[BUG] VS Code extension: startup() bootstrap handshake times out when cwd is on network-mounted filesystem

Preflight Checklist

• [x] I have searched existing issues and this hasn't been reported yet
• [x] This is a single bug report (please file separate reports for different bugs)
• [x] I am using the latest version of Claude Code

What's Wrong?

Environment

• OS: Linux (RHEL/CentOS)
• VS Code with Remote-SSH extension
• Claude Code extension v2.1.101
• Working directory on NFS network mount (/net/intdev/...)

What happens
When opening a folder on a network-mounted filesystem in VS Code Remote-SSH,
Claude Code fails on every startup with:

"startup() initialize handshake timed out after 30000ms"

The debug logs show "[Bootstrap] Fetching" starts but never completes.

What Should Happen?

What I expected
Claude Code to start normally.

Error Messages/Logs

2026-04-11T09:45:56.395Z [DEBUG] [Bootstrap] Fetching
2026-04-11T09:45:56.421Z [DEBUG] [claudeai-mcp] Fetched 0 servers
2026-04-11 05:46:25.681 [info] Closing Claude on channel: 8vfov3qg7p9
2026-04-11 05:46:25.682 [error] Error spawning Claude (on channel 8vfov3qg7p9): Error: startup() initialize handshake timed out after 30000ms — check MCP server connectivity or auth configuration

Note: [Bootstrap] Fetching starts at 09:45:56 and the timeout fires exactly 
30 seconds later at 09:46:25. The bootstrap fetch never completes or logs 
any result. 0 MCP servers are configured. The issue is specific to the cwd 
being on a network-mounted filesystem — works fine when cwd is ~/test or /tmp.

Steps to Reproduce

How to reproduce

1. Connect to a remote Linux machine via VS Code Remote-SSH
2. Open a folder on a network-mounted filesystem (e.g. /net/... or NFS mount)
3. Open Claude Code panel and start a session

Claude Model

Sonnet (default)

Is this a regression?

Yes, this worked in a previous version

Last Working Version

?

Claude Code Version

2.1.101 (claude vs code extension)

Platform

Anthropic API

Operating System

macOS

Terminal/Shell

VS Code integrated terminal

Additional Information

Key finding

• Fails when cwd is /net/intdev/... (network mount)
• Works when cwd is /tmp/test or ~/test (local filesystem)
• Symlinks from local path to network path do not work around the issue
• 0 MCP servers configured, so not an MCP issue