including the extension and being connected to the IDE), the button in the UI was not available, nor did the shortcut work to make the window appear. Reverting to Cursor 0.50.0 is the only thing that resolved this…thus there is something wrong in 0.51.1 that is breaking that extension functionality.

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I’m actually having a very similar problem myself. Even though my Cursor version is 0.50.7 (Universal) with VSCode Version: 1.96.2, the Claude Code extension just isn’t working perfectly for me either.

It looks like the Claude Code extension actually requires VS Code 1.98.0 or higher. This makes me wonder if the VS Code version Cursor is built on might be the root of the problem here. If Cursor isn’t running that newer version yet, it could totally explain why extensions like Claude Code are having a tough time, whether you’re on 0.51.1 or I’m on 0.50.7.

It feels like an update to the underlying VS Code framework within Cursor could be a really helpful step in resolving these compatibility issues with extensions.

Hey, you misunderstood me. I wasn’t suggesting running Claude through the terminal. This is only required for the extension to automatically install in Cursor. Also, check if you might have hidden the Claude button. This extension works for me with version 0.51.1.

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Well my claude code isn’t even installing the exention, nor can I find anthropics extension in the extension marketplace… rip.

Hey, this extension isn’t in the marketplace. According to the documentation, it should have installed automatically. However, try removing Claude Code, then reinstall it from the built-in terminal in Cursor. I hope this helps.

I’ve the same issue. Just installed claude code from inside cursor IDE terminal. I tried typing claude it didn’t install the extension. /IDE shows no available IDE and I can’t find the claude extension inside the marketplace search. What’s going on?!

Just found a fix, check the following:

Troubleshooting
​
VS Code extension not installing
Ensure you’re running Claude Code from VS Code’s integrated terminal
Ensure that the CLI corresponding to your IDE is installed:
For VS Code: code command should be available
For Cursor: cursor command should be available
For Windsurf: windsurf command should be available
If not installed, use Cmd+Shift+P (Mac) or Ctrl+Shift+P (Windows/Linux) and search for “Shell Command: Install ‘code’ command in PATH” (or the equivalent for your IDE)
Check that VS Code has permission to install extensions

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I ran into this issue for a while and then I saw a GitHub post. If you’re using a non-default profile, then cursor will not install the extension correctly. The solution is to find the vscode extension for Claude Code yourself and then drag the file into cursor’s extensions tab.

global-npm-directory/node_modules/@anthropic-ai/claude-code/vendor/claude-code.vsix

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Version: 1.0.0: Claude Code UI button missing (not hiding) and cmd + esc shortcut stopped working.
All the claude code ide integration are working fine. (confirmed by /status, /doctor, /ide commands)

Thanks for that, however, my cursor is running on Windows 11, my Claude code is running in a virtual Ubuntu environment (WLS).
I followed your instructions and managed to download the claude code extension, but the actual installation failed, I guess because cursor is installed on Windows, not in Ubuntu. Any workaround for that?

This is the final method that works.

  • first step: install Claude code
  • run: npm list -g @anthropic-ai/claude-code
  • Copy the Claude code extension to a folder u can easily access
  • cp /use your path/.nvm/versions/node/v22.12.0/lib/node_modules/@anthropic-ai/claude-code/vendor/claude-code.vsix ~/Downloads/
  • Open cursor and Ctrl+Shift+p,
    -Type "Extensions: Install from VSIX… or Type: Install extension from location
  • Locate the claude-code.vsix select it, and after installation, close and reopen cursor: open your terminal and enjoy using claude