Perhaps. But I'm sure Microsoft releasing Agent mode at the same time is not a coincidence.

Don’t know about you, but personally I want the extensions I create to be available widely. The fact that vs code market place is used as an easy place for me to distribute it only to limit the reach based on the business needs of Microsoft sure does feel like being embraced extended in the attempt of extinguishing usecases that I do in fact support.

Can’t fault cursor for letting people install extensions when most of those, if not all of those, developers want their extensions on cursor.