After updating Cursor IDE to version 2.0.38 (built on VSCode 1.99.3), the AI editing and implementation features stopped working. The IDE no longer applies code changes automatically — it only suggests them and asks me to make the edits manually, even for simple functions or refactorings.
This issue started immediately after the update.
Steps to Reproduce
1. Open a project in Cursor IDE.
2. Select any file and ask the AI (agent) to make a code change or implement a function (e.g., “Refactor this function”, “Add a new function”).
3. Wait for the AI to process the request.
4. Observe that instead of automatically applying the modification, the IDE only suggests changes or asks to edit the file manually.
5. No edits are made to the file by the agent, regardless of the prompt or file type.
Operating System
MacOS
Current Cursor Version (Menu → About Cursor → Copy)
I am using the Agent Auto mode when this issue occurs. The chat responses are very slow, and sometimes it seems like changes are being made, but in reality no modifications are applied to the files. When I try again, it just provides the code changes to apply manually.
Even in Ask mode, the responses are quite slow and not always accurate or correct.
I have also noticed qui puoi aggiungere eventuali altre osservazioni o dettagli specifici che vuoi segnalare.
Please let me know if you need a screenshot or video of the behavior.