Extension host error, no fix with xcopy, windows 11, Network Diagnostics Chat canceled error

[top_dev]

Where does the bug appear (feature/product)?

Cursor IDE

Describe the Bug

extension host error
restarting again and again.
xcopy did not solved

Steps to Reproduce

network diagnostics

Expected Behavior

any solution?

Screenshots / Screen Recordings

Operating System

Windows 10/11

Version Information

Version: 2.6.20 (user setup)
VSCode Version: 1.105.1
Commit: b29eb4ee5f9f6d1cb2afbc09070198d3ea6ad760
Date: 2026-03-17T01:50:02.404Z
Build Type: Stable
Release Track: Default
Electron: 39.8.1
Chromium: 142.0.7444.265
Node.js: 22.22.1
V8: 14.2.231.22-electron.0
OS: Windows_NT x64 10.0.26100

For AI issues: which model did you use?

not response

Does this stop you from using Cursor

Yes - Cursor is unusable

[deanrie]

Hey, this is a known issue with the extension host on Windows. The cursor-socket folder is missing the out/ directory, so the extension host keeps crashing in a loop. The Chat error in Network Diagnostics is just a side effect of that crash.

You said xcopy didn’t help. Let’s make sure the command was run correctly. If you have a user setup install, the path should be:

cd "%LOCALAPPDATA%\Programs\cursor\resources\app\extensions\cursor-socket"
xcopy dist out\ /E /I

Open Command Prompt as administrator, run both commands, then fully close and reopen Cursor.

If the first command says path not found, Cursor might be installed as a system setup:

cd "C:\Program Files\cursor\resources\app\extensions\cursor-socket"
xcopy dist out\ /E /I

A couple more things:

• Do you have any VPN software installed, even if it’s not running? Another user with the same issue fixed it by uninstalling their VPN: Extension host terminated unexpectedly no matter what i try
• Can you paste the output of dir "%LOCALAPPDATA%\Programs\cursor\resources\app\extensions\cursor-socket\" so I can see what’s inside?

The team is aware of this bug. A fix is being prepared for the next update. Let me know how it goes.