Cursor Agent Mode cannot modify files when using Azure-deployed GPT-5 mini (communication works but no file editing)

Where does the bug appear (feature/product)?

Somewhere else…

Describe the Bug

I connected Cursor to Azure using a GPT-5 mini deployment.
The model responds normally and communication works, but when switching to Agent Mode, it is unable to modify or write to project files. The agent produces responses, but no edits are applied to the workspace.

There is no error message indicating a local permission problem, and the issue only occurs when using the Azure deployment of GPT-5 mini. When using an OpenAI-hosted model, file editing works as expected.

This suggests that the Azure deployment might be missing capabilities required for Cursor Agent Mode to perform file modification.

Steps to Reproduce

1.	Open Cursor and go to Settings → AI → Provider
2.	Connect a custom model using Azure OpenAI (GPT-5 mini) with a valid API key and endpoint.
3.	Confirm that normal chat communication works (model responds as expected)
4.	Switch to Agent Mode
5.	Ask the agent to modify a file, for example:

Expected Behavior

When running Agent Mode commands (e.g. “update this file”, “fix this code”, “refactor the component”), the model should be able to:
• create/edit/delete project files
• apply code changes directly
• use tool/function calls required for file editing

Screenshots / Screen Recordings

Operating System

MacOS

Current Cursor Version (Menu → About Cursor → Copy)

Version: 2.2.20 (Universal)
VSCode Version: 1.105.1
Commit: b3573281c4775bfc6bba466bf6563d3d498d1070
Date: 2025-12-12T06:29:26.017Z
Electron: 37.7.0
Chromium: 138.0.7204.251
Node.js: 22.20.0
V8: 13.8.258.32-electron.0
OS: Darwin arm64 24.5.0

For AI issues: which model did you use?

GPT5 mini

( I am also starting to suspect that this issue may not be limited to GPT-5 mini. It seems possible that no Azure-deployed models are able to perform file edits in Cursor, suggesting a broader problem with tool/function call support or capability configuration across multiple models. )

For AI issues: add Request ID with privacy disabled

Request ID: cf1b8a50-89cc-49e6-a402-7ea6b4f32c7a

Additional Information

https://suppo-m7prxrlw-swedencentral.cognitiveservices.azure.com/

Does this stop you from using Cursor

Sometimes - I can sometimes use Cursor

Hey, thanks for the report.

This is a known issue with Azure OpenAI and Agent Mode. Cursor sends requests in a format that isn’t fully compatible with the standard Azure OpenAI API, especially the tools format for file operations.

The team is working on improving BYOK support. We recently shipped a fix for a related issue.

Please try:

  1. Update to version 2.3.x. You’ll need to enable Early Access in Cursor settings > Beta.
  2. As a workaround, use Cursor’s built-in models for Agent Mode.

If the issue still happens after updating, let me know and I’ll collect more details for the team.

Related threads:

1 Like

Thanks for the update!

Now this is my current version info:

Version: 2.3.14 (Universal)
VSCode Version: 1.105.1
Commit: b3e9fe6c37659159fc2dec9ae643d74c25e5d0d0
Date: 2025-12-29T23:26:25.365Z
Electron: 37.7.0
Chromium: 138.0.7204.251
Node.js: 22.20.0
V8: 13.8.258.32-electron.0
OS: Darwin arm64 24.5.0

It looks like the issue is still happening on my side as well.

I’d like to use the built-in models for Agent Mode (it is more good), but I still have a lot of Azure credits left, so I’m trying to get it working with Azure first :grinning_face_with_smiling_eyes:

Let me know if you need logs or any additional info. I’m happy to help collect details.

=> my last try
Request ID: 640c07a6-7a70-4893-bc95-3e87596e0076

1 Like

Version: 2.3.21 (Universal)
VSCode Version: 1.105.1
Commit: 68e0a0385b87408d050869ea543e3778ad53f780
Date: 2026-01-02T23:46:13.381Z
Electron: 37.7.0
Chromium: 138.0.7204.251
Node.js: 22.20.0
V8: 13.8.258.32-electron.0
OS: Darwin arm64 24.5.0

the issue is on going.