I’m not quite sure why you’re being downvoted for this. I don’t use VS Code at all, but they have done a good job of getting VS Code to be extremely used and have made the predictable steps to prevent the open source versions from being equivalent/compatible, mostly by restricting the extensions.
My initial partial read of the headline had me thinking the same way, but this is their own garbage and they can change it all they like I suppose.
The issue is that they already monopolized code editors and this is the vendor lock in move to keep people there.
I’m not quite sure why you’re being downvoted for this. I don’t use VS Code at all, but they have done a good job of getting VS Code to be extremely used and have made the predictable steps to prevent the open source versions from being equivalent/compatible, mostly by restricting the extensions.