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Are you sure the additional telemetry isn’t from extensions? Our extensions (Salesforce) have our own telemetry setting, but we do also respect the global VSCode setting due to this exact possibility of confusion. However, I know that there are other extensions that dont respect the global setting.

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I tested without extensions back when I was following the open GH issues, so that wasn't the case then.

It could be that MS fixed the issue since, and the connections I see in logs now are from extensions, but I also presume this isn't the case as my firewall rules are IP-based rather than purely app based (since the latter would kill the market browsing functionality).

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