[BUG] Claude Code IDE connectivity issues with the latest update (1.0.64)

Tracker for connectivity issues starting at:
https://github.com/anthropics/claude-code/issues/1399#issuecomment-3138501709

We are getting more reports of VSCode IDE extensions disconnecting with the latest Cursor + Claude Code updates. We are actively investigating this now.

If this is happening to you, can you please post a comment below with the following info. Thank you!

OS: ??
Terminal: ??
IDE + version: ??
Claude CLI version: ??

How long ago did this started happening?

Steps to Reproduce

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