Terminal + Version Control doesn't load

Where does the bug appear (feature/product)?

Cursor IDE

Describe the Bug

Entire IDE just hangs when loaded up. Source control doesn’t show and terminals don’t load. Only way to fix was to rollback to an older version but when I restarted my computer it updated automatically and broke again. When this happens I just switch back to vs code and codex because it literally doesn’t work at all.

Steps to Reproduce

On Mac just open a project in cursor 3, it doesn’t happen every time though.

Expected Behavior

The terminal should show text and the version control panel should show something

Operating System

MacOS

Version Information

Version: 3.1.17
VSCode Version: 1.105.1
Commit: fce1e9ab7844f9ea35793da01e634aa7e50bce90
Date: 2026-04-19T19:33:58.189Z
Layout: editor
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: Darwin arm64 25.4.0

Does this stop you from using Cursor

Yes - Cursor is unusable

Hey, this is a known issue with Extension Host initialization on 3.1.17. When it doesn’t start in time, Terminal and Source Control stay stuck on loading.

Before reinstalling everything again, try a more targeted workaround. It helped another user on the same version, see Extension Host fails to initialize (Timeout waiting for auth and plugins), breaking AI Agents and Source Control

  1. Fully quit Cursor.
  2. On macOS, delete (or back up first) the workspace folder for this project from:
    ~/Library/Application Support/Cursor/User/workspaceStorage/
    
    These are subfolders with hashed names. You can find the right one by running grep in workspace.json for your project path, or if you don’t have many workspaces, you can delete everything there.
  3. Reopen Cursor and open the project again.

We’re tracking this issue on our side, but I can’t share an ETA for a fix yet. If this helps, let me know, and if you notice any trigger for when it starts happening, like a specific action, extension, or MCP, that would really help narrow it down. If it doesn’t help, reply too and we’ll dig into the logs from Output > Extension Host.

Thanks for these instructions, I also was having this issue over the last week or some where multiple workspaces weren’t fully loading. Removing the matching workspace folder from that directory seems to have fixed it.

This fix works but only for a short while, every time I make the fix it will only stay for about a day before coming back.

Sorry if you guys can’t track it down but I don’t see it happen after any specific action, I’m currently not even using the Agent sidebar. Going to switch to a different IDE as I only was using Cursor anymore for completion anyway and this was unfortunately the final straw.

Hey, that’s frustrating to hear, and thanks for coming back to share this. It’s a really helpful signal.

The fact that the workaround only lasts about a day and there’s no clear trigger is an important detail. We’re tracking the issue on our side, but I honestly can’t give an ETA for a full fix. The previous fix iteration covered some cases, but yours clearly isn’t one of them.

If you’re willing to help before you go, two things would be really useful:

  1. Logs from View > Output > Extension Host (use the dropdown on the right and pick Extension Host) at the moment when everything is stuck.
  2. Your list of installed extensions and MCP. Sometimes a pattern shows up when specific plugins overlap.

If not, that’s totally fine, I get it. When we have an update on the fix, we’ll post here so you know when it’s worth coming back.

Well that’s a pain… deleting the workspaceStorage blows away local settings such as pinned tabs :frowning:

It seems to me that this issue pops up each time I get a cursor update.