[FEATURE] vs code extension setting to toggle on/off the GUI or terminal UI

Preflight Checklist

• [x] I have searched existing requests and this feature hasn't been requested yet
• [x] This is a single feature request (not multiple features)

Problem Statement

My extension auto updated from 2.0.2 to 2.0.3 the UI is graphical instead of terminal. Clicking onto the claude code chat now opens an editor window showing the same info that is already visible in the claude code chat window. This is redundant, unnecessary, and clutters my work environment. I keep switching between multiple windows and when I click on vs code if i happen to click the claude code window i'm welcomed with an unncessary editor window showing what is already seen. Claude also seems less helpful now. Not sure if the GUI added a new dropdown that defaults to a less eager to help Claude or not. In the past when I asked for help how to configure claude code it did a websearch and found the answer. This time, it rejected the request twice. Only after I sent the following prompt it did a websearch for me: "I'm asking you to help me figure this out. The old claude was more helpful. The old claude would look on the web at the documentation and assist me."

I'd rather keep the old terminal UI, it was sleek and easier to use. I liked being able to type 1, 2, 3, etc. instead of moving my mouse and clicking. It's one of the reasons I like it better than co-pilot. It felt more developer friendly. Please add a toggle to choose between graphical or terminal.

Proposed Solution

add toggle to turn off the GUI and use the terminal like user interface

Alternative Solutions

Rolling back to 2.0.2 because 2.0.3 is a downgrade

Priority

High - Significant impact on productivity

Feature Category

Configuration and settings

Use Case Example

I'd use it every day because the new GUI doesn't add much value.

Additional Context

_No response_