This is a known bug. Our team is aware and working on it.
Workaround for now:
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Start a new chat without images if you need Composer 2/2.5
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If you need to work with images, select a multimodal model (like Claude or GPT) from the model picker instead of Auto or Composer
You may also find this related thread helpful: Cursor having issues connecting to composer 2?
Also, your Cursor version (2.6.14, from March 2026) is quite outdated. While this specific bug is server-side, updating to the latest version will include many other fixes and improvements.
Our team is aware and investigating.