Custom models blocked again?

Where does the bug appear (feature/product)?

Cursor IDE

Describe the Bug

This bug has appeared before and was resolved but as of my last. update Version: 3.12.17 seems to be back. Custom OpenAI endpoint with API key and adding custom models is broken. Adding kimi-k2.7-code:cloud errors out with “Model name is not valid: “kimi-k2.7-code:cloud” . The endpoint and API keys work fine on other clients.

Steps to Reproduce

Model: “kimi-k2.7-code:cloud”
https://ollama.com/v1
API key

Expected Behavior

Configure custom models which used to work seamlessly. I think some change in cursor tagging that does not like colons anymore in the model name?

Operating System

MacOS

Version Information

Version: 3.12.17
VS Code Extension API: 1.128.0
Commit: 0fb762053c34788bb7760d5673f8a6d4c8589d50
Date: 2026-07-17T02:53:53.006Z
Layout: IDE
Build Type: Stable
Release Track: Default
Electron: 40.10.3
Chromium: 144.0.7559.236
Node.js: 24.15.0
V8: 14.4.258.32-electron.0
xterm.js: 6.1.0-beta.256
OS: Darwin arm64 25.5.0

For AI issues: which model did you use?

kimi-k2.7-code:cloud

Does this stop you from using Cursor

Yes - Cursor is unusable

Hey, thanks for the report. Based on the logs, this isn’t about the colon. Model names with : are still accepted, and kimi-k2.7-code:cloud worked at the same time in another config. It looks like your API key just wasn’t attached to the request, which is why you got Model name is not valid.

Can you check a couple things:

  1. Settings → Models → API Keys: make sure the OpenAI API Key toggle is still on and the key field is filled in. After updating to 3.12.17 the key might’ve been cleared. Re-enter the key and try again.
  2. Keep the model name exactly as kimi-k2.7-code:cloud with the :cloud suffix. Without the suffix, Cursor might pick its own managed version of the model instead of your Ollama endpoint.

If it still reproduces after re-entering the key with the toggle on, send the Request ID right top corner of the chat > Copy Request ID and we’ll dig deeper.

Thank you for your response. Looks like the key was cleared. Sharing in case anyone else had the issue.