Rename assistant settings to agent settings, to match new settings UI.

Co-authored-by: Ben Brandt <benjamin.j.brandt@gmail.com>
2025-05-06 12:12:17 -07:00
186 changed files with 5641 additions and 6050 deletions
--- a/Cargo.lock
+++ b/Cargo.lock
@@ -52,9 +52,9 @@ dependencies = [
 name = "agent"
 version = "0.1.0"
 dependencies = [
+ "agent_settings",
 "anyhow",
 "assistant_context_editor",
- "assistant_settings",
 "assistant_slash_command",
 "assistant_tool",
 "async-watch",
@@ -62,6 +62,7 @@ dependencies = [
 "chrono",
 "client",
 "collections",
+ "command_palette_hooks",
 "component",
 "context_server",
 "convert_case 0.8.0",
@@ -133,6 +134,31 @@ dependencies = [
 "zed_llm_client",
 ]

+[[package]]
+name = "agent_settings"
+version = "0.1.0"
+dependencies = [
+ "anthropic",
+ "anyhow",
+ "deepseek",
+ "feature_flags",
+ "fs",
+ "gpui",
+ "indexmap",
+ "language_model",
+ "lmstudio",
+ "log",
+ "ollama",
+ "open_ai",
+ "paths",
+ "schemars",
+ "serde",
+ "serde_json",
+ "serde_json_lenient",
+ "settings",
+ "workspace-hack",
+]
+
 [[package]]
 name = "ahash"
 version = "0.7.8"
@@ -474,9 +500,9 @@ dependencies = [
 name = "assistant"
 version = "0.1.0"
 dependencies = [
+ "agent_settings",
 "anyhow",
 "assistant_context_editor",
- "assistant_settings",
 "assistant_slash_command",
 "assistant_slash_commands",
 "assistant_tool",
@@ -536,8 +562,8 @@ dependencies = [
 name = "assistant_context_editor"
 version = "0.1.0"
 dependencies = [
+ "agent_settings",
 "anyhow",
- "assistant_settings",
 "assistant_slash_command",
 "assistant_slash_commands",
 "chrono",
@@ -546,6 +572,7 @@ dependencies = [
 "collections",
 "context_server",
 "editor",
+ "feature_flags",
 "fs",
 "futures 0.3.31",
 "fuzzy",
@@ -587,32 +614,6 @@ dependencies = [
 "zed_actions",
 ]

-[[package]]
-name = "assistant_settings"
-version = "0.1.0"
-dependencies = [
- "anthropic",
- "anyhow",
- "collections",
- "deepseek",
- "fs",
- "gpui",
- "indexmap",
- "language_model",
- "lmstudio",
- "log",
- "ollama",
- "open_ai",
- "paths",
- "schemars",
- "serde",
- "serde_json",
- "serde_json_lenient",
- "settings",
- "workspace-hack",
- "zed_llm_client",
-]
-
 [[package]]
 name = "assistant_slash_command"
 version = "0.1.0"
@@ -710,9 +711,9 @@ dependencies = [
 name = "assistant_tools"
 version = "0.1.0"
 dependencies = [
+ "agent_settings",
 "aho-corasick",
 "anyhow",
- "assistant_settings",
 "assistant_tool",
 "buffer_diff",
 "chrono",
@@ -3004,7 +3005,6 @@ dependencies = [
 "anyhow",
 "assistant",
 "assistant_context_editor",
- "assistant_settings",
 "assistant_slash_command",
 "assistant_tool",
 "async-stripe",
@@ -4068,6 +4068,7 @@ dependencies = [
 "http_client",
 "language",
 "log",
+ "lsp-types",
 "node_runtime",
 "parking_lot",
 "paths",
@@ -4103,6 +4104,7 @@ dependencies = [
 "futures 0.3.31",
 "gpui",
 "language",
+ "lsp-types",
 "paths",
 "serde",
 "serde_json",
@@ -4247,7 +4249,6 @@ dependencies = [
 "collections",
 "command_palette_hooks",
 "dap",
- "dap_adapters",
 "db",
 "debugger_tools",
 "editor",
@@ -5003,8 +5004,8 @@ name = "eval"
 version = "0.1.0"
 dependencies = [
 "agent",
+ "agent_settings",
 "anyhow",
- "assistant_settings",
 "assistant_tool",
 "assistant_tools",
 "async-trait",
@@ -6063,9 +6064,9 @@ dependencies = [
 name = "git_ui"
 version = "0.1.0"
 dependencies = [
+ "agent_settings",
 "anyhow",
 "askpass",
- "assistant_settings",
 "buffer_diff",
 "chrono",
 "collections",
@@ -7796,7 +7797,6 @@ dependencies = [
 "tree-sitter-html",
 "tree-sitter-json",
 "tree-sitter-md",
- "tree-sitter-python",
 "tree-sitter-ruby",
 "tree-sitter-rust",
 "tree-sitter-typescript",
@@ -7904,7 +7904,6 @@ dependencies = [
 "partial-json-fixer",
 "project",
 "proto",
- "release_channel",
 "schemars",
 "serde",
 "serde_json",
@@ -15086,6 +15085,7 @@ dependencies = [
 "client",
 "collections",
 "db",
+ "feature_flags",
 "gpui",
 "http_client",
 "notifications",
@@ -18694,17 +18694,17 @@ dependencies = [

 [[package]]
 name = "zed"
-version = "0.187.0"
+version = "0.186.0"
 dependencies = [
 "activity_indicator",
 "agent",
+ "agent_settings",
 "anyhow",
 "ashpd",
 "askpass",
 "assets",
 "assistant",
 "assistant_context_editor",
- "assistant_settings",
 "assistant_tools",
 "async-watch",
 "audio",
@@ -18884,9 +18884,9 @@ dependencies = [

 [[package]]
 name = "zed_llm_client"
-version = "0.8.0"
+version = "0.7.5"
 source = "registry+https://github.com/rust-lang/crates.io-index"
-checksum = "a23b2fd00776b0c55072f389654910ceb501eb0083d7f78905ab0e5cc86949ec"
+checksum = "6fe0d60001c02d0d21a4114a13bee3a905fbb9e146ada80a90435c05fda18852"
 dependencies = [
 "anyhow",
 "serde",
--- a/Cargo.toml
+++ b/Cargo.toml
@@ -3,12 +3,12 @@ resolver = "2"
 members = [
    "crates/activity_indicator",
    "crates/agent",
+    "crates/agent_settings",
    "crates/anthropic",
    "crates/askpass",
    "crates/assets",
    "crates/assistant",
    "crates/assistant_context_editor",
-    "crates/assistant_settings",
    "crates/assistant_slash_command",
    "crates/assistant_slash_commands",
    "crates/assistant_tool",
@@ -216,7 +216,7 @@ askpass = { path = "crates/askpass" }
 assets = { path = "crates/assets" }
 assistant = { path = "crates/assistant" }
 assistant_context_editor = { path = "crates/assistant_context_editor" }
-assistant_settings = { path = "crates/assistant_settings" }
+agent_settings = { path = "crates/agent_settings" }
 assistant_slash_command = { path = "crates/assistant_slash_command" }
 assistant_slash_commands = { path = "crates/assistant_slash_commands" }
 assistant_tool = { path = "crates/assistant_tool" }
@@ -610,7 +610,7 @@ wasmtime-wasi = "29"
 which = "6.0.0"
 wit-component = "0.221"
 workspace-hack = "0.1.0"
-zed_llm_client = "0.8.0"
+zed_llm_client = "0.7.5"
 zstd = "0.11"

 [workspace.dependencies.async-stripe]
--- a/assets/icons/debug_disconnect.svg
+++ b/assets/icons/debug_disconnect.svg
--- a/assets/icons/document_text.svg
+++ b/assets/icons/document_text.svg
@@ -1,3 +0,0 @@
-<svg xmlns="http://www.w3.org/2000/svg" viewBox="0 0 20 20" fill="currentColor" class="size-5">
-  <path fill-rule="evenodd" d="M4.5 2A1.5 1.5 0 0 0 3 3.5v13A1.5 1.5 0 0 0 4.5 18h11a1.5 1.5 0 0 0 1.5-1.5V7.621a1.5 1.5 0 0 0-.44-1.06l-4.12-4.122A1.5 1.5 0 0 0 11.378 2H4.5Zm2.25 8.5a.75.75 0 0 0 0 1.5h6.5a.75.75 0 0 0 0-1.5h-6.5Zm0 3a.75.75 0 0 0 0 1.5h6.5a.75.75 0 0 0 0-1.5h-6.5Z" clip-rule="evenodd" />
-</svg>
--- a/assets/icons/thumbs_down.svg
+++ b/assets/icons/thumbs_down.svg
@@ -1,3 +1 @@
-<svg xmlns="http://www.w3.org/2000/svg" viewBox="0 0 20 20" fill="currentColor" class="size-5">
-  <path d="M18.905 12.75a1.25 1.25 0 1 1-2.5 0v-7.5a1.25 1.25 0 0 1 2.5 0v7.5ZM8.905 17v1.3c0 .268-.14.526-.395.607A2 2 0 0 1 5.905 17c0-.995.182-1.948.514-2.826.204-.54-.166-1.174-.744-1.174h-2.52c-1.243 0-2.261-1.01-2.146-2.247.193-2.08.651-4.082 1.341-5.974C2.752 3.678 3.833 3 5.005 3h3.192a3 3 0 0 1 1.341.317l2.734 1.366A3 3 0 0 0 13.613 5h1.292v7h-.963c-.685 0-1.258.482-1.612 1.068a4.01 4.01 0 0 1-2.166 1.73c-.432.143-.853.386-1.011.814-.16.432-.248.9-.248 1.388Z" />
-</svg>
+<svg xmlns="http://www.w3.org/2000/svg" width="24" height="24" viewBox="0 0 24 24" fill="none" stroke="currentColor" stroke-width="2" stroke-linecap="round" stroke-linejoin="round" class="lucide lucide-thumbs-down"><path d="M17 14V2"/><path d="M9 18.12 10 14H4.17a2 2 0 0 1-1.92-2.56l2.33-8A2 2 0 0 1 6.5 2H20a2 2 0 0 1 2 2v8a2 2 0 0 1-2 2h-2.76a2 2 0 0 0-1.79 1.11L12 22a3.13 3.13 0 0 1-3-3.88Z"/></svg>
--- a/assets/icons/thumbs_up.svg
+++ b/assets/icons/thumbs_up.svg
@@ -1,3 +1 @@
-<svg xmlns="http://www.w3.org/2000/svg" viewBox="0 0 20 20" fill="currentColor" class="size-5">
-  <path d="M1 8.25a1.25 1.25 0 1 1 2.5 0v7.5a1.25 1.25 0 1 1-2.5 0v-7.5ZM11 3V1.7c0-.268.14-.526.395-.607A2 2 0 0 1 14 3c0 .995-.182 1.948-.514 2.826-.204.54.166 1.174.744 1.174h2.52c1.243 0 2.261 1.01 2.146 2.247a23.864 23.864 0 0 1-1.341 5.974C17.153 16.323 16.072 17 14.9 17h-3.192a3 3 0 0 1-1.341-.317l-2.734-1.366A3 3 0 0 0 6.292 15H5V8h.963c.685 0 1.258-.483 1.612-1.068a4.011 4.011 0 0 1 2.166-1.73c.432-.143.853-.386 1.011-.814.16-.432.248-.9.248-1.388Z" />
-</svg>
+<svg xmlns="http://www.w3.org/2000/svg" width="24" height="24" viewBox="0 0 24 24" fill="none" stroke="currentColor" stroke-width="2" stroke-linecap="round" stroke-linejoin="round" class="lucide lucide-thumbs-up"><path d="M7 10v12"/><path d="M15 5.88 14 10h5.83a2 2 0 0 1 1.92 2.56l-2.33 8A2 2 0 0 1 17.5 22H4a2 2 0 0 1-2-2v-8a2 2 0 0 1 2-2h2.76a2 2 0 0 0 1.79-1.11L12 2a3.13 3.13 0 0 1 3 3.88Z"/></svg>
--- a/assets/keymaps/default-linux.json
+++ b/assets/keymaps/default-linux.json
@@ -237,14 +237,11 @@
      "save": "workspace::Save",
      "ctrl->": "assistant::QuoteSelection",
      "ctrl-<": "assistant::InsertIntoEditor",
+      "ctrl-alt-/": "agent::ToggleModelSelector",
      "shift-enter": "assistant::Split",
      "ctrl-r": "assistant::CycleMessageRole",
      "enter": "assistant::ConfirmCommand",
-      "alt-enter": "editor::Newline",
-      "ctrl-k c": "assistant::CopyCode",
-      "ctrl-g": "search::SelectNextMatch",
-      "ctrl-shift-g": "search::SelectPreviousMatch",
-      "ctrl-k l": "agent::OpenRulesLibrary"
+      "alt-enter": "editor::Newline"
    }
  },
  {
@@ -261,8 +258,7 @@
      "ctrl-shift-o": "agent::ToggleNavigationMenu",
      "ctrl-shift-i": "agent::ToggleOptionsMenu",
      "shift-escape": "agent::ExpandMessageEditor",
-      "ctrl-alt-e": "agent::RemoveAllContext",
-      "ctrl-shift-e": "project_panel::ToggleFocus"
+      "ctrl-alt-e": "agent::RemoveAllContext"
    }
  },
  {
--- a/assets/settings/default.json
+++ b/assets/settings/default.json
@@ -370,6 +370,8 @@
  "gutter": {
    // Whether to show line numbers in the gutter.
    "line_numbers": true,
+    // Whether to show code action buttons in the gutter.
+    "code_actions": true,
    // Whether to show runnables buttons in the gutter.
    "runnables": true,
    // Whether to show breakpoints in the gutter.
@@ -612,11 +614,13 @@
    //
    // Default: main
    "fallback_branch_name": "main",
+
    // Whether to sort entries in the panel by path
    // or by status (the default).
    //
    // Default: false
    "sort_by_path": false,
+
    "scrollbar": {
      // When to show the scrollbar in the git panel.
      //
@@ -642,8 +646,6 @@
    "version": "2",
    // Whether the agent is enabled.
    "enabled": true,
-    /// What completion mode to start new threads in, if available. Can be 'normal' or 'max'.
-    "preferred_completion_mode": "normal",
    // Whether to show the agent panel button in the status bar.
    "button": true,
    // Where to dock the agent panel. Can be 'left', 'right' or 'bottom'.
@@ -666,28 +668,6 @@
      // The model to use.
      "model": "claude-3-7-sonnet-latest"
    },
-    // Additional parameters for language model requests. When making a request to a model, parameters will be taken
-    // from the last entry in this list that matches the model's provider and name. In each entry, both provider
-    // and model are optional, so that you can specify parameters for either one.
-    "model_parameters": [
-      // To set parameters for all requests to OpenAI models:
-      // {
-      //   "provider": "openai",
-      //   "temperature": 0.5
-      // }
-      //
-      // To set parameters for all requests in general:
-      // {
-      //   "temperature": 0
-      // }
-      //
-      // To set parameters for a specific provider and model:
-      // {
-      //   "provider": "zed.dev",
-      //   "model": "claude-3-7-sonnet-latest",
-      //   "temperature": 1.0
-      // }
-    ],
    // When enabled, the agent can run potentially destructive actions without asking for your confirmation.
    "always_allow_tool_actions": false,
    // When enabled, the agent will stream edits.
--- a/crates/agent/Cargo.toml
+++ b/crates/agent/Cargo.toml
@@ -21,7 +21,7 @@ test-support = [
 [dependencies]
 anyhow.workspace = true
 assistant_context_editor.workspace = true
-assistant_settings.workspace = true
+agent_settings.workspace = true
 assistant_slash_command.workspace = true
 assistant_tool.workspace = true
 async-watch.workspace = true
@@ -29,6 +29,7 @@ buffer_diff.workspace = true
 chrono.workspace = true
 client.workspace = true
 collections.workspace = true
+command_palette_hooks.workspace = true
 component.workspace = true
 context_server.workspace = true
 convert_case.workspace = true
--- a/crates/agent/src/active_thread.rs
+++ b/crates/agent/src/active_thread.rs
@@ -12,8 +12,8 @@ use crate::tool_use::{PendingToolUseStatus, ToolUse};
 use crate::ui::{
    AddedContext, AgentNotification, AgentNotificationEvent, AnimatedLabel, ContextPill,
 };
+use agent_settings::{AgentSettings, NotifyWhenAgentWaiting};
 use anyhow::Context as _;
-use assistant_settings::{AssistantSettings, NotifyWhenAgentWaiting};
 use assistant_tool::ToolUseStatus;
 use collections::{HashMap, HashSet};
 use editor::actions::{MoveUp, Paste};
@@ -43,6 +43,7 @@ use std::sync::Arc;
 use std::time::Duration;
 use text::ToPoint;
 use theme::ThemeSettings;
+use ui::utils::WithRemSize;
 use ui::{
    Disclosure, IconButton, KeyBinding, PopoverMenuHandle, Scrollbar, ScrollbarState, TextSize,
    Tooltip, prelude::*,
@@ -1144,7 +1145,7 @@ impl ActiveThread {
            .summary()
            .unwrap_or("Agent Panel".into());

-        match AssistantSettings::get_global(cx).notify_when_agent_waiting {
+        match AgentSettings::get_global(cx).notify_when_agent_waiting {
            NotifyWhenAgentWaiting::PrimaryScreen => {
                if let Some(primary) = cx.primary_display() {
                    self.pop_up(icon, caption.into(), title.clone(), window, primary, cx);
@@ -1282,6 +1283,9 @@ impl ActiveThread {
            return;
        };

+        // Cancel any ongoing streaming when user starts editing a previous message
+        self.cancel_last_completion(window, cx);
+
        let editor = crate::message_editor::create_editor(
            self.workspace.clone(),
            self.context_store.downgrade(),
@@ -1413,10 +1417,7 @@ impl ActiveThread {
                        messages: vec![request_message],
                        tools: vec![],
                        stop: vec![],
-                        temperature: AssistantSettings::temperature_for_model(
-                            &configured_model.model,
-                            cx,
-                        ),
+                        temperature: None,
                    };

                    Some(configured_model.model.count_tokens(request, cx))
@@ -1780,7 +1781,8 @@ impl ActiveThread {
        let colors = cx.theme().colors();
        let editor_bg_color = colors.editor_background;

-        let open_as_markdown = IconButton::new(("open-as-markdown", ix), IconName::DocumentText)
+        let open_as_markdown = IconButton::new(("open-as-markdown", ix), IconName::FileCode)
+            .shape(ui::IconButtonShape::Square)
            .icon_size(IconSize::XSmall)
            .icon_color(Color::Ignored)
            .tooltip(Tooltip::text("Open Thread as Markdown"))
@@ -1805,16 +1807,13 @@ impl ActiveThread {
            .mt_1()
            .py_2()
            .px(RESPONSE_PADDING_X)
-            .mr_1()
-            .opacity(0.4)
-            .hover(|style| style.opacity(1.))
-            .gap_1p5()
+            .gap_1()
            .flex_wrap()
            .justify_end();
        let feedback_items = match self.thread.read(cx).message_feedback(message_id) {
            Some(feedback) => feedback_container
                .child(
-                    div().visible_on_hover("feedback_container").child(
+                    div().mr_1().visible_on_hover("feedback_container").child(
                        Label::new(match feedback {
                            ThreadFeedback::Positive => "Thanks for your feedback!",
                            ThreadFeedback::Negative => {
@@ -1827,8 +1826,11 @@ impl ActiveThread {
                )
                .child(
                    h_flex()
+                        .pr_1()
+                        .gap_1()
                        .child(
                            IconButton::new(("feedback-thumbs-up", ix), IconName::ThumbsUp)
+                                .shape(ui::IconButtonShape::Square)
                                .icon_size(IconSize::XSmall)
                                .icon_color(match feedback {
                                    ThreadFeedback::Positive => Color::Accent,
@@ -1846,6 +1848,7 @@ impl ActiveThread {
                        )
                        .child(
                            IconButton::new(("feedback-thumbs-down", ix), IconName::ThumbsDown)
+                                .shape(ui::IconButtonShape::Square)
                                .icon_size(IconSize::XSmall)
                                .icon_color(match feedback {
                                    ThreadFeedback::Positive => Color::Ignored,
@@ -1866,7 +1869,7 @@ impl ActiveThread {
                .into_any_element(),
            None => feedback_container
                .child(
-                    div().visible_on_hover("feedback_container").child(
+                    div().mr_1().visible_on_hover("feedback_container").child(
                        Label::new(
                            "Rating the thread sends all of your current conversation to the Zed team.",
                        )
@@ -1876,10 +1879,13 @@ impl ActiveThread {
                )
                .child(
                    h_flex()
+                        .pr_1()
+                        .gap_1()
                        .child(
                            IconButton::new(("feedback-thumbs-up", ix), IconName::ThumbsUp)
                                .icon_size(IconSize::XSmall)
                                .icon_color(Color::Ignored)
+                                .shape(ui::IconButtonShape::Square)
                                .tooltip(Tooltip::text("Helpful Response"))
                                .on_click(cx.listener(move |this, _, window, cx| {
                                    this.handle_feedback_click(
@@ -1894,6 +1900,7 @@ impl ActiveThread {
                            IconButton::new(("feedback-thumbs-down", ix), IconName::ThumbsDown)
                                .icon_size(IconSize::XSmall)
                                .icon_color(Color::Ignored)
+                                .shape(ui::IconButtonShape::Square)
                                .tooltip(Tooltip::text("Not Helpful"))
                                .on_click(cx.listener(move |this, _, window, cx| {
                                    this.handle_feedback_click(
@@ -2069,185 +2076,202 @@ impl ActiveThread {

        let panel_background = cx.theme().colors().panel_background;

-        v_flex()
-            .w_full()
-            .map(|parent| {
-                if let Some(checkpoint) = checkpoint.filter(|_| !is_generating) {
-                    let mut is_pending = false;
-                    let mut error = None;
-                    if let Some(last_restore_checkpoint) =
-                        self.thread.read(cx).last_restore_checkpoint()
-                    {
-                        if last_restore_checkpoint.message_id() == message_id {
-                            match last_restore_checkpoint {
-                                LastRestoreCheckpoint::Pending { .. } => is_pending = true,
-                                LastRestoreCheckpoint::Error { error: err, .. } => {
-                                    error = Some(err.clone());
+        WithRemSize::new(ThemeSettings::get_global(cx).agent_font_size(cx))
+            .size_full()
+            .child(
+                v_flex()
+                    .w_full()
+                    .map(|parent| {
+                        if let Some(checkpoint) = checkpoint.filter(|_| !is_generating) {
+                            let mut is_pending = false;
+                            let mut error = None;
+                            if let Some(last_restore_checkpoint) =
+                                self.thread.read(cx).last_restore_checkpoint()
+                            {
+                                if last_restore_checkpoint.message_id() == message_id {
+                                    match last_restore_checkpoint {
+                                        LastRestoreCheckpoint::Pending { .. } => is_pending = true,
+                                        LastRestoreCheckpoint::Error { error: err, .. } => {
+                                            error = Some(err.clone());
+                                        }
+                                    }
                                }
                            }
-                        }
-                    }

-                    let restore_checkpoint_button =
-                        Button::new(("restore-checkpoint", ix), "Restore Checkpoint")
-                            .icon(if error.is_some() {
-                                IconName::XCircle
-                            } else {
-                                IconName::Undo
-                            })
-                            .icon_size(IconSize::XSmall)
-                            .icon_position(IconPosition::Start)
-                            .icon_color(if error.is_some() {
-                                Some(Color::Error)
-                            } else {
-                                None
-                            })
-                            .label_size(LabelSize::XSmall)
-                            .disabled(is_pending)
-                            .on_click(cx.listener(move |this, _, _window, cx| {
-                                this.thread.update(cx, |thread, cx| {
-                                    thread
-                                        .restore_checkpoint(checkpoint.clone(), cx)
-                                        .detach_and_log_err(cx);
-                                });
-                            }));
+                            let restore_checkpoint_button =
+                                Button::new(("restore-checkpoint", ix), "Restore Checkpoint")
+                                    .icon(if error.is_some() {
+                                        IconName::XCircle
+                                    } else {
+                                        IconName::Undo
+                                    })
+                                    .icon_size(IconSize::XSmall)
+                                    .icon_position(IconPosition::Start)
+                                    .icon_color(if error.is_some() {
+                                        Some(Color::Error)
+                                    } else {
+                                        None
+                                    })
+                                    .label_size(LabelSize::XSmall)
+                                    .disabled(is_pending)
+                                    .on_click(cx.listener(move |this, _, _window, cx| {
+                                        this.thread.update(cx, |thread, cx| {
+                                            thread
+                                                .restore_checkpoint(checkpoint.clone(), cx)
+                                                .detach_and_log_err(cx);
+                                        });
+                                    }));

-                    let restore_checkpoint_button = if is_pending {
-                        restore_checkpoint_button
-                            .with_animation(
-                                ("pulsating-restore-checkpoint-button", ix),
-                                Animation::new(Duration::from_secs(2))
-                                    .repeat()
-                                    .with_easing(pulsating_between(0.6, 1.)),
-                                |label, delta| label.alpha(delta),
+                            let restore_checkpoint_button = if is_pending {
+                                restore_checkpoint_button
+                                    .with_animation(
+                                        ("pulsating-restore-checkpoint-button", ix),
+                                        Animation::new(Duration::from_secs(2))
+                                            .repeat()
+                                            .with_easing(pulsating_between(0.6, 1.)),
+                                        |label, delta| label.alpha(delta),
+                                    )
+                                    .into_any_element()
+                            } else if let Some(error) = error {
+                                restore_checkpoint_button
+                                    .tooltip(Tooltip::text(error.to_string()))
+                                    .into_any_element()
+                            } else {
+                                restore_checkpoint_button.into_any_element()
+                            };
+
+                            parent.child(
+                                h_flex()
+                                    .pt_2p5()
+                                    .px_2p5()
+                                    .w_full()
+                                    .gap_1()
+                                    .child(ui::Divider::horizontal())
+                                    .child(restore_checkpoint_button)
+                                    .child(ui::Divider::horizontal()),
                            )
-                            .into_any_element()
-                    } else if let Some(error) = error {
-                        restore_checkpoint_button
-                            .tooltip(Tooltip::text(error.to_string()))
-                            .into_any_element()
-                    } else {
-                        restore_checkpoint_button.into_any_element()
-                    };
-
-                    parent.child(
-                        h_flex()
-                            .pt_2p5()
-                            .px_2p5()
-                            .w_full()
-                            .gap_1()
-                            .child(ui::Divider::horizontal())
-                            .child(restore_checkpoint_button)
-                            .child(ui::Divider::horizontal()),
-                    )
-                } else {
-                    parent
-                }
-            })
-            .when(is_first_message, |parent| {
-                parent.child(self.render_rules_item(cx))
-            })
-            .child(styled_message)
-            .when(is_generating && is_last_message, |this| {
-                this.child(
-                    h_flex()
-                        .h_8()
-                        .mt_2()
-                        .mb_4()
-                        .ml_4()
-                        .py_1p5()
-                        .when_some(loading_dots, |this, loading_dots| this.child(loading_dots)),
-                )
-            })
-            .when(show_feedback, move |parent| {
-                parent.child(feedback_items).when_some(
-                    self.open_feedback_editors.get(&message_id),
-                    move |parent, feedback_editor| {
-                        let focus_handle = feedback_editor.focus_handle(cx);
-                        parent.child(
-                            v_flex()
-                                .key_context("AgentFeedbackMessageEditor")
-                                .on_action(cx.listener(move |this, _: &menu::Cancel, _, cx| {
-                                    this.open_feedback_editors.remove(&message_id);
-                                    cx.notify();
-                                }))
-                                .on_action(cx.listener(move |this, _: &menu::Confirm, _, cx| {
-                                    this.submit_feedback_message(message_id, cx);
-                                    cx.notify();
-                                }))
-                                .on_action(cx.listener(Self::confirm_editing_message))
-                                .mb_2()
-                                .mx_4()
-                                .p_2()
-                                .rounded_md()
-                                .border_1()
-                                .border_color(cx.theme().colors().border)
-                                .bg(cx.theme().colors().editor_background)
-                                .child(feedback_editor.clone())
-                                .child(
-                                    h_flex()
-                                        .gap_1()
-                                        .justify_end()
-                                        .child(
-                                            Button::new("dismiss-feedback-message", "Cancel")
-                                                .label_size(LabelSize::Small)
-                                                .key_binding(
-                                                    KeyBinding::for_action_in(
-                                                        &menu::Cancel,
-                                                        &focus_handle,
-                                                        window,
-                                                        cx,
-                                                    )
-                                                    .map(|kb| kb.size(rems_from_px(10.))),
-                                                )
-                                                .on_click(cx.listener(
-                                                    move |this, _, _window, cx| {
-                                                        this.open_feedback_editors
-                                                            .remove(&message_id);
-                                                        cx.notify();
-                                                    },
-                                                )),
-                                        )
-                                        .child(
-                                            Button::new(
-                                                "submit-feedback-message",
-                                                "Share Feedback",
-                                            )
-                                            .style(ButtonStyle::Tinted(ui::TintColor::Accent))
-                                            .label_size(LabelSize::Small)
-                                            .key_binding(
-                                                KeyBinding::for_action_in(
-                                                    &menu::Confirm,
-                                                    &focus_handle,
-                                                    window,
-                                                    cx,
-                                                )
-                                                .map(|kb| kb.size(rems_from_px(10.))),
-                                            )
-                                            .on_click(
-                                                cx.listener(move |this, _, _window, cx| {
-                                                    this.submit_feedback_message(message_id, cx);
-                                                    cx.notify()
-                                                }),
-                                            ),
-                                        ),
-                                ),
+                        } else {
+                            parent
+                        }
+                    })
+                    .when(is_first_message, |parent| {
+                        parent.child(self.render_rules_item(cx))
+                    })
+                    .child(styled_message)
+                    .when(is_generating && is_last_message, |this| {
+                        this.child(
+                            h_flex()
+                                .h_8()
+                                .mt_2()
+                                .mb_4()
+                                .ml_4()
+                                .py_1p5()
+                                .when_some(loading_dots, |this, loading_dots| {
+                                    this.child(loading_dots)
+                                }),
                        )
-                    },
-                )
-            })
-            .when(after_editing_message, |parent| {
-                // Backdrop to dim out the whole thread below the editing user message
-                parent.relative().child(
-                    div()
-                        .occlude()
-                        .absolute()
-                        .inset_0()
-                        .size_full()
-                        .bg(panel_background)
-                        .opacity(0.8),
-                )
-            })
+                    })
+                    .when(show_feedback, move |parent| {
+                        parent.child(feedback_items).when_some(
+                            self.open_feedback_editors.get(&message_id),
+                            move |parent, feedback_editor| {
+                                let focus_handle = feedback_editor.focus_handle(cx);
+                                parent.child(
+                                    v_flex()
+                                        .key_context("AgentFeedbackMessageEditor")
+                                        .on_action(cx.listener(
+                                            move |this, _: &menu::Cancel, _, cx| {
+                                                this.open_feedback_editors.remove(&message_id);
+                                                cx.notify();
+                                            },
+                                        ))
+                                        .on_action(cx.listener(
+                                            move |this, _: &menu::Confirm, _, cx| {
+                                                this.submit_feedback_message(message_id, cx);
+                                                cx.notify();
+                                            },
+                                        ))
+                                        .on_action(cx.listener(Self::confirm_editing_message))
+                                        .mb_2()
+                                        .mx_4()
+                                        .p_2()
+                                        .rounded_md()
+                                        .border_1()
+                                        .border_color(cx.theme().colors().border)
+                                        .bg(cx.theme().colors().editor_background)
+                                        .child(feedback_editor.clone())
+                                        .child(
+                                            h_flex()
+                                                .gap_1()
+                                                .justify_end()
+                                                .child(
+                                                    Button::new(
+                                                        "dismiss-feedback-message",
+                                                        "Cancel",
+                                                    )
+                                                    .label_size(LabelSize::Small)
+                                                    .key_binding(
+                                                        KeyBinding::for_action_in(
+                                                            &menu::Cancel,
+                                                            &focus_handle,
+                                                            window,
+                                                            cx,
+                                                        )
+                                                        .map(|kb| kb.size(rems_from_px(10.))),
+                                                    )
+                                                    .on_click(cx.listener(
+                                                        move |this, _, _window, cx| {
+                                                            this.open_feedback_editors
+                                                                .remove(&message_id);
+                                                            cx.notify();
+                                                        },
+                                                    )),
+                                                )
+                                                .child(
+                                                    Button::new(
+                                                        "submit-feedback-message",
+                                                        "Share Feedback",
+                                                    )
+                                                    .style(ButtonStyle::Tinted(
+                                                        ui::TintColor::Accent,
+                                                    ))
+                                                    .label_size(LabelSize::Small)
+                                                    .key_binding(
+                                                        KeyBinding::for_action_in(
+                                                            &menu::Confirm,
+                                                            &focus_handle,
+                                                            window,
+                                                            cx,
+                                                        )
+                                                        .map(|kb| kb.size(rems_from_px(10.))),
+                                                    )
+                                                    .on_click(cx.listener(
+                                                        move |this, _, _window, cx| {
+                                                            this.submit_feedback_message(
+                                                                message_id, cx,
+                                                            );
+                                                            cx.notify()
+                                                        },
+                                                    )),
+                                                ),
+                                        ),
+                                )
+                            },
+                        )
+                    })
+                    .when(after_editing_message, |parent| {
+                        // Backdrop to dim out the whole thread below the editing user message
+                        parent.relative().child(
+                            div()
+                                .occlude()
+                                .absolute()
+                                .inset_0()
+                                .size_full()
+                                .bg(panel_background)
+                                .opacity(0.8),
+                        )
+                    }),
+            )
            .into_any()
    }

@@ -3056,7 +3080,7 @@ impl ActiveThread {
                                            .on_click(cx.listener(
                                                move |this, event, window, cx| {
                                                    if let Some(fs) = fs.clone() {
-                                                        update_settings_file::<AssistantSettings>(
+                                                        update_settings_file::<AgentSettings>(
                                                            fs.clone(),
                                                            cx,
                                                            |settings, _| {
@@ -3252,18 +3276,15 @@ impl ActiveThread {
            .map(|tool_use| tool_use.status.clone())
        {
            self.thread.update(cx, |thread, cx| {
-                if let Some(configured) = thread.get_or_init_configured_model(cx) {
-                    thread.run_tool(
-                        c.tool_use_id.clone(),
-                        c.ui_text.clone(),
-                        c.input.clone(),
-                        &c.messages,
-                        c.tool.clone(),
-                        configured.model,
-                        Some(window.window_handle()),
-                        cx,
-                    );
-                }
+                thread.run_tool(
+                    c.tool_use_id.clone(),
+                    c.ui_text.clone(),
+                    c.input.clone(),
+                    &c.messages,
+                    c.tool.clone(),
+                    Some(window.window_handle()),
+                    cx,
+                );
            });
        }
    }
@@ -3442,11 +3463,6 @@ pub(crate) fn open_active_thread_as_markdown(
                .unwrap_or_else(|| "Thread".to_string());

            let project = workspace.project().clone();
-
-            if !project.read(cx).is_local() {
-                anyhow::bail!("failed to open active thread as markdown in remote project");
-            }
-
            let buffer = project.update(cx, |project, cx| {
                project.create_local_buffer(&markdown, Some(markdown_language), cx)
            });
@@ -3577,3 +3593,152 @@ fn open_editor_at_position(
        }
    })
 }
+
+#[cfg(test)]
+mod tests {
+    use assistant_tool::{ToolRegistry, ToolWorkingSet};
+    use editor::EditorSettings;
+    use fs::FakeFs;
+    use gpui::{TestAppContext, VisualTestContext};
+    use language_model::{LanguageModel, fake_provider::FakeLanguageModel};
+    use project::Project;
+    use prompt_store::PromptBuilder;
+    use serde_json::json;
+    use settings::SettingsStore;
+    use util::path;
+
+    use crate::{ContextLoadResult, thread_store};
+
+    use super::*;
+
+    #[gpui::test]
+    async fn test_current_completion_cancelled_when_message_edited(cx: &mut TestAppContext) {
+        init_test_settings(cx);
+
+        let project = create_test_project(
+            cx,
+            json!({"code.rs": "fn main() {\n    println!(\"Hello, world!\");\n}"}),
+        )
+        .await;
+
+        let (cx, active_thread, thread, model) = setup_test_environment(cx, project.clone()).await;
+
+        // Insert user message without any context (empty context vector)
+        let message = thread.update(cx, |thread, cx| {
+            let message_id = thread.insert_user_message(
+                "What is the best way to learn Rust?",
+                ContextLoadResult::default(),
+                None,
+                vec![],
+                cx,
+            );
+            thread
+                .message(message_id)
+                .expect("message should exist")
+                .clone()
+        });
+
+        // Stream response to user message
+        thread.update(cx, |thread, cx| {
+            let request = thread.to_completion_request(model.clone(), cx);
+            thread.stream_completion(request, model, cx.active_window(), cx)
+        });
+        let generating = thread.update(cx, |thread, _cx| thread.is_generating());
+        assert!(generating, "There should be one pending completion");
+
+        // Edit the previous message
+        active_thread.update_in(cx, |active_thread, window, cx| {
+            active_thread.start_editing_message(message.id, &message.segments, window, cx);
+        });
+
+        // Check that the stream was cancelled
+        let generating = thread.update(cx, |thread, _cx| thread.is_generating());
+        assert!(!generating, "The completion should have been cancelled");
+    }
+
+    fn init_test_settings(cx: &mut TestAppContext) {
+        cx.update(|cx| {
+            let settings_store = SettingsStore::test(cx);
+            cx.set_global(settings_store);
+            language::init(cx);
+            Project::init_settings(cx);
+            AgentSettings::register(cx);
+            prompt_store::init(cx);
+            thread_store::init(cx);
+            workspace::init_settings(cx);
+            language_model::init_settings(cx);
+            ThemeSettings::register(cx);
+            EditorSettings::register(cx);
+            ToolRegistry::default_global(cx);
+        });
+    }
+
+    // Helper to create a test project with test files
+    async fn create_test_project(
+        cx: &mut TestAppContext,
+        files: serde_json::Value,
+    ) -> Entity<Project> {
+        let fs = FakeFs::new(cx.executor());
+        fs.insert_tree(path!("/test"), files).await;
+        Project::test(fs, [path!("/test").as_ref()], cx).await
+    }
+
+    async fn setup_test_environment(
+        cx: &mut TestAppContext,
+        project: Entity<Project>,
+    ) -> (
+        &mut VisualTestContext,
+        Entity<ActiveThread>,
+        Entity<Thread>,
+        Arc<dyn LanguageModel>,
+    ) {
+        let (workspace, cx) =
+            cx.add_window_view(|window, cx| Workspace::test_new(project.clone(), window, cx));
+
+        let prompt_builder = Arc::new(PromptBuilder::new(None).unwrap());
+        let thread_store = cx
+            .update(|_, cx| {
+                ThreadStore::load(
+                    project.clone(),
+                    cx.new(|_| ToolWorkingSet::default()),
+                    None,
+                    prompt_builder.clone(),
+                    cx,
+                )
+            })
+            .await
+            .unwrap();
+        let text_thread_store = cx
+            .update(|_, cx| {
+                TextThreadStore::new(project.clone(), prompt_builder, Default::default(), cx)
+            })
+            .await
+            .unwrap();
+
+        let thread = thread_store.update(cx, |store, cx| store.create_thread(cx));
+        let context_store = cx.new(|_cx| ContextStore::new(project.downgrade(), None));
+
+        let model = FakeLanguageModel::default();
+        let model: Arc<dyn LanguageModel> = Arc::new(model);
+
+        let language_registry = LanguageRegistry::new(cx.executor());
+        let language_registry = Arc::new(language_registry);
+
+        let active_thread = cx.update(|window, cx| {
+            cx.new(|cx| {
+                ActiveThread::new(
+                    thread.clone(),
+                    thread_store.clone(),
+                    text_thread_store.clone(),
+                    context_store.clone(),
+                    language_registry.clone(),
+                    workspace.downgrade(),
+                    window,
+                    cx,
+                )
+            })
+        });
+
+        (cx, active_thread, thread, model)
+    }
+}
--- a/crates/agent/src/agent_diff.rs
+++ b/crates/agent/src/agent_diff.rs
@@ -1,8 +1,8 @@
 use crate::{
    Keep, KeepAll, OpenAgentDiff, Reject, RejectAll, Thread, ThreadEvent, ui::AnimatedLabel,
 };
+use agent_settings::AgentSettings;
 use anyhow::Result;
-use assistant_settings::AssistantSettings;
 use buffer_diff::DiffHunkStatus;
 use collections::{HashMap, HashSet};
 use editor::{
@@ -1250,9 +1250,9 @@ impl AgentDiff {

        let settings_subscription = cx.observe_global_in::<SettingsStore>(window, {
            let workspace = workspace.clone();
-            let mut was_active = AssistantSettings::get_global(cx).single_file_review;
+            let mut was_active = AgentSettings::get_global(cx).single_file_review;
            move |this, window, cx| {
-                let is_active = AssistantSettings::get_global(cx).single_file_review;
+                let is_active = AgentSettings::get_global(cx).single_file_review;
                if was_active != is_active {
                    was_active = is_active;
                    this.update_reviewing_editors(&workspace, window, cx);
@@ -1457,7 +1457,7 @@ impl AgentDiff {
        window: &mut Window,
        cx: &mut Context<Self>,
    ) {
-        if !AssistantSettings::get_global(cx).single_file_review {
+        if !AgentSettings::get_global(cx).single_file_review {
            for (editor, _) in self.reviewing_editors.drain() {
                editor
                    .update(cx, |editor, cx| editor.end_temporary_diff_override(cx))
@@ -1732,7 +1732,7 @@ impl editor::Addon for EditorAgentDiffAddon {
 mod tests {
    use super::*;
    use crate::{Keep, ThreadStore, thread_store};
-    use assistant_settings::AssistantSettings;
+    use agent_settings::AgentSettings;
    use assistant_tool::ToolWorkingSet;
    use editor::EditorSettings;
    use gpui::{TestAppContext, UpdateGlobal, VisualTestContext};
@@ -1751,7 +1751,7 @@ mod tests {
            cx.set_global(settings_store);
            language::init(cx);
            Project::init_settings(cx);
-            AssistantSettings::register(cx);
+            AgentSettings::register(cx);
            prompt_store::init(cx);
            thread_store::init(cx);
            workspace::init_settings(cx);
@@ -1907,7 +1907,7 @@ mod tests {
            cx.set_global(settings_store);
            language::init(cx);
            Project::init_settings(cx);
-            AssistantSettings::register(cx);
+            AgentSettings::register(cx);
            prompt_store::init(cx);
            thread_store::init(cx);
            workspace::init_settings(cx);
--- a/crates/agent/src/assistant.rs
+++ b/crates/agent/src/assistant.rs
@@ -27,8 +27,10 @@ mod ui;

 use std::sync::Arc;

-use assistant_settings::{AgentProfileId, AssistantSettings};
+use agent_settings::{AgentProfileId, AgentSettings};
 use client::Client;
+use command_palette_hooks::CommandPaletteFilter;
+use feature_flags::{Assistant2FeatureFlag, FeatureFlagAppExt};
 use fs::Fs;
 use gpui::{App, actions, impl_actions};
 use language::LanguageRegistry;
@@ -105,6 +107,8 @@ impl ManageProfiles {

 impl_actions!(agent, [NewThread, ManageProfiles]);

+const NAMESPACE: &str = "agent";
+
 /// Initializes the `agent` crate.
 pub fn init(
    fs: Arc<dyn Fs>,
@@ -113,7 +117,7 @@ pub fn init(
    language_registry: Arc<LanguageRegistry>,
    cx: &mut App,
 ) {
-    AssistantSettings::register(cx);
+    AgentSettings::register(cx);
    thread_store::init(cx);
    assistant_panel::init(cx);
    context_server_configuration::init(language_registry, cx);
@@ -132,4 +136,25 @@ pub fn init(
    );
    cx.observe_new(AddContextServerModal::register).detach();
    cx.observe_new(ManageProfilesModal::register).detach();
+
+    feature_gate_agent_actions(cx);
+}
+
+fn feature_gate_agent_actions(cx: &mut App) {
+    CommandPaletteFilter::update_global(cx, |filter, _cx| {
+        filter.hide_namespace(NAMESPACE);
+    });
+
+    cx.observe_flag::<Assistant2FeatureFlag, _>(move |is_enabled, cx| {
+        if is_enabled {
+            CommandPaletteFilter::update_global(cx, |filter, _cx| {
+                filter.show_namespace(NAMESPACE);
+            });
+        } else {
+            CommandPaletteFilter::update_global(cx, |filter, _cx| {
+                filter.hide_namespace(NAMESPACE);
+            });
+        }
+    })
+    .detach();
 }
--- a/crates/agent/src/assistant_configuration.rs
+++ b/crates/agent/src/assistant_configuration.rs
@@ -5,7 +5,7 @@ mod tool_picker;

 use std::{sync::Arc, time::Duration};

-use assistant_settings::AssistantSettings;
+use agent_settings::AgentSettings;
 use assistant_tool::{ToolSource, ToolWorkingSet};
 use collections::HashMap;
 use context_server::ContextServerId;
@@ -213,7 +213,7 @@ impl AssistantConfiguration {
    }

    fn render_command_permission(&mut self, cx: &mut Context<Self>) -> impl IntoElement {
-        let always_allow_tool_actions = AssistantSettings::get_global(cx).always_allow_tool_actions;
+        let always_allow_tool_actions = AgentSettings::get_global(cx).always_allow_tool_actions;

        h_flex()
            .gap_4()
@@ -241,7 +241,7 @@ impl AssistantConfiguration {
                    let fs = self.fs.clone();
                    move |state, _window, cx| {
                        let allow = state == &ToggleState::Selected;
-                        update_settings_file::<AssistantSettings>(
+                        update_settings_file::<AgentSettings>(
                            fs.clone(),
                            cx,
                            move |settings, _| {
@@ -254,7 +254,7 @@ impl AssistantConfiguration {
    }

    fn render_single_file_review(&mut self, cx: &mut Context<Self>) -> impl IntoElement {
-        let single_file_review = AssistantSettings::get_global(cx).single_file_review;
+        let single_file_review = AgentSettings::get_global(cx).single_file_review;

        h_flex()
            .gap_4()
@@ -279,7 +279,7 @@ impl AssistantConfiguration {
                        let fs = self.fs.clone();
                        move |state, _window, cx| {
                            let allow = state == &ToggleState::Selected;
-                            update_settings_file::<AssistantSettings>(
+                            update_settings_file::<AgentSettings>(
                                fs.clone(),
                                cx,
                                move |settings, _| {
--- a/crates/agent/src/assistant_configuration/manage_profiles_modal.rs
+++ b/crates/agent/src/assistant_configuration/manage_profiles_modal.rs
@@ -2,7 +2,7 @@ mod profile_modal_header;

 use std::sync::Arc;

-use assistant_settings::{AgentProfile, AgentProfileId, AssistantSettings, builtin_profiles};
+use agent_settings::{AgentProfile, AgentProfileId, AgentSettings, builtin_profiles};
 use assistant_tool::ToolWorkingSet;
 use convert_case::{Case, Casing as _};
 use editor::Editor;
@@ -42,7 +42,7 @@ enum Mode {

 impl Mode {
    pub fn choose_profile(_window: &mut Window, cx: &mut Context<ManageProfilesModal>) -> Self {
-        let settings = AssistantSettings::get_global(cx);
+        let settings = AgentSettings::get_global(cx);

        let mut builtin_profiles = Vec::new();
        let mut custom_profiles = Vec::new();
@@ -196,7 +196,7 @@ impl ManageProfilesModal {
        window: &mut Window,
        cx: &mut Context<Self>,
    ) {
-        let settings = AssistantSettings::get_global(cx);
+        let settings = AgentSettings::get_global(cx);
        let Some(profile) = settings.profiles.get(&profile_id).cloned() else {
            return;
        };
@@ -234,7 +234,7 @@ impl ManageProfilesModal {
        window: &mut Window,
        cx: &mut Context<Self>,
    ) {
-        let settings = AssistantSettings::get_global(cx);
+        let settings = AgentSettings::get_global(cx);
        let Some(profile) = settings.profiles.get(&profile_id).cloned() else {
            return;
        };
@@ -270,7 +270,7 @@ impl ManageProfilesModal {
        match &self.mode {
            Mode::ChooseProfile { .. } => {}
            Mode::NewProfile(mode) => {
-                let settings = AssistantSettings::get_global(cx);
+                let settings = AgentSettings::get_global(cx);

                let base_profile = mode
                    .base_profile_id
@@ -332,7 +332,7 @@ impl ManageProfilesModal {
        profile: AgentProfile,
        cx: &mut Context<Self>,
    ) {
-        update_settings_file::<AssistantSettings>(self.fs.clone(), cx, {
+        update_settings_file::<AgentSettings>(self.fs.clone(), cx, {
            move |settings, _cx| {
                settings.create_profile(profile_id, profile).log_err();
            }
@@ -485,7 +485,7 @@ impl ManageProfilesModal {
        _window: &mut Window,
        cx: &mut Context<Self>,
    ) -> impl IntoElement {
-        let settings = AssistantSettings::get_global(cx);
+        let settings = AgentSettings::get_global(cx);

        let base_profile_name = mode.base_profile_id.as_ref().map(|base_profile_id| {
            settings
@@ -518,7 +518,7 @@ impl ManageProfilesModal {
        window: &mut Window,
        cx: &mut Context<Self>,
    ) -> impl IntoElement {
-        let settings = AssistantSettings::get_global(cx);
+        let settings = AgentSettings::get_global(cx);

        let profile_id = &settings.default_profile;
        let profile_name = settings
@@ -704,7 +704,7 @@ impl ManageProfilesModal {

 impl Render for ManageProfilesModal {
    fn render(&mut self, window: &mut Window, cx: &mut Context<Self>) -> impl IntoElement {
-        let settings = AssistantSettings::get_global(cx);
+        let settings = AgentSettings::get_global(cx);

        let go_back_item = div()
            .id("cancel-item")
--- a/crates/agent/src/assistant_configuration/tool_picker.rs
+++ b/crates/agent/src/assistant_configuration/tool_picker.rs
@@ -1,7 +1,7 @@
 use std::{collections::BTreeMap, sync::Arc};

-use assistant_settings::{
-    AgentProfile, AgentProfileContent, AgentProfileId, AssistantSettings, AssistantSettingsContent,
+use agent_settings::{
+    AgentProfile, AgentProfileContent, AgentProfileId, AgentSettings, AgentSettingsContent,
    ContextServerPresetContent,
 };
 use assistant_tool::{ToolSource, ToolWorkingSet};
@@ -259,7 +259,7 @@ impl PickerDelegate for ToolPickerDelegate {
            is_enabled
        };

-        let active_profile_id = &AssistantSettings::get_global(cx).default_profile;
+        let active_profile_id = &AgentSettings::get_global(cx).default_profile;
        if active_profile_id == &self.profile_id {
            self.thread_store
                .update(cx, |this, cx| {
@@ -268,12 +268,12 @@ impl PickerDelegate for ToolPickerDelegate {
                .log_err();
        }

-        update_settings_file::<AssistantSettings>(self.fs.clone(), cx, {
+        update_settings_file::<AgentSettings>(self.fs.clone(), cx, {
            let profile_id = self.profile_id.clone();
            let default_profile = self.profile.clone();
            let server_id = server_id.clone();
            let tool_name = tool_name.clone();
-            move |settings: &mut AssistantSettingsContent, _cx| {
+            move |settings: &mut AgentSettingsContent, _cx| {
                settings
                    .v2_setting(|v2_settings| {
                        let profiles = v2_settings.profiles.get_or_insert_default();
--- a/crates/agent/src/assistant_model_selector.rs
+++ b/crates/agent/src/assistant_model_selector.rs
@@ -1,4 +1,4 @@
-use assistant_settings::AssistantSettings;
+use agent_settings::AgentSettings;
 use fs::Fs;
 use gpui::{Entity, FocusHandle, SharedString};

@@ -63,7 +63,7 @@ impl AssistantModelSelector {
                                        );
                                    }
                                });
-                                update_settings_file::<AssistantSettings>(
+                                update_settings_file::<AgentSettings>(
                                    fs.clone(),
                                    cx,
                                    move |settings, _cx| {
@@ -72,7 +72,7 @@ impl AssistantModelSelector {
                                );
                            }
                            ModelType::InlineAssistant => {
-                                update_settings_file::<AssistantSettings>(
+                                update_settings_file::<AgentSettings>(
                                    fs.clone(),
                                    cx,
                                    move |settings, _cx| {
--- a/crates/agent/src/assistant_panel.rs
+++ b/crates/agent/src/assistant_panel.rs
@@ -7,13 +7,13 @@ use db::kvp::KEY_VALUE_STORE;
 use markdown::Markdown;
 use serde::{Deserialize, Serialize};

+use agent_settings::{AgentDockPosition, AgentSettings};
 use anyhow::{Result, anyhow};
 use assistant_context_editor::{
    AssistantContext, AssistantPanelDelegate, ConfigurationError, ContextEditor, ContextEvent,
    SlashCommandCompletionProvider, humanize_token_count, make_lsp_adapter_delegate,
    render_remaining_tokens,
 };
-use assistant_settings::{AssistantDockPosition, AssistantSettings};
 use assistant_slash_command::SlashCommandWorkingSet;
 use assistant_tool::ToolWorkingSet;

@@ -39,7 +39,6 @@ use search::{BufferSearchBar, buffer_search};
 use settings::{Settings, update_settings_file};
 use theme::ThemeSettings;
 use time::UtcOffset;
-use ui::utils::WithRemSize;
 use ui::{
    Banner, CheckboxWithLabel, ContextMenu, KeyBinding, PopoverMenu, PopoverMenuHandle,
    ProgressBar, Tab, Tooltip, Vector, VectorName, prelude::*,
@@ -47,7 +46,7 @@ use ui::{
 use util::{ResultExt as _, maybe};
 use workspace::dock::{DockPosition, Panel, PanelEvent};
 use workspace::{CollaboratorId, DraggedSelection, DraggedTab, ToolbarItemView, Workspace};
-use zed_actions::agent::{OpenConfiguration, OpenOnboardingModal, ResetOnboarding};
+use zed_actions::agent::OpenConfiguration;
 use zed_actions::assistant::{OpenRulesLibrary, ToggleFocus};
 use zed_actions::{DecreaseBufferFontSize, IncreaseBufferFontSize, ResetBufferFontSize};
 use zed_llm_client::UsageLimit;
@@ -60,7 +59,6 @@ use crate::message_editor::{MessageEditor, MessageEditorEvent};
 use crate::thread::{Thread, ThreadError, ThreadId, TokenUsageRatio};
 use crate::thread_history::{EntryTimeFormat, PastContext, PastThread, ThreadHistory};
 use crate::thread_store::ThreadStore;
-use crate::ui::AgentOnboardingModal;
 use crate::{
    AddContextServer, AgentDiffPane, ContextStore, DeleteRecentlyOpenThread, ExpandMessageEditor,
    Follow, InlineAssistant, NewTextThread, NewThread, OpenActiveThreadAsMarkdown, OpenAgentDiff,
@@ -147,13 +145,6 @@ pub fn init(cx: &mut App) {
                        });
                    }
                })
-                .register_action(|workspace, _: &OpenOnboardingModal, window, cx| {
-                    AgentOnboardingModal::toggle(workspace, window, cx)
-                })
-                .register_action(|_workspace, _: &ResetOnboarding, window, cx| {
-                    window.dispatch_action(workspace::RestoreBanner.boxed_clone(), cx);
-                    window.refresh();
-                })
                .register_action(|_workspace, _: &ResetTrialUpsell, _window, cx| {
                    set_trial_upsell_dismissed(false, cx);
                });
@@ -178,21 +169,7 @@ enum ActiveView {
    Configuration,
 }

-enum WhichFontSize {
-    AgentFont,
-    BufferFont,
-    None,
-}
-
 impl ActiveView {
-    pub fn which_font_size_used(&self) -> WhichFontSize {
-        match self {
-            ActiveView::Thread { .. } | ActiveView::History => WhichFontSize::AgentFont,
-            ActiveView::PromptEditor { .. } => WhichFontSize::BufferFont,
-            ActiveView::Configuration => WhichFontSize::None,
-        }
-    }
-
    pub fn thread(thread: Entity<Thread>, window: &mut Window, cx: &mut App) -> Self {
        let summary = thread.read(cx).summary_or_default();

@@ -510,7 +487,6 @@ impl AssistantPanel {
                thread_store.clone(),
                context_store.clone(),
                [RecentEntry::Thread(thread_id, thread.clone())],
-                window,
                cx,
            )
        });
@@ -765,9 +741,9 @@ impl AssistantPanel {
        });

        if let Some(other_thread_id) = action.from_thread_id.clone() {
-            let other_thread_task = self.thread_store.update(cx, |this, cx| {
-                this.open_thread(&other_thread_id, window, cx)
-            });
+            let other_thread_task = self
+                .thread_store
+                .update(cx, |this, cx| this.open_thread(&other_thread_id, cx));

            cx.spawn({
                let context_store = context_store.clone();
@@ -968,7 +944,7 @@ impl AssistantPanel {
    ) -> Task<Result<()>> {
        let open_thread_task = self
            .thread_store
-            .update(cx, |this, cx| this.open_thread(thread_id, window, cx));
+            .update(cx, |this, cx| this.open_thread(thread_id, cx));
        cx.spawn_in(window, async move |this, cx| {
            let thread = open_thread_task.await?;
            this.update_in(cx, |this, window, cx| {
@@ -1088,7 +1064,7 @@ impl AssistantPanel {
        _: &mut Window,
        cx: &mut Context<Self>,
    ) {
-        self.handle_font_size_action(action.persist, px(1.0), cx);
+        self.adjust_font_size(action.persist, px(1.0), cx);
    }

    pub fn decrease_font_size(
@@ -1097,36 +1073,21 @@ impl AssistantPanel {
        _: &mut Window,
        cx: &mut Context<Self>,
    ) {
-        self.handle_font_size_action(action.persist, px(-1.0), cx);
+        self.adjust_font_size(action.persist, px(-1.0), cx);
    }

-    fn handle_font_size_action(&mut self, persist: bool, delta: Pixels, cx: &mut Context<Self>) {
-        match self.active_view.which_font_size_used() {
-            WhichFontSize::AgentFont => {
-                if persist {
-                    update_settings_file::<ThemeSettings>(
-                        self.fs.clone(),
-                        cx,
-                        move |settings, cx| {
-                            let agent_font_size =
-                                ThemeSettings::get_global(cx).agent_font_size(cx) + delta;
-                            let _ = settings
-                                .agent_font_size
-                                .insert(theme::clamp_font_size(agent_font_size).0);
-                        },
-                    );
-                } else {
-                    theme::adjust_agent_font_size(cx, |size| {
-                        *size += delta;
-                    });
-                }
-            }
-            WhichFontSize::BufferFont => {
-                // Prompt editor uses the buffer font size, so allow the action to propagate to the
-                // default handler that changes that font size.
-                cx.propagate();
-            }
-            WhichFontSize::None => {}
+    fn adjust_font_size(&mut self, persist: bool, delta: Pixels, cx: &mut Context<Self>) {
+        if persist {
+            update_settings_file::<ThemeSettings>(self.fs.clone(), cx, move |settings, cx| {
+                let agent_font_size = ThemeSettings::get_global(cx).agent_font_size(cx) + delta;
+                let _ = settings
+                    .agent_font_size
+                    .insert(theme::clamp_font_size(agent_font_size).0);
+            });
+        } else {
+            theme::adjust_agent_font_size(cx, |size| {
+                *size += delta;
+            });
        }
    }

@@ -1218,7 +1179,7 @@ impl AssistantPanel {
                    .map_or(true, |model| model.provider.id() != provider.id())
                {
                    if let Some(model) = provider.default_model(cx) {
-                        update_settings_file::<AssistantSettings>(
+                        update_settings_file::<AgentSettings>(
                            self.fs.clone(),
                            cx,
                            move |settings, _| settings.set_model(model),
@@ -1337,10 +1298,10 @@ impl Focusable for AssistantPanel {
 }

 fn agent_panel_dock_position(cx: &App) -> DockPosition {
-    match AssistantSettings::get_global(cx).dock {
-        AssistantDockPosition::Left => DockPosition::Left,
-        AssistantDockPosition::Bottom => DockPosition::Bottom,
-        AssistantDockPosition::Right => DockPosition::Right,
+    match AgentSettings::get_global(cx).dock {
+        AgentDockPosition::Left => DockPosition::Left,
+        AgentDockPosition::Bottom => DockPosition::Bottom,
+        AgentDockPosition::Right => DockPosition::Right,
    }
 }

@@ -1364,22 +1325,18 @@ impl Panel for AssistantPanel {
            message_editor.set_dock_position(position, cx);
        });

-        settings::update_settings_file::<AssistantSettings>(
-            self.fs.clone(),
-            cx,
-            move |settings, _| {
-                let dock = match position {
-                    DockPosition::Left => AssistantDockPosition::Left,
-                    DockPosition::Bottom => AssistantDockPosition::Bottom,
-                    DockPosition::Right => AssistantDockPosition::Right,
-                };
-                settings.set_dock(dock);
-            },
-        );
+        settings::update_settings_file::<AgentSettings>(self.fs.clone(), cx, move |settings, _| {
+            let dock = match position {
+                DockPosition::Left => AgentDockPosition::Left,
+                DockPosition::Bottom => AgentDockPosition::Bottom,
+                DockPosition::Right => AgentDockPosition::Right,
+            };
+            settings.set_dock(dock);
+        });
    }

    fn size(&self, window: &Window, cx: &App) -> Pixels {
-        let settings = AssistantSettings::get_global(cx);
+        let settings = AgentSettings::get_global(cx);
        match self.position(window, cx) {
            DockPosition::Left | DockPosition::Right => {
                self.width.unwrap_or(settings.default_width)
@@ -1404,8 +1361,7 @@ impl Panel for AssistantPanel {
    }

    fn icon(&self, _window: &Window, cx: &App) -> Option<IconName> {
-        (self.enabled(cx) && AssistantSettings::get_global(cx).button)
-            .then_some(IconName::ZedAssistant)
+        (self.enabled(cx) && AgentSettings::get_global(cx).button).then_some(IconName::ZedAssistant)
    }

    fn icon_tooltip(&self, _window: &Window, _cx: &App) -> Option<&'static str> {
@@ -1421,7 +1377,7 @@ impl Panel for AssistantPanel {
    }

    fn enabled(&self, cx: &App) -> bool {
-        AssistantSettings::get_global(cx).enabled
+        AgentSettings::get_global(cx).enabled
    }
 }

@@ -1844,10 +1800,6 @@ impl AssistantPanel {
    }

    fn should_render_upsell(&self, cx: &mut Context<Self>) -> bool {
-        if !matches!(self.active_view, ActiveView::Thread { .. }) {
-            return false;
-        }
-
        if self.hide_trial_upsell || dismissed_trial_upsell() {
            return false;
        }
@@ -2591,46 +2543,6 @@ impl AssistantPanel {
            .into_any()
    }

-    fn render_prompt_editor(
-        &self,
-        context_editor: &Entity<ContextEditor>,
-        buffer_search_bar: &Entity<BufferSearchBar>,
-        window: &mut Window,
-        cx: &mut Context<Self>,
-    ) -> Div {
-        let mut registrar = buffer_search::DivRegistrar::new(
-            |this, _, _cx| match &this.active_view {
-                ActiveView::PromptEditor {
-                    buffer_search_bar, ..
-                } => Some(buffer_search_bar.clone()),
-                _ => None,
-            },
-            cx,
-        );
-        BufferSearchBar::register(&mut registrar);
-        registrar
-            .into_div()
-            .size_full()
-            .relative()
-            .map(|parent| {
-                buffer_search_bar.update(cx, |buffer_search_bar, cx| {
-                    if buffer_search_bar.is_dismissed() {
-                        return parent;
-                    }
-                    parent.child(
-                        div()
-                            .p(DynamicSpacing::Base08.rems(cx))
-                            .border_b_1()
-                            .border_color(cx.theme().colors().border_variant)
-                            .bg(cx.theme().colors().editor_background)
-                            .child(buffer_search_bar.render(window, cx)),
-                    )
-                })
-            })
-            .child(context_editor.clone())
-            .child(self.render_drag_target(cx))
-    }
-
    fn render_drag_target(&self, cx: &Context<Self>) -> Div {
        let is_local = self.project.read(cx).is_local();
        div()
@@ -2754,41 +2666,6 @@ impl AssistantPanel {

 impl Render for AssistantPanel {
    fn render(&mut self, window: &mut Window, cx: &mut Context<Self>) -> impl IntoElement {
-        let content = match &self.active_view {
-            ActiveView::Thread { .. } => v_flex()
-                .relative()
-                .justify_between()
-                .size_full()
-                .child(self.render_active_thread_or_empty_state(window, cx))
-                .children(self.render_tool_use_limit_reached(cx))
-                .child(h_flex().child(self.message_editor.clone()))
-                .children(self.render_last_error(cx))
-                .child(self.render_drag_target(cx))
-                .into_any(),
-            ActiveView::History => self.history.clone().into_any_element(),
-            ActiveView::PromptEditor {
-                context_editor,
-                buffer_search_bar,
-                ..
-            } => self
-                .render_prompt_editor(context_editor, buffer_search_bar, window, cx)
-                .into_any(),
-            ActiveView::Configuration => v_flex()
-                .size_full()
-                .children(self.configuration.clone())
-                .into_any(),
-        };
-
-        let content = match self.active_view.which_font_size_used() {
-            WhichFontSize::AgentFont => {
-                WithRemSize::new(ThemeSettings::get_global(cx).agent_font_size(cx))
-                    .size_full()
-                    .child(content)
-                    .into_any()
-            }
-            _ => content,
-        };
-
        v_flex()
            .key_context(self.key_context())
            .justify_between()
@@ -2814,7 +2691,60 @@ impl Render for AssistantPanel {
            .on_action(cx.listener(Self::reset_font_size))
            .child(self.render_toolbar(window, cx))
            .children(self.render_trial_upsell(window, cx))
-            .child(content)
+            .map(|parent| match &self.active_view {
+                ActiveView::Thread { .. } => parent.child(
+                    v_flex()
+                        .relative()
+                        .justify_between()
+                        .size_full()
+                        .child(self.render_active_thread_or_empty_state(window, cx))
+                        .children(self.render_tool_use_limit_reached(cx))
+                        .child(h_flex().child(self.message_editor.clone()))
+                        .children(self.render_last_error(cx))
+                        .child(self.render_drag_target(cx)),
+                ),
+                ActiveView::History => parent.child(self.history.clone()),
+                ActiveView::PromptEditor {
+                    context_editor,
+                    buffer_search_bar,
+                    ..
+                } => {
+                    let mut registrar = buffer_search::DivRegistrar::new(
+                        |this, _, _cx| match &this.active_view {
+                            ActiveView::PromptEditor {
+                                buffer_search_bar, ..
+                            } => Some(buffer_search_bar.clone()),
+                            _ => None,
+                        },
+                        cx,
+                    );
+                    BufferSearchBar::register(&mut registrar);
+                    parent.child(
+                        registrar
+                            .into_div()
+                            .size_full()
+                            .relative()
+                            .map(|parent| {
+                                buffer_search_bar.update(cx, |buffer_search_bar, cx| {
+                                    if buffer_search_bar.is_dismissed() {
+                                        return parent;
+                                    }
+                                    parent.child(
+                                        div()
+                                            .p(DynamicSpacing::Base08.rems(cx))
+                                            .border_b_1()
+                                            .border_color(cx.theme().colors().border_variant)
+                                            .bg(cx.theme().colors().editor_background)
+                                            .child(buffer_search_bar.render(window, cx)),
+                                    )
+                                })
+                            })
+                            .child(context_editor.clone())
+                            .child(self.render_drag_target(cx)),
+                    )
+                }
+                ActiveView::Configuration => parent.children(self.configuration.clone()),
+            })
    }
 }

--- a/crates/agent/src/buffer_codegen.rs
+++ b/crates/agent/src/buffer_codegen.rs
@@ -2,7 +2,6 @@ use crate::context::ContextLoadResult;
 use crate::inline_prompt_editor::CodegenStatus;
 use crate::{context::load_context, context_store::ContextStore};
 use anyhow::Result;
-use assistant_settings::AssistantSettings;
 use client::telemetry::Telemetry;
 use collections::HashSet;
 use editor::{Anchor, AnchorRangeExt, MultiBuffer, MultiBufferSnapshot, ToOffset as _, ToPoint};
@@ -384,7 +383,7 @@ impl CodegenAlternative {
            if user_prompt.trim().to_lowercase() == "delete" {
                async { Ok(LanguageModelTextStream::default()) }.boxed_local()
            } else {
-                let request = self.build_request(&model, user_prompt, cx)?;
+                let request = self.build_request(user_prompt, cx)?;
                cx.spawn(async move |_, cx| model.stream_completion_text(request.await, &cx).await)
                    .boxed_local()
            };
@@ -394,7 +393,6 @@ impl CodegenAlternative {

    fn build_request(
        &self,
-        model: &Arc<dyn LanguageModel>,
        user_prompt: String,
        cx: &mut App,
    ) -> Result<Task<LanguageModelRequest>> {
@@ -443,8 +441,6 @@ impl CodegenAlternative {
            }
        });

-        let temperature = AssistantSettings::temperature_for_model(&model, cx);
-
        Ok(cx.spawn(async move |_cx| {
            let mut request_message = LanguageModelRequestMessage {
                role: Role::User,
@@ -467,7 +463,7 @@ impl CodegenAlternative {
                mode: None,
                tools: Vec::new(),
                stop: Vec::new(),
-                temperature,
+                temperature: None,
                messages: vec![request_message],
            }
        }))
--- a/crates/agent/src/context_picker.rs
+++ b/crates/agent/src/context_picker.rs
@@ -425,9 +425,9 @@ impl ContextPicker {
                        render_thread_context_entry(&view_thread, context_store.clone(), cx)
                            .into_any()
                    },
-                    move |window, cx| {
+                    move |_window, cx| {
                        context_picker.update(cx, |this, cx| {
-                            this.add_recent_thread(thread.clone(), window, cx)
+                            this.add_recent_thread(thread.clone(), cx)
                                .detach_and_log_err(cx);
                        })
                    },
@@ -459,7 +459,6 @@ impl ContextPicker {
    fn add_recent_thread(
        &self,
        entry: ThreadContextEntry,
-        window: &mut Window,
        cx: &mut Context<Self>,
    ) -> Task<Result<()>> {
        let Some(context_store) = self.context_store.upgrade() else {
@@ -477,7 +476,7 @@ impl ContextPicker {
                };

                let open_thread_task =
-                    thread_store.update(cx, |this, cx| this.open_thread(&id, window, cx));
+                    thread_store.update(cx, |this, cx| this.open_thread(&id, cx));
                cx.spawn(async move |this, cx| {
                    let thread = open_thread_task.await?;
                    context_store.update(cx, |context_store, cx| {
--- a/crates/agent/src/context_picker/completion_provider.rs
+++ b/crates/agent/src/context_picker/completion_provider.rs
@@ -438,15 +438,15 @@ impl ContextPickerCompletionProvider {
                new_text_len,
                editor.clone(),
                context_store.clone(),
-                move |window, cx| match &thread_entry {
+                move |cx| match &thread_entry {
                    ThreadContextEntry::Thread { id, .. } => {
                        let thread_id = id.clone();
                        let context_store = context_store.clone();
                        let thread_store = thread_store.clone();
-                        window.spawn::<_, Option<_>>(cx, async move |cx| {
+                        cx.spawn::<_, Option<_>>(async move |cx| {
                            let thread: Entity<Thread> = thread_store
-                                .update_in(cx, |thread_store, window, cx| {
-                                    thread_store.open_thread(&thread_id, window, cx)
+                                .update(cx, |thread_store, cx| {
+                                    thread_store.open_thread(&thread_id, cx)
                                })
                                .ok()?
                                .await
@@ -507,7 +507,7 @@ impl ContextPickerCompletionProvider {
                new_text_len,
                editor.clone(),
                context_store.clone(),
-                move |_, cx| {
+                move |cx| {
                    let user_prompt_id = rules.prompt_id;
                    let context = context_store.update(cx, |context_store, cx| {
                        context_store.add_rules(user_prompt_id, false, cx)
@@ -544,7 +544,7 @@ impl ContextPickerCompletionProvider {
                new_text_len,
                editor.clone(),
                context_store.clone(),
-                move |_, cx| {
+                move |cx| {
                    let context_store = context_store.clone();
                    let http_client = http_client.clone();
                    let url_to_fetch = url_to_fetch.clone();
@@ -629,7 +629,7 @@ impl ContextPickerCompletionProvider {
                new_text_len,
                editor,
                context_store.clone(),
-                move |_, cx| {
+                move |cx| {
                    if is_directory {
                        Task::ready(
                            context_store
@@ -700,7 +700,7 @@ impl ContextPickerCompletionProvider {
                new_text_len,
                editor.clone(),
                context_store.clone(),
-                move |_, cx| {
+                move |cx| {
                    let symbol = symbol.clone();
                    let context_store = context_store.clone();
                    let workspace = workspace.clone();
@@ -954,13 +954,10 @@ fn confirm_completion_callback(
    content_len: usize,
    editor: Entity<Editor>,
    context_store: Entity<ContextStore>,
-    add_context_fn: impl Fn(&mut Window, &mut App) -> Task<Option<AgentContextHandle>>
-    + Send
-    + Sync
-    + 'static,
+    add_context_fn: impl Fn(&mut App) -> Task<Option<AgentContextHandle>> + Send + Sync + 'static,
 ) -> Arc<dyn Fn(CompletionIntent, &mut Window, &mut App) -> bool + Send + Sync> {
    Arc::new(move |_, window, cx| {
-        let context = add_context_fn(window, cx);
+        let context = add_context_fn(cx);

        let crease_text = crease_text.clone();
        let crease_icon_path = crease_icon_path.clone();
--- a/crates/agent/src/context_picker/thread_context_picker.rs
+++ b/crates/agent/src/context_picker/thread_context_picker.rs
@@ -154,7 +154,7 @@ impl PickerDelegate for ThreadContextPickerDelegate {
        })
    }

-    fn confirm(&mut self, _secondary: bool, window: &mut Window, cx: &mut Context<Picker<Self>>) {
+    fn confirm(&mut self, _secondary: bool, _window: &mut Window, cx: &mut Context<Picker<Self>>) {
        let Some(entry) = self.matches.get(self.selected_index) else {
            return;
        };
@@ -165,7 +165,7 @@ impl PickerDelegate for ThreadContextPickerDelegate {
                    return;
                };
                let open_thread_task =
-                    thread_store.update(cx, |this, cx| this.open_thread(&id, window, cx));
+                    thread_store.update(cx, |this, cx| this.open_thread(&id, cx));

                cx.spawn(async move |this, cx| {
                    let thread = open_thread_task.await?;
--- a/crates/agent/src/context_server_tool.rs
+++ b/crates/agent/src/context_server_tool.rs
@@ -4,7 +4,7 @@ use anyhow::{Result, anyhow, bail};
 use assistant_tool::{ActionLog, Tool, ToolResult, ToolSource};
 use context_server::{ContextServerId, types};
 use gpui::{AnyWindowHandle, App, Entity, Task};
-use language_model::{LanguageModel, LanguageModelRequestMessage, LanguageModelToolSchemaFormat};
+use language_model::{LanguageModelRequestMessage, LanguageModelToolSchemaFormat};
 use project::{Project, context_server_store::ContextServerStore};
 use ui::IconName;

@@ -75,7 +75,6 @@ impl Tool for ContextServerTool {
        _messages: &[LanguageModelRequestMessage],
        _project: Entity<Project>,
        _action_log: Entity<ActionLog>,
-        _model: Arc<dyn LanguageModel>,
        _window: Option<AnyWindowHandle>,
        cx: &mut App,
    ) -> ToolResult {
@@ -116,7 +115,7 @@ impl Tool for ContextServerTool {
                        }
                    }
                }
-                Ok(result.into())
+                Ok(result)
            })
            .into()
        } else {
--- a/crates/agent/src/history_store.rs
+++ b/crates/agent/src/history_store.rs
@@ -8,7 +8,7 @@ use gpui::{Entity, Task, prelude::*};
 use serde::{Deserialize, Serialize};
 use smol::future::FutureExt;
 use std::time::Duration;
-use ui::{App, SharedString, Window};
+use ui::{App, SharedString};
 use util::ResultExt as _;

 use crate::{
@@ -82,7 +82,6 @@ impl HistoryStore {
        thread_store: Entity<ThreadStore>,
        context_store: Entity<assistant_context_editor::ContextStore>,
        initial_recent_entries: impl IntoIterator<Item = RecentEntry>,
-        window: &mut Window,
        cx: &mut Context<Self>,
    ) -> Self {
        let subscriptions = vec![
@@ -90,62 +89,56 @@ impl HistoryStore {
            cx.observe(&context_store, |_, _, cx| cx.notify()),
        ];

-        window
-            .spawn(cx, {
-                let thread_store = thread_store.downgrade();
-                let context_store = context_store.downgrade();
-                let this = cx.weak_entity();
-                async move |cx| {
-                    let path = paths::data_dir().join(NAVIGATION_HISTORY_PATH);
-                    let contents = cx
-                        .background_spawn(async move { std::fs::read_to_string(path) })
-                        .await
-                        .ok()?;
-                    let entries = serde_json::from_str::<Vec<SerializedRecentEntry>>(&contents)
-                        .context("deserializing persisted agent panel navigation history")
-                        .log_err()?
-                        .into_iter()
-                        .take(MAX_RECENTLY_OPENED_ENTRIES)
-                        .map(|serialized| match serialized {
-                            SerializedRecentEntry::Thread(id) => thread_store
-                                .update_in(cx, |thread_store, window, cx| {
-                                    let thread_id = ThreadId::from(id.as_str());
-                                    thread_store
-                                        .open_thread(&thread_id, window, cx)
-                                        .map_ok(|thread| RecentEntry::Thread(thread_id, thread))
-                                        .boxed()
-                                })
-                                .unwrap_or_else(|_| {
-                                    async { Err(anyhow!("no thread store")) }.boxed()
-                                }),
-                            SerializedRecentEntry::Context(id) => context_store
-                                .update(cx, |context_store, cx| {
-                                    context_store
-                                        .open_local_context(Path::new(&id).into(), cx)
-                                        .map_ok(RecentEntry::Context)
-                                        .boxed()
-                                })
-                                .unwrap_or_else(|_| {
-                                    async { Err(anyhow!("no context store")) }.boxed()
-                                }),
-                        });
-                    let entries = join_all(entries)
-                        .await
-                        .into_iter()
-                        .filter_map(|result| result.log_err())
-                        .collect::<VecDeque<_>>();
+        cx.spawn({
+            let thread_store = thread_store.downgrade();
+            let context_store = context_store.downgrade();
+            async move |this, cx| {
+                let path = paths::data_dir().join(NAVIGATION_HISTORY_PATH);
+                let contents = cx
+                    .background_spawn(async move { std::fs::read_to_string(path) })
+                    .await
+                    .ok()?;
+                let entries = serde_json::from_str::<Vec<SerializedRecentEntry>>(&contents)
+                    .context("deserializing persisted agent panel navigation history")
+                    .log_err()?
+                    .into_iter()
+                    .take(MAX_RECENTLY_OPENED_ENTRIES)
+                    .map(|serialized| match serialized {
+                        SerializedRecentEntry::Thread(id) => thread_store
+                            .update(cx, |thread_store, cx| {
+                                let thread_id = ThreadId::from(id.as_str());
+                                thread_store
+                                    .open_thread(&thread_id, cx)
+                                    .map_ok(|thread| RecentEntry::Thread(thread_id, thread))
+                                    .boxed()
+                            })
+                            .unwrap_or_else(|_| async { Err(anyhow!("no thread store")) }.boxed()),
+                        SerializedRecentEntry::Context(id) => context_store
+                            .update(cx, |context_store, cx| {
+                                context_store
+                                    .open_local_context(Path::new(&id).into(), cx)
+                                    .map_ok(RecentEntry::Context)
+                                    .boxed()
+                            })
+                            .unwrap_or_else(|_| async { Err(anyhow!("no context store")) }.boxed()),
+                    });
+                let entries = join_all(entries)
+                    .await
+                    .into_iter()
+                    .filter_map(|result| result.log_err())
+                    .collect::<VecDeque<_>>();

-                    this.update(cx, |this, _| {
-                        this.recently_opened_entries.extend(entries);
-                        this.recently_opened_entries
-                            .truncate(MAX_RECENTLY_OPENED_ENTRIES);
-                    })
-                    .ok();
+                this.update(cx, |this, _| {
+                    this.recently_opened_entries.extend(entries);
+                    this.recently_opened_entries
+                        .truncate(MAX_RECENTLY_OPENED_ENTRIES);
+                })
+                .ok();

-                    Some(())
-                }
-            })
-            .detach();
+                Some(())
+            }
+        })
+        .detach();

        Self {
            thread_store,
--- a/crates/agent/src/inline_assistant.rs
+++ b/crates/agent/src/inline_assistant.rs
@@ -4,8 +4,8 @@ use std::ops::Range;
 use std::rc::Rc;
 use std::sync::Arc;

+use agent_settings::AgentSettings;
 use anyhow::{Context as _, Result};
-use assistant_settings::AssistantSettings;
 use client::telemetry::Telemetry;
 use collections::{HashMap, HashSet, VecDeque, hash_map};
 use editor::{
@@ -17,6 +17,7 @@ use editor::{
        ToDisplayPoint,
    },
 };
+use feature_flags::{Assistant2FeatureFlag, FeatureFlagViewExt as _};
 use fs::Fs;
 use gpui::{
    App, Context, Entity, Focusable, Global, HighlightStyle, Subscription, Task, UpdateGlobal,
@@ -65,6 +66,15 @@ pub fn init(
        InlineAssistant::update_global(cx, |inline_assistant, cx| {
            inline_assistant.register_workspace(&workspace, window, cx)
        });
+
+        cx.observe_flag::<Assistant2FeatureFlag, _>(window, {
+            |is_assistant2_enabled, _workspace, _window, cx| {
+                InlineAssistant::update_global(cx, |inline_assistant, _cx| {
+                    inline_assistant.is_assistant2_enabled = is_assistant2_enabled;
+                });
+            }
+        })
+        .detach();
    })
    .detach();
 }
@@ -87,6 +97,7 @@ pub struct InlineAssistant {
    prompt_builder: Arc<PromptBuilder>,
    telemetry: Arc<Telemetry>,
    fs: Arc<dyn Fs>,
+    is_assistant2_enabled: bool,
 }

 impl Global for InlineAssistant {}
@@ -108,6 +119,7 @@ impl InlineAssistant {
            prompt_builder,
            telemetry,
            fs,
+            is_assistant2_enabled: false,
        }
    }

@@ -133,7 +145,7 @@ impl InlineAssistant {
            let Some(terminal_panel) = workspace.read(cx).panel::<TerminalPanel>(cx) else {
                return;
            };
-            let enabled = AssistantSettings::get_global(cx).enabled;
+            let enabled = AgentSettings::get_global(cx).enabled;
            terminal_panel.update(cx, |terminal_panel, cx| {
                terminal_panel.set_assistant_enabled(enabled, cx)
            });
@@ -176,7 +188,7 @@ impl InlineAssistant {
        window: &mut Window,
        cx: &mut App,
    ) {
-        let is_assistant2_enabled = true;
+        let is_assistant2_enabled = self.is_assistant2_enabled;

        if let Some(editor) = item.act_as::<Editor>(cx) {
            editor.update(cx, |editor, cx| {
@@ -219,7 +231,7 @@ impl InlineAssistant {
        window: &mut Window,
        cx: &mut Context<Workspace>,
    ) {
-        let settings = AssistantSettings::get_global(cx);
+        let settings = AgentSettings::get_global(cx);
        if !settings.enabled {
            return;
        }
@@ -1754,7 +1766,7 @@ impl CodeActionProvider for AssistantCodeActionProvider {
        _: &mut Window,
        cx: &mut App,
    ) -> Task<Result<Vec<CodeAction>>> {
-        if !AssistantSettings::get_global(cx).enabled {
+        if !AgentSettings::get_global(cx).enabled {
            return Task::ready(Ok(Vec::new()));
        }

--- a/crates/agent/src/message_editor.rs
+++ b/crates/agent/src/message_editor.rs
@@ -8,7 +8,6 @@ use crate::ui::{
    AnimatedLabel, MaxModeTooltip,
    preview::{AgentPreview, UsageCallout},
 };
-use assistant_settings::{AssistantSettings, CompletionMode};
 use buffer_diff::BufferDiff;
 use client::UserStore;
 use collections::{HashMap, HashSet};
@@ -17,6 +16,7 @@ use editor::{
    AnchorRangeExt, ContextMenuOptions, ContextMenuPlacement, Editor, EditorElement, EditorEvent,
    EditorMode, EditorStyle, MultiBuffer,
 };
+use feature_flags::{FeatureFlagAppExt, NewBillingFeatureFlag};
 use file_icons::FileIcons;
 use fs::Fs;
 use futures::future::Shared;
@@ -42,6 +42,7 @@ use ui::{Disclosure, DocumentationSide, KeyBinding, PopoverMenuHandle, Tooltip,
 use util::{ResultExt as _, maybe};
 use workspace::dock::DockPosition;
 use workspace::{CollaboratorId, Workspace};
+use zed_llm_client::CompletionMode;

 use crate::context_picker::{ContextPicker, ContextPickerCompletionProvider, crease_for_mention};
 use crate::context_store::ContextStore;
@@ -463,6 +464,10 @@ impl MessageEditor {
    }

    fn render_max_mode_toggle(&self, cx: &mut Context<Self>) -> Option<AnyElement> {
+        if !cx.has_flag::<NewBillingFeatureFlag>() {
+            return None;
+        }
+
        let thread = self.thread.read(cx);
        let model = thread.configured_model();
        if !model?.model.supports_max_mode() {
@@ -637,7 +642,7 @@ impl MessageEditor {
                        this.h(vh(0.8, window)).justify_between()
                    })
                    .child(
-                        v_flex()
+                        div()
                            .min_h_16()
                            .when(is_editor_expanded, |this| this.h_full())
                            .child({
@@ -1069,6 +1074,10 @@ impl MessageEditor {
    }

    fn render_usage_callout(&self, line_height: Pixels, cx: &mut Context<Self>) -> Option<Div> {
+        if !cx.has_flag::<NewBillingFeatureFlag>() {
+            return None;
+        }
+
        let is_using_zed_provider = self
            .thread
            .read(cx)
@@ -1130,6 +1139,10 @@ impl MessageEditor {
        token_usage_ratio: TokenUsageRatio,
        cx: &mut Context<Self>,
    ) -> Option<Div> {
+        if !cx.has_flag::<NewBillingFeatureFlag>() {
+            return None;
+        }
+
        let title = if token_usage_ratio == TokenUsageRatio::Exceeded {
            "Thread reached the token limit"
        } else {
@@ -1260,7 +1273,7 @@ impl MessageEditor {
                        messages: vec![request_message],
                        tools: vec![],
                        stop: vec![],
-                        temperature: AssistantSettings::temperature_for_model(&model.model, cx),
+                        temperature: None,
                    };

                    Some(model.model.count_tokens(request, cx))
--- a/crates/agent/src/profile_selector.rs
+++ b/crates/agent/src/profile_selector.rs
@@ -1,7 +1,7 @@
 use std::sync::Arc;

-use assistant_settings::{
-    AgentProfile, AgentProfileId, AssistantSettings, GroupedAgentProfiles, builtin_profiles,
+use agent_settings::{
+    AgentProfile, AgentProfileId, AgentSettings, GroupedAgentProfiles, builtin_profiles,
 };
 use fs::Fs;
 use gpui::{Action, Entity, FocusHandle, Subscription, WeakEntity, prelude::*};
@@ -38,7 +38,7 @@ impl ProfileSelector {
        });

        Self {
-            profiles: GroupedAgentProfiles::from_settings(AssistantSettings::get_global(cx)),
+            profiles: GroupedAgentProfiles::from_settings(AgentSettings::get_global(cx)),
            fs,
            thread_store,
            menu_handle: PopoverMenuHandle::default(),
@@ -58,7 +58,7 @@ impl ProfileSelector {
    }

    fn refresh_profiles(&mut self, cx: &mut Context<Self>) {
-        self.profiles = GroupedAgentProfiles::from_settings(AssistantSettings::get_global(cx));
+        self.profiles = GroupedAgentProfiles::from_settings(AgentSettings::get_global(cx));
    }

    fn build_context_menu(
@@ -67,7 +67,7 @@ impl ProfileSelector {
        cx: &mut Context<Self>,
    ) -> Entity<ContextMenu> {
        ContextMenu::build(window, cx, |mut menu, _window, cx| {
-            let settings = AssistantSettings::get_global(cx);
+            let settings = AgentSettings::get_global(cx);
            for (profile_id, profile) in self.profiles.builtin.iter() {
                menu =
                    menu.item(self.menu_entry_for_profile(profile_id.clone(), profile, settings));
@@ -99,7 +99,7 @@ impl ProfileSelector {
        &self,
        profile_id: AgentProfileId,
        profile: &AgentProfile,
-        settings: &AssistantSettings,
+        settings: &AgentSettings,
    ) -> ContextMenuEntry {
        let documentation = match profile.name.to_lowercase().as_str() {
            builtin_profiles::WRITE => Some("Get help to write anything."),
@@ -124,7 +124,7 @@ impl ProfileSelector {
            let thread_store = self.thread_store.clone();
            let profile_id = profile_id.clone();
            move |_window, cx| {
-                update_settings_file::<AssistantSettings>(fs.clone(), cx, {
+                update_settings_file::<AgentSettings>(fs.clone(), cx, {
                    let profile_id = profile_id.clone();
                    move |settings, _cx| {
                        settings.set_profile(profile_id.clone());
@@ -143,7 +143,7 @@ impl ProfileSelector {

 impl Render for ProfileSelector {
    fn render(&mut self, _window: &mut Window, cx: &mut Context<Self>) -> impl IntoElement {
-        let settings = AssistantSettings::get_global(cx);
+        let settings = AgentSettings::get_global(cx);
        let profile_id = &settings.default_profile;
        let profile = settings.profiles.get(profile_id);

@@ -156,47 +156,46 @@ impl Render for ProfileSelector {
            .default_model()
            .map_or(false, |default| default.model.supports_tools());

-        if supports_tools {
-            let this = cx.entity().clone();
-            let focus_handle = self.focus_handle.clone();
-            let trigger_button = Button::new("profile-selector-model", selected_profile)
+        let this = cx.entity().clone();
+        let focus_handle = self.focus_handle.clone();
+
+        let trigger_button = if supports_tools {
+            Button::new("profile-selector-model", selected_profile)
                .label_size(LabelSize::Small)
                .color(Color::Muted)
                .icon(IconName::ChevronDown)
                .icon_size(IconSize::XSmall)
                .icon_position(IconPosition::End)
-                .icon_color(Color::Muted);
-
-            PopoverMenu::new("profile-selector")
-                .trigger_with_tooltip(trigger_button, {
-                    let focus_handle = focus_handle.clone();
-                    move |window, cx| {
-                        Tooltip::for_action_in(
-                            "Toggle Profile Menu",
-                            &ToggleProfileSelector,
-                            &focus_handle,
-                            window,
-                            cx,
-                        )
-                    }
-                })
-                .anchor(if self.documentation_side == DocumentationSide::Left {
-                    gpui::Corner::BottomRight
-                } else {
-                    gpui::Corner::BottomLeft
-                })
-                .with_handle(self.menu_handle.clone())
-                .menu(move |window, cx| {
-                    Some(this.update(cx, |this, cx| this.build_context_menu(window, cx)))
-                })
-                .into_any_element()
+                .icon_color(Color::Muted)
        } else {
-            Button::new("tools-not-supported-button", "Tools Unsupported")
+            Button::new("tools-not-supported-button", "No Tools")
                .disabled(true)
                .label_size(LabelSize::Small)
                .color(Color::Muted)
-                .tooltip(Tooltip::text("This model does not support tools."))
-                .into_any_element()
-        }
+                .tooltip(Tooltip::text("The current model does not support tools."))
+        };
+
+        PopoverMenu::new("profile-selector")
+            .trigger_with_tooltip(trigger_button, {
+                let focus_handle = focus_handle.clone();
+                move |window, cx| {
+                    Tooltip::for_action_in(
+                        "Toggle Profile Menu",
+                        &ToggleProfileSelector,
+                        &focus_handle,
+                        window,
+                        cx,
+                    )
+                }
+            })
+            .anchor(if self.documentation_side == DocumentationSide::Left {
+                gpui::Corner::BottomRight
+            } else {
+                gpui::Corner::BottomLeft
+            })
+            .with_handle(self.menu_handle.clone())
+            .menu(move |window, cx| {
+                Some(this.update(cx, |this, cx| this.build_context_menu(window, cx)))
+            })
    }
 }
--- a/crates/agent/src/terminal_inline_assistant.rs
+++ b/crates/agent/src/terminal_inline_assistant.rs
@@ -6,7 +6,6 @@ use crate::inline_prompt_editor::{
 use crate::terminal_codegen::{CLEAR_INPUT, CodegenEvent, TerminalCodegen};
 use crate::thread_store::{TextThreadStore, ThreadStore};
 use anyhow::{Context as _, Result};
-use assistant_settings::AssistantSettings;
 use client::telemetry::Telemetry;
 use collections::{HashMap, VecDeque};
 use editor::{MultiBuffer, actions::SelectAll};
@@ -267,12 +266,6 @@ impl TerminalInlineAssistant {
            load_context(contexts, project, &assist.prompt_store, cx)
        })?;

-        let ConfiguredModel { model, .. } = LanguageModelRegistry::read_global(cx)
-            .inline_assistant_model()
-            .context("No inline assistant model")?;
-
-        let temperature = AssistantSettings::temperature_for_model(&model, cx);
-
        Ok(cx.background_spawn(async move {
            let mut request_message = LanguageModelRequestMessage {
                role: Role::User,
@@ -294,7 +287,7 @@ impl TerminalInlineAssistant {
                messages: vec![request_message],
                tools: Vec::new(),
                stop: Vec::new(),
-                temperature,
+                temperature: None,
            }
        }))
    }
--- a/crates/agent/src/thread.rs
+++ b/crates/agent/src/thread.rs
@@ -4,8 +4,8 @@ use std::ops::Range;
 use std::sync::Arc;
 use std::time::Instant;

+use agent_settings::AgentSettings;
 use anyhow::{Result, anyhow};
-use assistant_settings::{AssistantSettings, CompletionMode};
 use assistant_tool::{ActionLog, AnyToolCard, Tool, ToolWorkingSet};
 use chrono::{DateTime, Utc};
 use collections::HashMap;
@@ -35,10 +35,9 @@ use schemars::JsonSchema;
 use serde::{Deserialize, Serialize};
 use settings::Settings;
 use thiserror::Error;
-use ui::Window;
 use util::{ResultExt as _, TryFutureExt as _, post_inc};
 use uuid::Uuid;
-use zed_llm_client::CompletionRequestStatus;
+use zed_llm_client::{CompletionMode, CompletionRequestStatus};

 use crate::ThreadStore;
 use crate::context::{AgentContext, AgentContextHandle, ContextLoadResult, LoadedContext};
@@ -313,6 +312,14 @@ pub enum TokenUsageRatio {
    Exceeded,
 }

+fn default_completion_mode(cx: &App) -> CompletionMode {
+    if cx.is_staff() {
+        CompletionMode::Max
+    } else {
+        CompletionMode::Normal
+    }
+}
+
 #[derive(Debug, Clone, Copy)]
 pub enum QueueState {
    Sending,
@@ -329,7 +336,7 @@ pub struct Thread {
    detailed_summary_task: Task<Option<()>>,
    detailed_summary_tx: postage::watch::Sender<DetailedSummaryState>,
    detailed_summary_rx: postage::watch::Receiver<DetailedSummaryState>,
-    completion_mode: assistant_settings::CompletionMode,
+    completion_mode: CompletionMode,
    messages: Vec<Message>,
    next_message_id: MessageId,
    last_prompt_id: PromptId,
@@ -388,7 +395,7 @@ impl Thread {
            detailed_summary_task: Task::ready(None),
            detailed_summary_tx,
            detailed_summary_rx,
-            completion_mode: AssistantSettings::get_global(cx).preferred_completion_mode,
+            completion_mode: default_completion_mode(cx),
            messages: Vec::new(),
            next_message_id: MessageId(0),
            last_prompt_id: PromptId::new(),
@@ -431,7 +438,6 @@ impl Thread {
        tools: Entity<ToolWorkingSet>,
        prompt_builder: Arc<PromptBuilder>,
        project_context: SharedProjectContext,
-        window: &mut Window,
        cx: &mut Context<Self>,
    ) -> Self {
        let next_message_id = MessageId(
@@ -441,13 +447,7 @@ impl Thread {
                .map(|message| message.id.0 + 1)
                .unwrap_or(0),
        );
-        let tool_use = ToolUseState::from_serialized_messages(
-            tools.clone(),
-            &serialized.messages,
-            project.clone(),
-            window,
-            cx,
-        );
+        let tool_use = ToolUseState::from_serialized_messages(tools.clone(), &serialized.messages);
        let (detailed_summary_tx, detailed_summary_rx) =
            postage::watch::channel_with(serialized.detailed_summary_state);

@@ -464,10 +464,6 @@ impl Thread {
                .or_else(|| registry.default_model())
        });

-        let completion_mode = serialized
-            .completion_mode
-            .unwrap_or_else(|| AssistantSettings::get_global(cx).preferred_completion_mode);
-
        Self {
            id,
            updated_at: serialized.updated_at,
@@ -476,7 +472,7 @@ impl Thread {
            detailed_summary_task: Task::ready(None),
            detailed_summary_tx,
            detailed_summary_rx,
-            completion_mode,
+            completion_mode: default_completion_mode(cx),
            messages: serialized
                .messages
                .into_iter()
@@ -1072,7 +1068,6 @@ impl Thread {
                                tool_use_id: tool_result.tool_use_id.clone(),
                                is_error: tool_result.is_error,
                                content: tool_result.content.clone(),
-                                output: tool_result.output.clone(),
                            })
                            .collect(),
                        context: message.loaded_context.text.clone(),
@@ -1100,7 +1095,6 @@ impl Thread {
                        provider: model.provider.id().0.to_string(),
                        model: model.model.id().0.to_string(),
                    }),
-                completion_mode: Some(this.completion_mode),
            })
        })
    }
@@ -1154,7 +1148,7 @@ impl Thread {
            messages: vec![],
            tools: Vec::new(),
            stop: Vec::new(),
-            temperature: AssistantSettings::temperature_for_model(&model, cx),
+            temperature: None,
        };

        let available_tools = self.available_tools(cx, model.clone());
@@ -1252,20 +1246,15 @@ impl Thread {

        request.tools = available_tools;
        request.mode = if model.supports_max_mode() {
-            Some(self.completion_mode.into())
+            Some(self.completion_mode)
        } else {
-            Some(CompletionMode::Normal.into())
+            Some(CompletionMode::Normal)
        };

        request
    }

-    fn to_summarize_request(
-        &self,
-        model: &Arc<dyn LanguageModel>,
-        added_user_message: String,
-        cx: &App,
-    ) -> LanguageModelRequest {
+    fn to_summarize_request(&self, added_user_message: String) -> LanguageModelRequest {
        let mut request = LanguageModelRequest {
            thread_id: None,
            prompt_id: None,
@@ -1273,7 +1262,7 @@ impl Thread {
            messages: vec![],
            tools: Vec::new(),
            stop: Vec::new(),
-            temperature: AssistantSettings::temperature_for_model(model, cx),
+            temperature: None,
        };

        for message in &self.messages {
@@ -1546,9 +1535,9 @@ impl Thread {
                                            completion.queue_state =  QueueState::Started;
                                        }
                                        CompletionRequestStatus::Failed {
-                                            code, message, request_id
+                                            code, message
                                        } => {
-                                            return Err(anyhow!("completion request failed. request_id: {request_id}, code: {code}, message: {message}"));
+                                            return Err(anyhow!("completion request failed. code: {code}, message: {message}"));
                                        }
                                        CompletionRequestStatus::UsageUpdated {
                                            amount, limit
@@ -1710,7 +1699,7 @@ impl Thread {
            If the conversation is about a specific subject, include it in the title. \
            Be descriptive. DO NOT speak in the first person.";

-        let request = self.to_summarize_request(&model.model, added_user_message.into(), cx);
+        let request = self.to_summarize_request(added_user_message.into());

        self.pending_summary = cx.spawn(async move |this, cx| {
            async move {
@@ -1796,7 +1785,7 @@ impl Thread {
             4. Any action items or next steps if any\n\
             Format it in Markdown with headings and bullet points.";

-        let request = self.to_summarize_request(&model, added_user_message.into(), cx);
+        let request = self.to_summarize_request(added_user_message.into());

        *self.detailed_summary_tx.borrow_mut() = DetailedSummaryState::Generating {
            message_id: last_message_id,
@@ -1888,7 +1877,7 @@ impl Thread {
        model: Arc<dyn LanguageModel>,
    ) -> Vec<PendingToolUse> {
        self.auto_capture_telemetry(cx);
-        let request = self.to_completion_request(model.clone(), cx);
+        let request = self.to_completion_request(model, cx);
        let messages = Arc::new(request.messages);
        let pending_tool_uses = self
            .tool_use
@@ -1901,7 +1890,7 @@ impl Thread {
        for tool_use in pending_tool_uses.iter() {
            if let Some(tool) = self.tools.read(cx).tool(&tool_use.name, cx) {
                if tool.needs_confirmation(&tool_use.input, cx)
-                    && !AssistantSettings::get_global(cx).always_allow_tool_actions
+                    && !AgentSettings::get_global(cx).always_allow_tool_actions
                {
                    self.tool_use.confirm_tool_use(
                        tool_use.id.clone(),
@@ -1918,7 +1907,6 @@ impl Thread {
                        tool_use.input.clone(),
                        &messages,
                        tool,
-                        model.clone(),
                        window,
                        cx,
                    );
@@ -2013,19 +2001,10 @@ impl Thread {
        input: serde_json::Value,
        messages: &[LanguageModelRequestMessage],
        tool: Arc<dyn Tool>,
-        model: Arc<dyn LanguageModel>,
        window: Option<AnyWindowHandle>,
        cx: &mut Context<Thread>,
    ) {
-        let task = self.spawn_tool_use(
-            tool_use_id.clone(),
-            messages,
-            input,
-            tool,
-            model,
-            window,
-            cx,
-        );
+        let task = self.spawn_tool_use(tool_use_id.clone(), messages, input, tool, window, cx);
        self.tool_use
            .run_pending_tool(tool_use_id, ui_text.into(), task);
    }
@@ -2036,7 +2015,6 @@ impl Thread {
        messages: &[LanguageModelRequestMessage],
        input: serde_json::Value,
        tool: Arc<dyn Tool>,
-        model: Arc<dyn LanguageModel>,
        window: Option<AnyWindowHandle>,
        cx: &mut Context<Thread>,
    ) -> Task<()> {
@@ -2050,7 +2028,6 @@ impl Thread {
                messages,
                self.project.clone(),
                self.action_log.clone(),
-                model,
                window,
                cx,
            )
@@ -2681,7 +2658,7 @@ struct PendingCompletion {
 mod tests {
    use super::*;
    use crate::{ThreadStore, context::load_context, context_store::ContextStore, thread_store};
-    use assistant_settings::{AssistantSettings, LanguageModelParameters};
+    use agent_settings::AgentSettings;
    use assistant_tool::ToolRegistry;
    use editor::EditorSettings;
    use gpui::TestAppContext;
@@ -3092,107 +3069,13 @@ fn main() {{
        );
    }

-    #[gpui::test]
-    async fn test_temperature_setting(cx: &mut TestAppContext) {
-        init_test_settings(cx);
-
-        let project = create_test_project(
-            cx,
-            json!({"code.rs": "fn main() {\n    println!(\"Hello, world!\");\n}"}),
-        )
-        .await;
-
-        let (_workspace, _thread_store, thread, _context_store, model) =
-            setup_test_environment(cx, project.clone()).await;
-
-        // Both model and provider
-        cx.update(|cx| {
-            AssistantSettings::override_global(
-                AssistantSettings {
-                    model_parameters: vec![LanguageModelParameters {
-                        provider: Some(model.provider_id().0.to_string().into()),
-                        model: Some(model.id().0.clone()),
-                        temperature: Some(0.66),
-                    }],
-                    ..AssistantSettings::get_global(cx).clone()
-                },
-                cx,
-            );
-        });
-
-        let request = thread.update(cx, |thread, cx| {
-            thread.to_completion_request(model.clone(), cx)
-        });
-        assert_eq!(request.temperature, Some(0.66));
-
-        // Only model
-        cx.update(|cx| {
-            AssistantSettings::override_global(
-                AssistantSettings {
-                    model_parameters: vec![LanguageModelParameters {
-                        provider: None,
-                        model: Some(model.id().0.clone()),
-                        temperature: Some(0.66),
-                    }],
-                    ..AssistantSettings::get_global(cx).clone()
-                },
-                cx,
-            );
-        });
-
-        let request = thread.update(cx, |thread, cx| {
-            thread.to_completion_request(model.clone(), cx)
-        });
-        assert_eq!(request.temperature, Some(0.66));
-
-        // Only provider
-        cx.update(|cx| {
-            AssistantSettings::override_global(
-                AssistantSettings {
-                    model_parameters: vec![LanguageModelParameters {
-                        provider: Some(model.provider_id().0.to_string().into()),
-                        model: None,
-                        temperature: Some(0.66),
-                    }],
-                    ..AssistantSettings::get_global(cx).clone()
-                },
-                cx,
-            );
-        });
-
-        let request = thread.update(cx, |thread, cx| {
-            thread.to_completion_request(model.clone(), cx)
-        });
-        assert_eq!(request.temperature, Some(0.66));
-
-        // Same model name, different provider
-        cx.update(|cx| {
-            AssistantSettings::override_global(
-                AssistantSettings {
-                    model_parameters: vec![LanguageModelParameters {
-                        provider: Some("anthropic".into()),
-                        model: Some(model.id().0.clone()),
-                        temperature: Some(0.66),
-                    }],
-                    ..AssistantSettings::get_global(cx).clone()
-                },
-                cx,
-            );
-        });
-
-        let request = thread.update(cx, |thread, cx| {
-            thread.to_completion_request(model.clone(), cx)
-        });
-        assert_eq!(request.temperature, None);
-    }
-
    fn init_test_settings(cx: &mut TestAppContext) {
        cx.update(|cx| {
            let settings_store = SettingsStore::test(cx);
            cx.set_global(settings_store);
            language::init(cx);
            Project::init_settings(cx);
-            AssistantSettings::register(cx);
+            AgentSettings::register(cx);
            prompt_store::init(cx);
            thread_store::init(cx);
            workspace::init_settings(cx);
--- a/crates/agent/src/thread_history.rs
+++ b/crates/agent/src/thread_history.rs
@@ -3,7 +3,7 @@ use std::ops::Range;
 use std::sync::Arc;

 use assistant_context_editor::SavedContextMetadata;
-use chrono::{Datelike as _, Local, NaiveDate, TimeDelta};
+use chrono::{Datelike as _, NaiveDate, TimeDelta, Utc};
 use editor::{Editor, EditorEvent};
 use fuzzy::{StringMatch, StringMatchCandidate};
 use gpui::{
@@ -140,14 +140,10 @@ impl ThreadHistory {

        let bg_task = cx.background_spawn(async move {
            let mut bucket = None;
-            let today = Local::now().naive_local().date();
+            let today = Utc::now().naive_local().date();

            for (index, entry) in all_entries.iter().enumerate() {
-                let entry_date = entry
-                    .updated_at()
-                    .with_timezone(&Local)
-                    .naive_local()
-                    .date();
+                let entry_date = entry.updated_at().naive_local().date();
                let entry_bucket = TimeBucket::from_dates(today, entry_date);

                if Some(entry_bucket) != bucket {
@@ -256,14 +252,6 @@ impl ThreadHistory {
        }
    }

-    fn list_item_count(&self) -> usize {
-        match &self.search_state {
-            SearchState::Empty => self.separated_items.len(),
-            SearchState::Searching { .. } => 0,
-            SearchState::Searched { matches, .. } => matches.len(),
-        }
-    }
-
    fn search_produced_no_matches(&self) -> bool {
        match &self.search_state {
            SearchState::Empty => false,
@@ -587,7 +575,7 @@ impl Render for ThreadHistory {
                            uniform_list(
                                cx.entity().clone(),
                                "thread-history",
-                                self.list_item_count(),
+                                self.matched_count(),
                                Self::list_items,
                            )
                            .p_1()
--- a/crates/agent/src/thread_store.rs
+++ b/crates/agent/src/thread_store.rs
@@ -4,8 +4,8 @@ use std::path::{Path, PathBuf};
 use std::rc::Rc;
 use std::sync::Arc;

+use agent_settings::{AgentProfile, AgentProfileId, AgentSettings};
 use anyhow::{Context as _, Result, anyhow};
-use assistant_settings::{AgentProfile, AgentProfileId, AssistantSettings, CompletionMode};
 use assistant_tool::{ToolId, ToolSource, ToolWorkingSet};
 use chrono::{DateTime, Utc};
 use collections::HashMap;
@@ -28,7 +28,6 @@ use prompt_store::{
 };
 use serde::{Deserialize, Serialize};
 use settings::{Settings as _, SettingsStore};
-use ui::Window;
 use util::ResultExt as _;

 use crate::context_server_tool::ContextServerTool;
@@ -389,20 +388,18 @@ impl ThreadStore {
    pub fn open_thread(
        &self,
        id: &ThreadId,
-        window: &mut Window,
        cx: &mut Context<Self>,
    ) -> Task<Result<Entity<Thread>>> {
        let id = id.clone();
        let database_future = ThreadsDatabase::global_future(cx);
-        let this = cx.weak_entity();
-        window.spawn(cx, async move |cx| {
+        cx.spawn(async move |this, cx| {
            let database = database_future.await.map_err(|err| anyhow!(err))?;
            let thread = database
                .try_find_thread(id.clone())
                .await?
                .ok_or_else(|| anyhow!("no thread found with ID: {id:?}"))?;

-            let thread = this.update_in(cx, |this, window, cx| {
+            let thread = this.update(cx, |this, cx| {
                cx.new(|cx| {
                    Thread::deserialize(
                        id.clone(),
@@ -411,7 +408,6 @@ impl ThreadStore {
                        this.tools.clone(),
                        this.prompt_builder.clone(),
                        this.project_context.clone(),
-                        window,
                        cx,
                    )
                })
@@ -466,15 +462,15 @@ impl ThreadStore {
    }

    fn load_default_profile(&self, cx: &mut Context<Self>) {
-        let assistant_settings = AssistantSettings::get_global(cx);
+        let agent_settings = AgentSettings::get_global(cx);

-        self.load_profile_by_id(assistant_settings.default_profile.clone(), cx);
+        self.load_profile_by_id(agent_settings.default_profile.clone(), cx);
    }

    pub fn load_profile_by_id(&self, profile_id: AgentProfileId, cx: &mut Context<Self>) {
-        let assistant_settings = AssistantSettings::get_global(cx);
+        let agent_settings = AgentSettings::get_global(cx);

-        if let Some(profile) = assistant_settings.profiles.get(&profile_id) {
+        if let Some(profile) = agent_settings.profiles.get(&profile_id) {
            self.load_profile(profile.clone(), cx);
        }
    }
@@ -655,8 +651,6 @@ pub struct SerializedThread {
    pub exceeded_window_error: Option<ExceededWindowError>,
    #[serde(default)]
    pub model: Option<SerializedLanguageModel>,
-    #[serde(default)]
-    pub completion_mode: Option<CompletionMode>,
 }

 #[derive(Serialize, Deserialize, Debug)]
@@ -776,7 +770,6 @@ pub struct SerializedToolResult {
    pub tool_use_id: LanguageModelToolUseId,
    pub is_error: bool,
    pub content: Arc<str>,
-    pub output: Option<serde_json::Value>,
 }

 #[derive(Serialize, Deserialize)]
@@ -801,7 +794,6 @@ impl LegacySerializedThread {
            detailed_summary_state: DetailedSummaryState::default(),
            exceeded_window_error: None,
            model: None,
-            completion_mode: None,
        }
    }
 }
--- a/crates/agent/src/tool_use.rs
+++ b/crates/agent/src/tool_use.rs
@@ -1,7 +1,7 @@
 use std::sync::Arc;

 use anyhow::Result;
-use assistant_tool::{AnyToolCard, Tool, ToolResultOutput, ToolUseStatus, ToolWorkingSet};
+use assistant_tool::{AnyToolCard, Tool, ToolUseStatus, ToolWorkingSet};
 use collections::HashMap;
 use futures::FutureExt as _;
 use futures::future::Shared;
@@ -10,8 +10,7 @@ use language_model::{
    ConfiguredModel, LanguageModel, LanguageModelRequestMessage, LanguageModelToolResult,
    LanguageModelToolUse, LanguageModelToolUseId, MessageContent, Role,
 };
-use project::Project;
-use ui::{IconName, Window};
+use ui::IconName;
 use util::truncate_lines_to_byte_limit;

 use crate::thread::{MessageId, PromptId, ThreadId};
@@ -55,9 +54,6 @@ impl ToolUseState {
    pub fn from_serialized_messages(
        tools: Entity<ToolWorkingSet>,
        messages: &[SerializedMessage],
-        project: Entity<Project>,
-        window: &mut Window,
-        cx: &mut App,
    ) -> Self {
        let mut this = Self::new(tools);
        let mut tool_names_by_id = HashMap::default();
@@ -97,23 +93,12 @@ impl ToolUseState {
                            this.tool_results.insert(
                                tool_use_id.clone(),
                                LanguageModelToolResult {
-                                    tool_use_id: tool_use_id.clone(),
+                                    tool_use_id,
                                    tool_name: tool_use.clone(),
                                    is_error: tool_result.is_error,
                                    content: tool_result.content.clone(),
-                                    output: tool_result.output.clone(),
                                },
                            );
-
-                            if let Some(tool) = this.tools.read(cx).tool(tool_use, cx) {
-                                if let Some(output) = tool_result.output.clone() {
-                                    if let Some(card) =
-                                        tool.deserialize_card(output, project.clone(), window, cx)
-                                    {
-                                        this.tool_result_cards.insert(tool_use_id, card);
-                                    }
-                                }
-                            }
                        }
                    }
                }
@@ -139,7 +124,6 @@ impl ToolUseState {
                        tool_use_id: tool_use_id.clone(),
                        tool_name: tool_use.name.clone(),
                        content,
-                        output: None,
                        is_error: true,
                    },
                );
@@ -375,7 +359,7 @@ impl ToolUseState {
        &mut self,
        tool_use_id: LanguageModelToolUseId,
        tool_name: Arc<str>,
-        output: Result<ToolResultOutput>,
+        output: Result<String>,
        configured_model: Option<&ConfiguredModel>,
    ) -> Option<PendingToolUse> {
        let metadata = self.tool_use_metadata_by_id.remove(&tool_use_id);
@@ -395,8 +379,7 @@ impl ToolUseState {
        );

        match output {
-            Ok(output) => {
-                let tool_result = output.content;
+            Ok(tool_result) => {
                const BYTES_PER_TOKEN_ESTIMATE: usize = 3;

                // Protect from clearly large output
@@ -423,7 +406,6 @@ impl ToolUseState {
                        tool_name,
                        content: tool_result.into(),
                        is_error: false,
-                        output: output.output,
                    },
                );
                self.pending_tool_uses_by_id.remove(&tool_use_id)
@@ -436,7 +418,6 @@ impl ToolUseState {
                        tool_name,
                        content: err.to_string().into(),
                        is_error: true,
-                        output: None,
                    },
                );

@@ -509,7 +490,6 @@ impl ToolUseState {
                        } else {
                            tool_result.content.clone()
                        },
-                        output: None,
                    }));
            }
        }
--- a/crates/agent/src/ui.rs
+++ b/crates/agent/src/ui.rs
@@ -2,7 +2,6 @@ mod agent_notification;
 mod animated_label;
 mod context_pill;
 mod max_mode_tooltip;
-mod onboarding_modal;
 pub mod preview;
 mod upsell;

@@ -10,4 +9,3 @@ pub use agent_notification::*;
 pub use animated_label::*;
 pub use context_pill::*;
 pub use max_mode_tooltip::*;
-pub use onboarding_modal::*;
--- a/crates/agent/src/ui/onboarding_modal.rs
+++ b/crates/agent/src/ui/onboarding_modal.rs
@@ -1,174 +0,0 @@
-use gpui::{
-    ClickEvent, DismissEvent, Entity, EventEmitter, FocusHandle, Focusable, MouseDownEvent, Render,
-};
-use ui::{TintColor, Vector, VectorName, prelude::*};
-use workspace::{ModalView, Workspace};
-
-use crate::assistant_panel::AssistantPanel;
-
-macro_rules! agent_onboarding_event {
-    ($name:expr) => {
-        telemetry::event!($name, source = "Agent Onboarding");
-    };
-    ($name:expr, $($key:ident $(= $value:expr)?),+ $(,)?) => {
-        telemetry::event!($name, source = "Agent Onboarding", $($key $(= $value)?),+);
-    };
-}
-
-pub struct AgentOnboardingModal {
-    focus_handle: FocusHandle,
-    workspace: Entity<Workspace>,
-}
-
-impl AgentOnboardingModal {
-    pub fn toggle(workspace: &mut Workspace, window: &mut Window, cx: &mut Context<Workspace>) {
-        let workspace_entity = cx.entity();
-        workspace.toggle_modal(window, cx, |_window, cx| Self {
-            workspace: workspace_entity,
-            focus_handle: cx.focus_handle(),
-        });
-    }
-
-    fn open_panel(&mut self, _: &ClickEvent, window: &mut Window, cx: &mut Context<Self>) {
-        self.workspace.update(cx, |workspace, cx| {
-            workspace.focus_panel::<AssistantPanel>(window, cx);
-        });
-
-        cx.emit(DismissEvent);
-
-        agent_onboarding_event!("Open Panel Clicked");
-    }
-
-    fn view_blog(&mut self, _: &ClickEvent, _: &mut Window, cx: &mut Context<Self>) {
-        cx.open_url("http://zed.dev/blog/fastest-ai-code-editor");
-        cx.notify();
-
-        agent_onboarding_event!("Blog Link Clicked");
-    }
-
-    fn cancel(&mut self, _: &menu::Cancel, _: &mut Window, cx: &mut Context<Self>) {
-        cx.emit(DismissEvent);
-    }
-}
-
-impl EventEmitter<DismissEvent> for AgentOnboardingModal {}
-
-impl Focusable for AgentOnboardingModal {
-    fn focus_handle(&self, _cx: &App) -> FocusHandle {
-        self.focus_handle.clone()
-    }
-}
-
-impl ModalView for AgentOnboardingModal {}
-
-impl Render for AgentOnboardingModal {
-    fn render(&mut self, window: &mut Window, cx: &mut Context<Self>) -> impl IntoElement {
-        let window_height = window.viewport_size().height;
-        let max_height = window_height - px(200.);
-
-        let base = v_flex()
-            .id("agent-onboarding")
-            .key_context("AgentOnboardingModal")
-            .relative()
-            .w(px(450.))
-            .h_full()
-            .max_h(max_height)
-            .p_4()
-            .gap_2()
-            .elevation_3(cx)
-            .track_focus(&self.focus_handle(cx))
-            .overflow_hidden()
-            .on_action(cx.listener(Self::cancel))
-            .on_action(cx.listener(|_, _: &menu::Cancel, _window, cx| {
-                agent_onboarding_event!("Canceled", trigger = "Action");
-                cx.emit(DismissEvent);
-            }))
-            .on_any_mouse_down(cx.listener(|this, _: &MouseDownEvent, window, _cx| {
-                this.focus_handle.focus(window);
-            }))
-            .child(
-                div()
-                    .absolute()
-                    .top_0()
-                    .right(px(-1.0))
-                    .w(px(441.))
-                    .h(px(240.))
-                    .child(
-                        Vector::new(VectorName::Grid, rems_from_px(441.), rems_from_px(240.))
-                            .color(ui::Color::Custom(cx.theme().colors().text.alpha(0.05))),
-                    ),
-            )
-            .child(
-                div()
-                    .absolute()
-                    .top(px(-8.0))
-                    .right_0()
-                    .w(px(400.))
-                    .h(px(92.))
-                    .child(
-                        Vector::new(VectorName::AiGrid, rems_from_px(400.), rems_from_px(92.))
-                            .color(ui::Color::Custom(cx.theme().colors().text.alpha(0.32))),
-                    ),
-            )
-            .child(
-                div()
-                    .absolute()
-                    .inset_0()
-                    .size_full()
-                    .bg(gpui::linear_gradient(
-                        175.,
-                        gpui::linear_color_stop(
-                            cx.theme().colors().elevated_surface_background,
-                            0.,
-                        ),
-                        gpui::linear_color_stop(
-                            cx.theme().colors().elevated_surface_background.opacity(0.),
-                            0.8,
-                        ),
-                    )),
-            )
-            .child(
-                v_flex()
-                    .w_full()
-                    .gap_1()
-                    .child(
-                        Label::new("Introducing")
-                            .size(LabelSize::Small)
-                            .color(Color::Muted),
-                    )
-                    .child(Headline::new("Agentic Editing in Zed").size(HeadlineSize::Large)),
-            )
-            .child(h_flex().absolute().top_2().right_2().child(
-                IconButton::new("cancel", IconName::X).on_click(cx.listener(
-                    |_, _: &ClickEvent, _window, cx| {
-                        agent_onboarding_event!("Cancelled", trigger = "X click");
-                        cx.emit(DismissEvent);
-                    },
-                )),
-            ));
-
-        let open_panel_button = Button::new("open-panel", "Get Started with the Agent Panel")
-            .icon_size(IconSize::Indicator)
-            .style(ButtonStyle::Tinted(TintColor::Accent))
-            .full_width()
-            .on_click(cx.listener(Self::open_panel));
-
-        let blog_post_button = Button::new("view-blog", "Check out the Blog Post")
-            .icon(IconName::ArrowUpRight)
-            .icon_size(IconSize::Indicator)
-            .icon_color(Color::Muted)
-            .full_width()
-            .on_click(cx.listener(Self::view_blog));
-
-        let copy = "Zed now natively supports agentic editing, enabling fluid collaboration between humans and AI.";
-
-        base.child(Label::new(copy).color(Color::Muted)).child(
-            v_flex()
-                .w_full()
-                .mt_2()
-                .gap_2()
-                .child(open_panel_button)
-                .child(blog_post_button),
-        )
-    }
-}
--- a/crates/assistant_settings/Cargo.toml
+++ b/crates/assistant_settings/Cargo.toml
@@ -1,5 +1,5 @@
 [package]
-name = "assistant_settings"
+name = "agent_settings"
 version = "0.1.0"
 edition.workspace = true
 publish.workspace = true
@@ -9,12 +9,12 @@ license = "GPL-3.0-or-later"
 workspace = true

 [lib]
-path = "src/assistant_settings.rs"
+path = "src/agent_settings.rs"

 [dependencies]
 anthropic = { workspace = true, features = ["schemars"] }
 anyhow.workspace = true
-collections.workspace = true
+feature_flags.workspace = true
 gpui.workspace = true
 indexmap.workspace = true
 language_model.workspace = true
@@ -27,7 +27,6 @@ schemars.workspace = true
 serde.workspace = true
 settings.workspace = true
 workspace-hack.workspace = true
-zed_llm_client.workspace = true

 [dev-dependencies]
 fs.workspace = true
--- a/crates/assistant_settings/LICENSE-GPL
+++ b/crates/assistant_settings/LICENSE-GPL
--- a/crates/assistant_settings/src/agent_profile.rs
+++ b/crates/assistant_settings/src/agent_profile.rs
@@ -1,7 +1,7 @@
 use std::sync::Arc;

-use collections::IndexMap;
 use gpui::SharedString;
+use indexmap::IndexMap;
 use schemars::JsonSchema;
 use serde::{Deserialize, Serialize};

@@ -24,7 +24,7 @@ pub struct GroupedAgentProfiles {
 }

 impl GroupedAgentProfiles {
-    pub fn from_settings(settings: &crate::AssistantSettings) -> Self {
+    pub fn from_settings(settings: &crate::AgentSettings) -> Self {
        let mut builtin = IndexMap::default();
        let mut custom = IndexMap::default();

--- a/crates/assistant_settings/src/assistant_settings.rs
+++ b/crates/assistant_settings/src/assistant_settings.rs
@@ -5,9 +5,10 @@ use std::sync::Arc;
 use ::open_ai::Model as OpenAiModel;
 use anthropic::Model as AnthropicModel;
 use anyhow::{Result, bail};
-use collections::IndexMap;
 use deepseek::Model as DeepseekModel;
-use gpui::{App, Pixels, SharedString};
+use feature_flags::{AgentStreamEditsFeatureFlag, Assistant2FeatureFlag, FeatureFlagAppExt};
+use gpui::{App, Pixels};
+use indexmap::IndexMap;
 use language_model::{CloudModel, LanguageModel};
 use lmstudio::Model as LmStudioModel;
 use ollama::Model as OllamaModel;
@@ -17,13 +18,9 @@ use settings::{Settings, SettingsSources};

 pub use crate::agent_profile::*;

-pub fn init(cx: &mut App) {
-    AssistantSettings::register(cx);
-}
-
 #[derive(Copy, Clone, Default, Debug, Serialize, Deserialize, JsonSchema)]
 #[serde(rename_all = "snake_case")]
-pub enum AssistantDockPosition {
+pub enum AgentDockPosition {
    Left,
    #[default]
    Right,
@@ -73,10 +70,10 @@ pub enum AssistantProviderContentV1 {
 }

 #[derive(Default, Clone, Debug)]
-pub struct AssistantSettings {
+pub struct AgentSettings {
    pub enabled: bool,
    pub button: bool,
-    pub dock: AssistantDockPosition,
+    pub dock: AgentDockPosition,
    pub default_width: Pixels,
    pub default_height: Pixels,
    pub default_model: LanguageModelSelection,
@@ -92,121 +89,84 @@ pub struct AssistantSettings {
    pub notify_when_agent_waiting: NotifyWhenAgentWaiting,
    pub stream_edits: bool,
    pub single_file_review: bool,
-    pub model_parameters: Vec<LanguageModelParameters>,
-    pub preferred_completion_mode: CompletionMode,
 }

-impl AssistantSettings {
-    pub fn temperature_for_model(model: &Arc<dyn LanguageModel>, cx: &App) -> Option<f32> {
-        let settings = Self::get_global(cx);
-        settings
-            .model_parameters
-            .iter()
-            .rfind(|setting| setting.matches(model))
-            .and_then(|m| m.temperature)
+impl AgentSettings {
+    pub fn stream_edits(&self, cx: &App) -> bool {
+        cx.has_flag::<AgentStreamEditsFeatureFlag>() || self.stream_edits
    }

-    pub fn are_live_diffs_enabled(&self, _cx: &App) -> bool {
-        false
+    pub fn are_live_diffs_enabled(&self, cx: &App) -> bool {
+        if cx.has_flag::<Assistant2FeatureFlag>() {
+            return false;
+        }
+
+        cx.is_staff() || self.enable_experimental_live_diffs
    }

    pub fn set_inline_assistant_model(&mut self, provider: String, model: String) {
-        self.inline_assistant_model = Some(LanguageModelSelection {
-            provider: provider.into(),
-            model,
-        });
+        self.inline_assistant_model = Some(LanguageModelSelection { provider, model });
    }

    pub fn set_commit_message_model(&mut self, provider: String, model: String) {
-        self.commit_message_model = Some(LanguageModelSelection {
-            provider: provider.into(),
-            model,
-        });
+        self.commit_message_model = Some(LanguageModelSelection { provider, model });
    }

    pub fn set_thread_summary_model(&mut self, provider: String, model: String) {
-        self.thread_summary_model = Some(LanguageModelSelection {
-            provider: provider.into(),
-            model,
-        });
-    }
-}
-
-#[derive(Clone, Debug, Serialize, Deserialize, JsonSchema, PartialEq)]
-pub struct LanguageModelParameters {
-    pub provider: Option<LanguageModelProviderSetting>,
-    pub model: Option<SharedString>,
-    pub temperature: Option<f32>,
-}
-
-impl LanguageModelParameters {
-    pub fn matches(&self, model: &Arc<dyn LanguageModel>) -> bool {
-        if let Some(provider) = &self.provider {
-            if provider.0 != model.provider_id().0 {
-                return false;
-            }
-        }
-        if let Some(setting_model) = &self.model {
-            if *setting_model != model.id().0 {
-                return false;
-            }
-        }
-        true
+        self.thread_summary_model = Some(LanguageModelSelection { provider, model });
    }
 }

 /// Assistant panel settings
 #[derive(Clone, Serialize, Deserialize, Debug, Default)]
-pub struct AssistantSettingsContent {
+pub struct AgentSettingsContent {
    #[serde(flatten)]
-    pub inner: Option<AssistantSettingsContentInner>,
+    pub inner: Option<AgentSettingsContentInner>,
 }

 #[derive(Clone, Serialize, Deserialize, Debug)]
 #[serde(untagged)]
-pub enum AssistantSettingsContentInner {
-    Versioned(Box<VersionedAssistantSettingsContent>),
+pub enum AgentSettingsContentInner {
+    Versioned(Box<VersionedAgentSettingsContent>),
    Legacy(LegacyAssistantSettingsContent),
 }

-impl AssistantSettingsContentInner {
-    fn for_v2(content: AssistantSettingsContentV2) -> Self {
-        AssistantSettingsContentInner::Versioned(Box::new(VersionedAssistantSettingsContent::V2(
-            content,
-        )))
+impl AgentSettingsContentInner {
+    fn for_v2(content: AgentSettingsContentV2) -> Self {
+        AgentSettingsContentInner::Versioned(Box::new(VersionedAgentSettingsContent::V2(content)))
    }
 }

-impl JsonSchema for AssistantSettingsContent {
+impl JsonSchema for AgentSettingsContent {
    fn schema_name() -> String {
-        VersionedAssistantSettingsContent::schema_name()
+        VersionedAgentSettingsContent::schema_name()
    }

    fn json_schema(r#gen: &mut schemars::r#gen::SchemaGenerator) -> Schema {
-        VersionedAssistantSettingsContent::json_schema(r#gen)
+        VersionedAgentSettingsContent::json_schema(r#gen)
    }

    fn is_referenceable() -> bool {
-        VersionedAssistantSettingsContent::is_referenceable()
+        VersionedAgentSettingsContent::is_referenceable()
    }
 }

-impl AssistantSettingsContent {
+impl AgentSettingsContent {
    pub fn is_version_outdated(&self) -> bool {
        match &self.inner {
-            Some(AssistantSettingsContentInner::Versioned(settings)) => match **settings {
-                VersionedAssistantSettingsContent::V1(_) => true,
-                VersionedAssistantSettingsContent::V2(_) => false,
+            Some(AgentSettingsContentInner::Versioned(settings)) => match **settings {
+                VersionedAgentSettingsContent::V1(_) => true,
+                VersionedAgentSettingsContent::V2(_) => false,
            },
-            Some(AssistantSettingsContentInner::Legacy(_)) => true,
+            Some(AgentSettingsContentInner::Legacy(_)) => true,
            None => false,
        }
    }

-    fn upgrade(&self) -> AssistantSettingsContentV2 {
+    fn upgrade(&self) -> AgentSettingsContentV2 {
        match &self.inner {
-            Some(AssistantSettingsContentInner::Versioned(settings)) => match **settings {
-                VersionedAssistantSettingsContent::V1(ref settings) => AssistantSettingsContentV2 {
+            Some(AgentSettingsContentInner::Versioned(settings)) => match **settings {
+                VersionedAgentSettingsContent::V1(ref settings) => AgentSettingsContentV2 {
                    enabled: settings.enabled,
                    button: settings.button,
                    dock: settings.dock,
@@ -218,37 +178,37 @@ impl AssistantSettingsContent {
                        .and_then(|provider| match provider {
                            AssistantProviderContentV1::ZedDotDev { default_model } => {
                                default_model.map(|model| LanguageModelSelection {
-                                    provider: "zed.dev".into(),
+                                    provider: "zed.dev".to_string(),
                                    model: model.id().to_string(),
                                })
                            }
                            AssistantProviderContentV1::OpenAi { default_model, .. } => {
                                default_model.map(|model| LanguageModelSelection {
-                                    provider: "openai".into(),
+                                    provider: "openai".to_string(),
                                    model: model.id().to_string(),
                                })
                            }
                            AssistantProviderContentV1::Anthropic { default_model, .. } => {
                                default_model.map(|model| LanguageModelSelection {
-                                    provider: "anthropic".into(),
+                                    provider: "anthropic".to_string(),
                                    model: model.id().to_string(),
                                })
                            }
                            AssistantProviderContentV1::Ollama { default_model, .. } => {
                                default_model.map(|model| LanguageModelSelection {
-                                    provider: "ollama".into(),
+                                    provider: "ollama".to_string(),
                                    model: model.id().to_string(),
                                })
                            }
                            AssistantProviderContentV1::LmStudio { default_model, .. } => {
                                default_model.map(|model| LanguageModelSelection {
-                                    provider: "lmstudio".into(),
+                                    provider: "lmstudio".to_string(),
                                    model: model.id().to_string(),
                                })
                            }
                            AssistantProviderContentV1::DeepSeek { default_model, .. } => {
                                default_model.map(|model| LanguageModelSelection {
-                                    provider: "deepseek".into(),
+                                    provider: "deepseek".to_string(),
                                    model: model.id().to_string(),
                                })
                            }
@@ -264,19 +224,17 @@ impl AssistantSettingsContent {
                    notify_when_agent_waiting: None,
                    stream_edits: None,
                    single_file_review: None,
-                    model_parameters: Vec::new(),
-                    preferred_completion_mode: None,
                },
-                VersionedAssistantSettingsContent::V2(ref settings) => settings.clone(),
+                VersionedAgentSettingsContent::V2(ref settings) => settings.clone(),
            },
-            Some(AssistantSettingsContentInner::Legacy(settings)) => AssistantSettingsContentV2 {
+            Some(AgentSettingsContentInner::Legacy(settings)) => AgentSettingsContentV2 {
                enabled: None,
                button: settings.button,
                dock: settings.dock,
                default_width: settings.default_width,
                default_height: settings.default_height,
                default_model: Some(LanguageModelSelection {
-                    provider: "openai".into(),
+                    provider: "openai".to_string(),
                    model: settings
                        .default_open_ai_model
                        .clone()
@@ -295,33 +253,29 @@ impl AssistantSettingsContent {
                notify_when_agent_waiting: None,
                stream_edits: None,
                single_file_review: None,
-                model_parameters: Vec::new(),
-                preferred_completion_mode: None,
            },
-            None => AssistantSettingsContentV2::default(),
+            None => AgentSettingsContentV2::default(),
        }
    }

-    pub fn set_dock(&mut self, dock: AssistantDockPosition) {
+    pub fn set_dock(&mut self, dock: AgentDockPosition) {
        match &mut self.inner {
-            Some(AssistantSettingsContentInner::Versioned(settings)) => match **settings {
-                VersionedAssistantSettingsContent::V1(ref mut settings) => {
+            Some(AgentSettingsContentInner::Versioned(settings)) => match **settings {
+                VersionedAgentSettingsContent::V1(ref mut settings) => {
                    settings.dock = Some(dock);
                }
-                VersionedAssistantSettingsContent::V2(ref mut settings) => {
+                VersionedAgentSettingsContent::V2(ref mut settings) => {
                    settings.dock = Some(dock);
                }
            },
-            Some(AssistantSettingsContentInner::Legacy(settings)) => {
+            Some(AgentSettingsContentInner::Legacy(settings)) => {
                settings.dock = Some(dock);
            }
            None => {
-                self.inner = Some(AssistantSettingsContentInner::for_v2(
-                    AssistantSettingsContentV2 {
-                        dock: Some(dock),
-                        ..Default::default()
-                    },
-                ))
+                self.inner = Some(AgentSettingsContentInner::for_v2(AgentSettingsContentV2 {
+                    dock: Some(dock),
+                    ..Default::default()
+                }))
            }
        }
    }
@@ -331,115 +285,102 @@ impl AssistantSettingsContent {
        let provider = language_model.provider_id().0.to_string();

        match &mut self.inner {
-            Some(AssistantSettingsContentInner::Versioned(settings)) => match **settings {
-                VersionedAssistantSettingsContent::V1(ref mut settings) => {
-                    match provider.as_ref() {
-                        "zed.dev" => {
-                            log::warn!("attempted to set zed.dev model on outdated settings");
-                        }
-                        "anthropic" => {
-                            let api_url = match &settings.provider {
-                                Some(AssistantProviderContentV1::Anthropic { api_url, .. }) => {
-                                    api_url.clone()
-                                }
-                                _ => None,
-                            };
-                            settings.provider = Some(AssistantProviderContentV1::Anthropic {
-                                default_model: AnthropicModel::from_id(&model).ok(),
-                                api_url,
-                            });
-                        }
-                        "ollama" => {
-                            let api_url = match &settings.provider {
-                                Some(AssistantProviderContentV1::Ollama { api_url, .. }) => {
-                                    api_url.clone()
-                                }
-                                _ => None,
-                            };
-                            settings.provider = Some(AssistantProviderContentV1::Ollama {
-                                default_model: Some(ollama::Model::new(
-                                    &model,
-                                    None,
-                                    None,
-                                    Some(language_model.supports_tools()),
-                                )),
-                                api_url,
-                            });
-                        }
-                        "lmstudio" => {
-                            let api_url = match &settings.provider {
-                                Some(AssistantProviderContentV1::LmStudio { api_url, .. }) => {
-                                    api_url.clone()
-                                }
-                                _ => None,
-                            };
-                            settings.provider = Some(AssistantProviderContentV1::LmStudio {
-                                default_model: Some(lmstudio::Model::new(&model, None, None)),
-                                api_url,
-                            });
-                        }
-                        "openai" => {
-                            let (api_url, available_models) = match &settings.provider {
-                                Some(AssistantProviderContentV1::OpenAi {
-                                    api_url,
-                                    available_models,
-                                    ..
-                                }) => (api_url.clone(), available_models.clone()),
-                                _ => (None, None),
-                            };
-                            settings.provider = Some(AssistantProviderContentV1::OpenAi {
-                                default_model: OpenAiModel::from_id(&model).ok(),
+            Some(AgentSettingsContentInner::Versioned(settings)) => match **settings {
+                VersionedAgentSettingsContent::V1(ref mut settings) => match provider.as_ref() {
+                    "zed.dev" => {
+                        log::warn!("attempted to set zed.dev model on outdated settings");
+                    }
+                    "anthropic" => {
+                        let api_url = match &settings.provider {
+                            Some(AssistantProviderContentV1::Anthropic { api_url, .. }) => {
+                                api_url.clone()
+                            }
+                            _ => None,
+                        };
+                        settings.provider = Some(AssistantProviderContentV1::Anthropic {
+                            default_model: AnthropicModel::from_id(&model).ok(),
+                            api_url,
+                        });
+                    }
+                    "ollama" => {
+                        let api_url = match &settings.provider {
+                            Some(AssistantProviderContentV1::Ollama { api_url, .. }) => {
+                                api_url.clone()
+                            }
+                            _ => None,
+                        };
+                        settings.provider = Some(AssistantProviderContentV1::Ollama {
+                            default_model: Some(ollama::Model::new(
+                                &model,
+                                None,
+                                None,
+                                language_model.supports_tools(),
+                            )),
+                            api_url,
+                        });
+                    }
+                    "lmstudio" => {
+                        let api_url = match &settings.provider {
+                            Some(AssistantProviderContentV1::LmStudio { api_url, .. }) => {
+                                api_url.clone()
+                            }
+                            _ => None,
+                        };
+                        settings.provider = Some(AssistantProviderContentV1::LmStudio {
+                            default_model: Some(lmstudio::Model::new(&model, None, None)),
+                            api_url,
+                        });
+                    }
+                    "openai" => {
+                        let (api_url, available_models) = match &settings.provider {
+                            Some(AssistantProviderContentV1::OpenAi {
                                api_url,
                                available_models,
-                            });
-                        }
-                        "deepseek" => {
-                            let api_url = match &settings.provider {
-                                Some(AssistantProviderContentV1::DeepSeek { api_url, .. }) => {
-                                    api_url.clone()
-                                }
-                                _ => None,
-                            };
-                            settings.provider = Some(AssistantProviderContentV1::DeepSeek {
-                                default_model: DeepseekModel::from_id(&model).ok(),
-                                api_url,
-                            });
-                        }
-                        _ => {}
+                                ..
+                            }) => (api_url.clone(), available_models.clone()),
+                            _ => (None, None),
+                        };
+                        settings.provider = Some(AssistantProviderContentV1::OpenAi {
+                            default_model: OpenAiModel::from_id(&model).ok(),
+                            api_url,
+                            available_models,
+                        });
                    }
-                }
-                VersionedAssistantSettingsContent::V2(ref mut settings) => {
-                    settings.default_model = Some(LanguageModelSelection {
-                        provider: provider.into(),
-                        model,
-                    });
+                    "deepseek" => {
+                        let api_url = match &settings.provider {
+                            Some(AssistantProviderContentV1::DeepSeek { api_url, .. }) => {
+                                api_url.clone()
+                            }
+                            _ => None,
+                        };
+                        settings.provider = Some(AssistantProviderContentV1::DeepSeek {
+                            default_model: DeepseekModel::from_id(&model).ok(),
+                            api_url,
+                        });
+                    }
+                    _ => {}
+                },
+                VersionedAgentSettingsContent::V2(ref mut settings) => {
+                    settings.default_model = Some(LanguageModelSelection { provider, model });
                }
            },
-            Some(AssistantSettingsContentInner::Legacy(settings)) => {
+            Some(AgentSettingsContentInner::Legacy(settings)) => {
                if let Ok(model) = OpenAiModel::from_id(&language_model.id().0) {
                    settings.default_open_ai_model = Some(model);
                }
            }
            None => {
-                self.inner = Some(AssistantSettingsContentInner::for_v2(
-                    AssistantSettingsContentV2 {
-                        default_model: Some(LanguageModelSelection {
-                            provider: provider.into(),
-                            model,
-                        }),
-                        ..Default::default()
-                    },
-                ));
+                self.inner = Some(AgentSettingsContentInner::for_v2(AgentSettingsContentV2 {
+                    default_model: Some(LanguageModelSelection { provider, model }),
+                    ..Default::default()
+                }));
            }
        }
    }

    pub fn set_inline_assistant_model(&mut self, provider: String, model: String) {
        self.v2_setting(|setting| {
-            setting.inline_assistant_model = Some(LanguageModelSelection {
-                provider: provider.into(),
-                model,
-            });
+            setting.inline_assistant_model = Some(LanguageModelSelection { provider, model });
            Ok(())
        })
        .ok();
@@ -447,10 +388,7 @@ impl AssistantSettingsContent {

    pub fn set_commit_message_model(&mut self, provider: String, model: String) {
        self.v2_setting(|setting| {
-            setting.commit_message_model = Some(LanguageModelSelection {
-                provider: provider.into(),
-                model,
-            });
+            setting.commit_message_model = Some(LanguageModelSelection { provider, model });
            Ok(())
        })
        .ok();
@@ -458,15 +396,15 @@ impl AssistantSettingsContent {

    pub fn v2_setting(
        &mut self,
-        f: impl FnOnce(&mut AssistantSettingsContentV2) -> anyhow::Result<()>,
+        f: impl FnOnce(&mut AgentSettingsContentV2) -> anyhow::Result<()>,
    ) -> anyhow::Result<()> {
        match self.inner.get_or_insert_with(|| {
-            AssistantSettingsContentInner::for_v2(AssistantSettingsContentV2 {
+            AgentSettingsContentInner::for_v2(AgentSettingsContentV2 {
                ..Default::default()
            })
        }) {
-            AssistantSettingsContentInner::Versioned(boxed) => {
-                if let VersionedAssistantSettingsContent::V2(ref mut settings) = **boxed {
+            AgentSettingsContentInner::Versioned(boxed) => {
+                if let VersionedAgentSettingsContent::V2(ref mut settings) = **boxed {
                    f(settings)
                } else {
                    Ok(())
@@ -478,10 +416,7 @@ impl AssistantSettingsContent {

    pub fn set_thread_summary_model(&mut self, provider: String, model: String) {
        self.v2_setting(|setting| {
-            setting.thread_summary_model = Some(LanguageModelSelection {
-                provider: provider.into(),
-                model,
-            });
+            setting.thread_summary_model = Some(LanguageModelSelection { provider, model });
            Ok(())
        })
        .ok();
@@ -550,16 +485,16 @@ impl AssistantSettingsContent {

 #[derive(Clone, Serialize, Deserialize, JsonSchema, Debug)]
 #[serde(tag = "version")]
-pub enum VersionedAssistantSettingsContent {
+pub enum VersionedAgentSettingsContent {
    #[serde(rename = "1")]
    V1(AssistantSettingsContentV1),
    #[serde(rename = "2")]
-    V2(AssistantSettingsContentV2),
+    V2(AgentSettingsContentV2),
 }

-impl Default for VersionedAssistantSettingsContent {
+impl Default for VersionedAgentSettingsContent {
    fn default() -> Self {
-        Self::V2(AssistantSettingsContentV2 {
+        Self::V2(AgentSettingsContentV2 {
            enabled: None,
            button: None,
            dock: None,
@@ -577,37 +512,35 @@ impl Default for VersionedAssistantSettingsContent {
            notify_when_agent_waiting: None,
            stream_edits: None,
            single_file_review: None,
-            model_parameters: Vec::new(),
-            preferred_completion_mode: None,
        })
    }
 }

 #[derive(Clone, Serialize, Deserialize, JsonSchema, Debug, Default)]
-pub struct AssistantSettingsContentV2 {
-    /// Whether the Assistant is enabled.
+pub struct AgentSettingsContentV2 {
+    /// Whether the agent is enabled.
    ///
    /// Default: true
    enabled: Option<bool>,
-    /// Whether to show the assistant panel button in the status bar.
+    /// Whether to show the agent panel button in the status bar.
    ///
    /// Default: true
    button: Option<bool>,
-    /// Where to dock the assistant.
+    /// Where to dock the agent.
    ///
    /// Default: right
-    dock: Option<AssistantDockPosition>,
-    /// Default width in pixels when the assistant is docked to the left or right.
+    dock: Option<AgentDockPosition>,
+    /// Default width in pixels when the agent is docked to the left or right.
    ///
    /// Default: 640
    default_width: Option<f32>,
-    /// Default height in pixels when the assistant is docked to the bottom.
+    /// Default height in pixels when the agent is docked to the bottom.
    ///
    /// Default: 320
    default_height: Option<f32>,
    /// The default model to use when creating new chats and for other features when a specific model is not specified.
    default_model: Option<LanguageModelSelection>,
-    /// Model to use for the inline assistant. Defaults to default_model when not specified.
+    /// Model to use for the inline agent. Defaults to default_model when not specified.
    inline_assistant_model: Option<LanguageModelSelection>,
    /// Model to use for generating git commit messages. Defaults to default_model when not specified.
    commit_message_model: Option<LanguageModelSelection>,
@@ -615,7 +548,7 @@ pub struct AssistantSettingsContentV2 {
    thread_summary_model: Option<LanguageModelSelection>,
    /// Additional models with which to generate alternatives when performing inline assists.
    inline_alternatives: Option<Vec<LanguageModelSelection>>,
-    /// Enable experimental live diffs in the assistant panel.
+    /// Enable experimental live diffs in the agent panel.
    ///
    /// Default: false
    enable_experimental_live_diffs: Option<bool>,
@@ -642,88 +575,37 @@ pub struct AssistantSettingsContentV2 {
    ///
    /// Default: true
    single_file_review: Option<bool>,
-    /// Additional parameters for language model requests. When making a request
-    /// to a model, parameters will be taken from the last entry in this list
-    /// that matches the model's provider and name. In each entry, both provider
-    /// and model are optional, so that you can specify parameters for either
-    /// one.
-    ///
-    /// Default: []
-    #[serde(default)]
-    model_parameters: Vec<LanguageModelParameters>,
-
-    /// What completion mode to enable for new threads
-    ///
-    /// Default: normal
-    preferred_completion_mode: Option<CompletionMode>,
-}
-
-#[derive(Clone, Copy, Debug, Serialize, Deserialize, JsonSchema, PartialEq, Default)]
-#[serde(rename_all = "snake_case")]
-pub enum CompletionMode {
-    #[default]
-    Normal,
-    Max,
-}
-
-impl From<CompletionMode> for zed_llm_client::CompletionMode {
-    fn from(value: CompletionMode) -> Self {
-        match value {
-            CompletionMode::Normal => zed_llm_client::CompletionMode::Normal,
-            CompletionMode::Max => zed_llm_client::CompletionMode::Max,
-        }
-    }
 }

 #[derive(Clone, Debug, Serialize, Deserialize, JsonSchema, PartialEq)]
 pub struct LanguageModelSelection {
-    pub provider: LanguageModelProviderSetting,
+    #[schemars(schema_with = "providers_schema")]
+    pub provider: String,
    pub model: String,
 }

-#[derive(Clone, Debug, Serialize, Deserialize, PartialEq)]
-pub struct LanguageModelProviderSetting(pub String);
-
-impl JsonSchema for LanguageModelProviderSetting {
-    fn schema_name() -> String {
-        "LanguageModelProviderSetting".into()
-    }
-
-    fn json_schema(_: &mut schemars::r#gen::SchemaGenerator) -> Schema {
-        schemars::schema::SchemaObject {
-            enum_values: Some(vec![
-                "anthropic".into(),
-                "bedrock".into(),
-                "google".into(),
-                "lmstudio".into(),
-                "ollama".into(),
-                "openai".into(),
-                "zed.dev".into(),
-                "copilot_chat".into(),
-                "deepseek".into(),
-            ]),
-            ..Default::default()
-        }
-        .into()
-    }
-}
-
-impl From<String> for LanguageModelProviderSetting {
-    fn from(provider: String) -> Self {
-        Self(provider)
-    }
-}
-
-impl From<&str> for LanguageModelProviderSetting {
-    fn from(provider: &str) -> Self {
-        Self(provider.to_string())
+fn providers_schema(_: &mut schemars::r#gen::SchemaGenerator) -> schemars::schema::Schema {
+    schemars::schema::SchemaObject {
+        enum_values: Some(vec![
+            "anthropic".into(),
+            "bedrock".into(),
+            "google".into(),
+            "lmstudio".into(),
+            "ollama".into(),
+            "openai".into(),
+            "zed.dev".into(),
+            "copilot_chat".into(),
+            "deepseek".into(),
+        ]),
+        ..Default::default()
    }
+    .into()
 }

 impl Default for LanguageModelSelection {
    fn default() -> Self {
        Self {
-            provider: LanguageModelProviderSetting("openai".to_string()),
+            provider: "openai".to_string(),
            model: "gpt-4".to_string(),
        }
    }
@@ -758,7 +640,7 @@ pub struct AssistantSettingsContentV1 {
    /// Where to dock the assistant.
    ///
    /// Default: right
-    dock: Option<AssistantDockPosition>,
+    dock: Option<AgentDockPosition>,
    /// Default width in pixels when the assistant is docked to the left or right.
    ///
    /// Default: 640
@@ -783,7 +665,7 @@ pub struct LegacyAssistantSettingsContent {
    /// Where to dock the assistant.
    ///
    /// Default: right
-    pub dock: Option<AssistantDockPosition>,
+    pub dock: Option<AgentDockPosition>,
    /// Default width in pixels when the assistant is docked to the left or right.
    ///
    /// Default: 640
@@ -802,20 +684,20 @@ pub struct LegacyAssistantSettingsContent {
    pub openai_api_url: Option<String>,
 }

-impl Settings for AssistantSettings {
+impl Settings for AgentSettings {
    const KEY: Option<&'static str> = Some("agent");

    const FALLBACK_KEY: Option<&'static str> = Some("assistant");

    const PRESERVED_KEYS: Option<&'static [&'static str]> = Some(&["version"]);

-    type FileContent = AssistantSettingsContent;
+    type FileContent = AgentSettingsContent;

    fn load(
        sources: SettingsSources<Self::FileContent>,
        _: &mut gpui::App,
    ) -> anyhow::Result<Self> {
-        let mut settings = AssistantSettings::default();
+        let mut settings = AgentSettings::default();

        for value in sources.defaults_and_customizations() {
            if value.is_version_outdated() {
@@ -860,14 +742,6 @@ impl Settings for AssistantSettings {
            merge(&mut settings.stream_edits, value.stream_edits);
            merge(&mut settings.single_file_review, value.single_file_review);
            merge(&mut settings.default_profile, value.default_profile);
-            merge(
-                &mut settings.preferred_completion_mode,
-                value.preferred_completion_mode,
-            );
-
-            settings
-                .model_parameters
-                .extend_from_slice(&value.model_parameters);

            if let Some(profiles) = value.profiles {
                settings
@@ -908,28 +782,25 @@ impl Settings for AssistantSettings {
            .and_then(|b| b.as_bool())
        {
            match &mut current.inner {
-                Some(AssistantSettingsContentInner::Versioned(versioned)) => {
-                    match versioned.as_mut() {
-                        VersionedAssistantSettingsContent::V1(setting) => {
-                            setting.enabled = Some(b);
-                            setting.button = Some(b);
-                        }
-
-                        VersionedAssistantSettingsContent::V2(setting) => {
-                            setting.enabled = Some(b);
-                            setting.button = Some(b);
-                        }
+                Some(AgentSettingsContentInner::Versioned(versioned)) => match versioned.as_mut() {
+                    VersionedAgentSettingsContent::V1(setting) => {
+                        setting.enabled = Some(b);
+                        setting.button = Some(b);
                    }
-                }
-                Some(AssistantSettingsContentInner::Legacy(setting)) => setting.button = Some(b),
+
+                    VersionedAgentSettingsContent::V2(setting) => {
+                        setting.enabled = Some(b);
+                        setting.button = Some(b);
+                    }
+                },
+                Some(AgentSettingsContentInner::Legacy(setting)) => setting.button = Some(b),
                None => {
-                    current.inner = Some(AssistantSettingsContentInner::for_v2(
-                        AssistantSettingsContentV2 {
+                    current.inner =
+                        Some(AgentSettingsContentInner::for_v2(AgentSettingsContentV2 {
                            enabled: Some(b),
                            button: Some(b),
                            ..Default::default()
-                        },
-                    ));
+                        }));
                }
            }
        }
@@ -951,7 +822,7 @@ mod tests {
    use super::*;

    #[gpui::test]
-    async fn test_deserialize_assistant_settings_with_version(cx: &mut TestAppContext) {
+    async fn test_deserialize_agent_settings_with_version(cx: &mut TestAppContext) {
        let fs = fs::FakeFs::new(cx.executor().clone());
        fs.create_dir(paths::settings_file().parent().unwrap())
            .await
@@ -960,13 +831,13 @@ mod tests {
        cx.update(|cx| {
            let test_settings = settings::SettingsStore::test(cx);
            cx.set_global(test_settings);
-            AssistantSettings::register(cx);
+            AgentSettings::register(cx);
        });

        cx.update(|cx| {
-            assert!(!AssistantSettings::get_global(cx).using_outdated_settings_version);
+            assert!(!AgentSettings::get_global(cx).using_outdated_settings_version);
            assert_eq!(
-                AssistantSettings::get_global(cx).default_model,
+                AgentSettings::get_global(cx).default_model,
                LanguageModelSelection {
                    provider: "zed.dev".into(),
                    model: "claude-3-7-sonnet-latest".into(),
@@ -975,36 +846,32 @@ mod tests {
        });

        cx.update(|cx| {
-            settings::SettingsStore::global(cx).update_settings_file::<AssistantSettings>(
+            settings::SettingsStore::global(cx).update_settings_file::<AgentSettings>(
                fs.clone(),
                |settings, _| {
-                    *settings = AssistantSettingsContent {
-                        inner: Some(AssistantSettingsContentInner::for_v2(
-                            AssistantSettingsContentV2 {
-                                default_model: Some(LanguageModelSelection {
-                                    provider: "test-provider".into(),
-                                    model: "gpt-99".into(),
-                                }),
-                                inline_assistant_model: None,
-                                commit_message_model: None,
-                                thread_summary_model: None,
-                                inline_alternatives: None,
-                                enabled: None,
-                                button: None,
-                                dock: None,
-                                default_width: None,
-                                default_height: None,
-                                enable_experimental_live_diffs: None,
-                                default_profile: None,
-                                profiles: None,
-                                always_allow_tool_actions: None,
-                                notify_when_agent_waiting: None,
-                                stream_edits: None,
-                                single_file_review: None,
-                                model_parameters: Vec::new(),
-                                preferred_completion_mode: None,
-                            },
-                        )),
+                    *settings = AgentSettingsContent {
+                        inner: Some(AgentSettingsContentInner::for_v2(AgentSettingsContentV2 {
+                            default_model: Some(LanguageModelSelection {
+                                provider: "test-provider".into(),
+                                model: "gpt-99".into(),
+                            }),
+                            inline_assistant_model: None,
+                            commit_message_model: None,
+                            thread_summary_model: None,
+                            inline_alternatives: None,
+                            enabled: None,
+                            button: None,
+                            dock: None,
+                            default_width: None,
+                            default_height: None,
+                            enable_experimental_live_diffs: None,
+                            default_profile: None,
+                            profiles: None,
+                            always_allow_tool_actions: None,
+                            notify_when_agent_waiting: None,
+                            stream_edits: None,
+                            single_file_review: None,
+                        })),
                    }
                },
            );
@@ -1016,14 +883,14 @@ mod tests {
        assert!(raw_settings_value.contains(r#""version": "2""#));

        #[derive(Debug, Deserialize)]
-        struct AssistantSettingsTest {
-            agent: AssistantSettingsContent,
+        struct AgentSettingsTest {
+            agent: AgentSettingsContent,
        }

-        let assistant_settings: AssistantSettingsTest =
+        let agent_settings: AgentSettingsTest =
            serde_json_lenient::from_str(&raw_settings_value).unwrap();

-        assert!(!assistant_settings.agent.is_version_outdated());
+        assert!(!agent_settings.agent.is_version_outdated());
    }

    #[gpui::test]
@@ -1048,29 +915,27 @@ mod tests {
                .set_user_settings(user_settings_content, cx)
                .unwrap();
            cx.set_global(test_settings);
-            AssistantSettings::register(cx);
+            AgentSettings::register(cx);
        });

        cx.run_until_parked();

-        let assistant_settings = cx.update(|cx| AssistantSettings::get_global(cx).clone());
-        assert!(assistant_settings.enabled);
-        assert!(!assistant_settings.using_outdated_settings_version);
-        assert_eq!(assistant_settings.default_model.model, "gpt-99");
+        let agent_settings = cx.update(|cx| AgentSettings::get_global(cx).clone());
+        assert!(agent_settings.enabled);
+        assert!(!agent_settings.using_outdated_settings_version);
+        assert_eq!(agent_settings.default_model.model, "gpt-99");

        cx.update_global::<SettingsStore, _>(|settings_store, cx| {
-            settings_store.update_user_settings::<AssistantSettings>(cx, |settings| {
-                *settings = AssistantSettingsContent {
-                    inner: Some(AssistantSettingsContentInner::for_v2(
-                        AssistantSettingsContentV2 {
-                            enabled: Some(false),
-                            default_model: Some(LanguageModelSelection {
-                                provider: "xai".to_owned().into(),
-                                model: "grok".to_owned(),
-                            }),
-                            ..Default::default()
-                        },
-                    )),
+            settings_store.update_user_settings::<AgentSettings>(cx, |settings| {
+                *settings = AgentSettingsContent {
+                    inner: Some(AgentSettingsContentInner::for_v2(AgentSettingsContentV2 {
+                        enabled: Some(false),
+                        default_model: Some(LanguageModelSelection {
+                            provider: "xai".to_owned(),
+                            model: "grok".to_owned(),
+                        }),
+                        ..Default::default()
+                    })),
                };
            });
        });
@@ -1080,12 +945,12 @@ mod tests {
        let settings = cx.update(|cx| SettingsStore::global(cx).raw_user_settings().clone());

        #[derive(Debug, Deserialize)]
-        struct AssistantSettingsTest {
-            assistant: AssistantSettingsContent,
+        struct AgentSettingsTest {
+            assistant: AgentSettingsContent,
            agent: Option<serde_json_lenient::Value>,
        }

-        let assistant_settings: AssistantSettingsTest = serde_json::from_value(settings).unwrap();
-        assert!(assistant_settings.agent.is_none());
+        let agent_settings: AgentSettingsTest = serde_json::from_value(settings).unwrap();
+        assert!(agent_settings.agent.is_none());
    }
 }
--- a/crates/assistant/Cargo.toml
+++ b/crates/assistant/Cargo.toml
@@ -23,7 +23,7 @@ test-support = [
 [dependencies]
 anyhow.workspace = true
 assistant_context_editor.workspace = true
-assistant_settings.workspace = true
+agent_settings.workspace = true
 assistant_slash_command.workspace = true
 assistant_slash_commands.workspace = true
 assistant_tool.workspace = true
--- a/crates/assistant/src/assistant.rs
+++ b/crates/assistant/src/assistant.rs
@@ -8,7 +8,7 @@ mod terminal_inline_assistant;

 use std::sync::Arc;

-use assistant_settings::{AssistantSettings, LanguageModelSelection};
+use agent_settings::{AgentSettings, LanguageModelSelection};
 use assistant_slash_command::SlashCommandRegistry;
 use client::Client;
 use command_palette_hooks::CommandPaletteFilter;
@@ -97,7 +97,7 @@ pub fn init(
    cx: &mut App,
 ) {
    cx.set_global(Assistant::default());
-    AssistantSettings::register(cx);
+    AgentSettings::register(cx);
    SlashCommandSettings::register(cx);

    assistant_context_editor::init(client.clone(), cx);
@@ -126,13 +126,13 @@ pub fn init(
        filter.hide_namespace(Assistant::NAMESPACE);
    });
    Assistant::update_global(cx, |assistant, cx| {
-        let settings = AssistantSettings::get_global(cx);
+        let settings = AgentSettings::get_global(cx);

        assistant.set_enabled(settings.enabled, cx);
    });
    cx.observe_global::<SettingsStore>(|cx| {
        Assistant::update_global(cx, |assistant, cx| {
-            let settings = AssistantSettings::get_global(cx);
+            let settings = AgentSettings::get_global(cx);
            assistant.set_enabled(settings.enabled, cx);
        });
    })
@@ -159,11 +159,11 @@ fn init_language_model_settings(cx: &mut App) {
 }

 fn update_active_language_model_from_settings(cx: &mut App) {
-    let settings = AssistantSettings::get_global(cx);
+    let settings = AgentSettings::get_global(cx);

    fn to_selected_model(selection: &LanguageModelSelection) -> language_model::SelectedModel {
        language_model::SelectedModel {
-            provider: LanguageModelProviderId::from(selection.provider.0.clone()),
+            provider: LanguageModelProviderId::from(selection.provider.clone()),
            model: LanguageModelId::from(selection.model.clone()),
        }
    }
--- a/crates/assistant/src/assistant_panel.rs
+++ b/crates/assistant/src/assistant_panel.rs
@@ -3,6 +3,7 @@ use crate::assistant_configuration::{ConfigurationView, ConfigurationViewEvent};
 use crate::{
    DeployHistory, InlineAssistant, NewChat, terminal_inline_assistant::TerminalInlineAssistant,
 };
+use agent_settings::{AgentDockPosition, AgentSettings};
 use anyhow::{Result, anyhow};
 use assistant_context_editor::{
    AssistantContext, AssistantPanelDelegate, ContextEditor, ContextEditorToolbarItem,
@@ -10,7 +11,6 @@ use assistant_context_editor::{
    DEFAULT_TAB_TITLE, InsertDraggedFiles, SlashCommandCompletionProvider,
    make_lsp_adapter_delegate,
 };
-use assistant_settings::{AssistantDockPosition, AssistantSettings};
 use assistant_slash_command::SlashCommandWorkingSet;
 use client::{Client, Status, proto};
 use editor::{Anchor, AnchorRangeExt as _, Editor, EditorEvent, MultiBuffer};
@@ -984,7 +984,7 @@ impl AssistantPanel {
                            .map_or(true, |default| default.provider.id() != provider.id())
                        {
                            if let Some(model) = provider.default_model(cx) {
-                                update_settings_file::<AssistantSettings>(
+                                update_settings_file::<AgentSettings>(
                                    this.fs.clone(),
                                    cx,
                                    move |settings, _| settings.set_model(model),
@@ -1231,10 +1231,10 @@ impl Panel for AssistantPanel {
    }

    fn position(&self, _: &Window, cx: &App) -> DockPosition {
-        match AssistantSettings::get_global(cx).dock {
-            AssistantDockPosition::Left => DockPosition::Left,
-            AssistantDockPosition::Bottom => DockPosition::Bottom,
-            AssistantDockPosition::Right => DockPosition::Right,
+        match AgentSettings::get_global(cx).dock {
+            AgentDockPosition::Left => DockPosition::Left,
+            AgentDockPosition::Bottom => DockPosition::Bottom,
+            AgentDockPosition::Right => DockPosition::Right,
        }
    }

@@ -1243,22 +1243,18 @@ impl Panel for AssistantPanel {
    }

    fn set_position(&mut self, position: DockPosition, _: &mut Window, cx: &mut Context<Self>) {
-        settings::update_settings_file::<AssistantSettings>(
-            self.fs.clone(),
-            cx,
-            move |settings, _| {
-                let dock = match position {
-                    DockPosition::Left => AssistantDockPosition::Left,
-                    DockPosition::Bottom => AssistantDockPosition::Bottom,
-                    DockPosition::Right => AssistantDockPosition::Right,
-                };
-                settings.set_dock(dock);
-            },
-        );
+        settings::update_settings_file::<AgentSettings>(self.fs.clone(), cx, move |settings, _| {
+            let dock = match position {
+                DockPosition::Left => AgentDockPosition::Left,
+                DockPosition::Bottom => AgentDockPosition::Bottom,
+                DockPosition::Right => AgentDockPosition::Right,
+            };
+            settings.set_dock(dock);
+        });
    }

    fn size(&self, window: &Window, cx: &App) -> Pixels {
-        let settings = AssistantSettings::get_global(cx);
+        let settings = AgentSettings::get_global(cx);
        match self.position(window, cx) {
            DockPosition::Left | DockPosition::Right => {
                self.width.unwrap_or(settings.default_width)
@@ -1302,8 +1298,7 @@ impl Panel for AssistantPanel {
    }

    fn icon(&self, _: &Window, cx: &App) -> Option<IconName> {
-        (self.enabled(cx) && AssistantSettings::get_global(cx).button)
-            .then_some(IconName::ZedAssistant)
+        (self.enabled(cx) && AgentSettings::get_global(cx).button).then_some(IconName::ZedAssistant)
    }

    fn icon_tooltip(&self, _: &Window, _: &App) -> Option<&'static str> {
--- a/crates/assistant/src/inline_assistant.rs
+++ b/crates/assistant/src/inline_assistant.rs
@@ -2,9 +2,9 @@ use crate::{
    Assistant, AssistantPanel, AssistantPanelEvent, CycleNextInlineAssist,
    CyclePreviousInlineAssist,
 };
+use agent_settings::AgentSettings;
 use anyhow::{Context as _, Result, anyhow};
 use assistant_context_editor::{RequestType, humanize_token_count};
-use assistant_settings::AssistantSettings;
 use client::{ErrorExt, telemetry::Telemetry};
 use collections::{HashMap, HashSet, VecDeque, hash_map};
 use editor::{
@@ -17,7 +17,9 @@ use editor::{
        ToDisplayPoint,
    },
 };
-use feature_flags::{FeatureFlagAppExt as _, ZedProFeatureFlag};
+use feature_flags::{
+    Assistant2FeatureFlag, FeatureFlagAppExt as _, FeatureFlagViewExt as _, ZedProFeatureFlag,
+};
 use fs::Fs;
 use futures::{
    SinkExt, Stream, StreamExt, TryStreamExt as _,
@@ -72,19 +74,25 @@ pub fn init(
    cx: &mut App,
 ) {
    cx.set_global(InlineAssistant::new(fs, prompt_builder, telemetry));
-    // Don't register now that the Agent is released.
-    if false {
-        cx.observe_new(|_, window, cx| {
-            let Some(window) = window else {
-                return;
-            };
-            let workspace = cx.entity().clone();
-            InlineAssistant::update_global(cx, |inline_assistant, cx| {
-                inline_assistant.register_workspace(&workspace, window, cx)
-            });
+    cx.observe_new(|_, window, cx| {
+        let Some(window) = window else {
+            return;
+        };
+        let workspace = cx.entity().clone();
+        InlineAssistant::update_global(cx, |inline_assistant, cx| {
+            inline_assistant.register_workspace(&workspace, window, cx)
+        });
+
+        cx.observe_flag::<Assistant2FeatureFlag, _>(window, {
+            |is_assistant2_enabled, _workspace, _window, cx| {
+                InlineAssistant::update_global(cx, |inline_assistant, _cx| {
+                    inline_assistant.is_assistant2_enabled = is_assistant2_enabled;
+                });
+            }
        })
        .detach();
-    }
+    })
+    .detach();
 }

 const PROMPT_HISTORY_MAX_LEN: usize = 20;
@@ -100,6 +108,7 @@ pub struct InlineAssistant {
    prompt_builder: Arc<PromptBuilder>,
    telemetry: Arc<Telemetry>,
    fs: Arc<dyn Fs>,
+    is_assistant2_enabled: bool,
 }

 impl Global for InlineAssistant {}
@@ -121,6 +130,7 @@ impl InlineAssistant {
            prompt_builder,
            telemetry,
            fs,
+            is_assistant2_enabled: false,
        }
    }

@@ -146,7 +156,7 @@ impl InlineAssistant {
            let Some(terminal_panel) = workspace.read(cx).panel::<TerminalPanel>(cx) else {
                return;
            };
-            let enabled = AssistantSettings::get_global(cx).enabled;
+            let enabled = AgentSettings::get_global(cx).enabled;
            terminal_panel.update(cx, |terminal_panel, cx| {
                terminal_panel.set_assistant_enabled(enabled, cx)
            });
@@ -189,7 +199,7 @@ impl InlineAssistant {
        window: &mut Window,
        cx: &mut App,
    ) {
-        let is_assistant2_enabled = true;
+        let is_assistant2_enabled = self.is_assistant2_enabled;

        if let Some(editor) = item.act_as::<Editor>(cx) {
            editor.update(cx, |editor, cx| {
@@ -1751,7 +1761,7 @@ impl PromptEditor {
                LanguageModelSelector::new(
                    |cx| LanguageModelRegistry::read_global(cx).default_model(),
                    move |model, cx| {
-                        update_settings_file::<AssistantSettings>(
+                        update_settings_file::<AgentSettings>(
                            fs.clone(),
                            cx,
                            move |settings, _| settings.set_model(model.clone()),
@@ -2474,7 +2484,7 @@ impl InlineAssist {
                    .read(cx)
                    .active_context(cx)?
                    .read(cx)
-                    .to_completion_request(None, RequestType::Chat, cx),
+                    .to_completion_request(RequestType::Chat, cx),
            )
        } else {
            None
@@ -2860,8 +2870,7 @@ impl CodegenAlternative {
        if let Some(ConfiguredModel { model, .. }) =
            LanguageModelRegistry::read_global(cx).inline_assistant_model()
        {
-            let request =
-                self.build_request(&model, user_prompt, assistant_panel_context.clone(), cx);
+            let request = self.build_request(user_prompt, assistant_panel_context.clone(), cx);
            match request {
                Ok(request) => {
                    let total_count = model.count_tokens(request.clone(), cx);
@@ -2906,8 +2915,7 @@ impl CodegenAlternative {
            if user_prompt.trim().to_lowercase() == "delete" {
                async { Ok(LanguageModelTextStream::default()) }.boxed_local()
            } else {
-                let request =
-                    self.build_request(&model, user_prompt, assistant_panel_context, cx)?;
+                let request = self.build_request(user_prompt, assistant_panel_context, cx)?;
                self.request = Some(request.clone());

                cx.spawn(async move |_, cx| model.stream_completion_text(request, &cx).await)
@@ -2919,7 +2927,6 @@ impl CodegenAlternative {

    fn build_request(
        &self,
-        model: &Arc<dyn LanguageModel>,
        user_prompt: String,
        assistant_panel_context: Option<LanguageModelRequest>,
        cx: &App,
@@ -2974,7 +2981,7 @@ impl CodegenAlternative {
            messages,
            tools: Vec::new(),
            stop: Vec::new(),
-            temperature: AssistantSettings::temperature_for_model(&model, cx),
+            temperature: None,
        })
    }

--- a/crates/assistant/src/terminal_inline_assistant.rs
+++ b/crates/assistant/src/terminal_inline_assistant.rs
@@ -1,7 +1,7 @@
 use crate::{AssistantPanel, AssistantPanelEvent, DEFAULT_CONTEXT_LINES};
+use agent_settings::AgentSettings;
 use anyhow::{Context as _, Result};
 use assistant_context_editor::{RequestType, humanize_token_count};
-use assistant_settings::AssistantSettings;
 use client::telemetry::Telemetry;
 use collections::{HashMap, VecDeque};
 use editor::{
@@ -261,7 +261,7 @@ impl TerminalInlineAssistant {
                        .read(cx)
                        .active_context(cx)?
                        .read(cx)
-                        .to_completion_request(None, RequestType::Chat, cx),
+                        .to_completion_request(RequestType::Chat, cx),
                )
            })
        } else {
@@ -756,7 +756,7 @@ impl PromptEditor {
                LanguageModelSelector::new(
                    |cx| LanguageModelRegistry::read_global(cx).default_model(),
                    move |model, cx| {
-                        update_settings_file::<AssistantSettings>(
+                        update_settings_file::<AgentSettings>(
                            fs.clone(),
                            cx,
                            move |settings, _| settings.set_model(model.clone()),
--- a/crates/assistant_context_editor/Cargo.toml
+++ b/crates/assistant_context_editor/Cargo.toml
@@ -13,7 +13,7 @@ path = "src/assistant_context_editor.rs"

 [dependencies]
 anyhow.workspace = true
-assistant_settings.workspace = true
+agent_settings.workspace = true
 assistant_slash_command.workspace = true
 assistant_slash_commands.workspace = true
 chrono.workspace = true
@@ -22,6 +22,7 @@ clock.workspace = true
 collections.workspace = true
 context_server.workspace = true
 editor.workspace = true
+feature_flags.workspace = true
 fs.workspace = true
 futures.workspace = true
 fuzzy.workspace = true
--- a/crates/assistant_context_editor/src/context.rs
+++ b/crates/assistant_context_editor/src/context.rs
@@ -3,7 +3,6 @@ mod context_tests;

 use crate::patch::{AssistantEdit, AssistantPatch, AssistantPatchStatus};
 use anyhow::{Context as _, Result, anyhow};
-use assistant_settings::AssistantSettings;
 use assistant_slash_command::{
    SlashCommandContent, SlashCommandEvent, SlashCommandLine, SlashCommandOutputSection,
    SlashCommandResult, SlashCommandWorkingSet,
@@ -1274,10 +1273,10 @@ impl AssistantContext {
    pub(crate) fn count_remaining_tokens(&mut self, cx: &mut Context<Self>) {
        // Assume it will be a Chat request, even though that takes fewer tokens (and risks going over the limit),
        // because otherwise you see in the UI that your empty message has a bunch of tokens already used.
+        let request = self.to_completion_request(RequestType::Chat, cx);
        let Some(model) = LanguageModelRegistry::read_global(cx).default_model() else {
            return;
        };
-        let request = self.to_completion_request(Some(&model.model), RequestType::Chat, cx);
        let debounce = self.token_count.is_some();
        self.pending_token_count = cx.spawn(async move |this, cx| {
            async move {
@@ -1423,7 +1422,7 @@ impl AssistantContext {
        }

        let request = {
-            let mut req = self.to_completion_request(Some(&model), RequestType::Chat, cx);
+            let mut req = self.to_completion_request(RequestType::Chat, cx);
            // Skip the last message because it's likely to change and
            // therefore would be a waste to cache.
            req.messages.pop();
@@ -2322,7 +2321,7 @@ impl AssistantContext {
        // Compute which messages to cache, including the last one.
        self.mark_cache_anchors(&model.cache_configuration(), false, cx);

-        let request = self.to_completion_request(Some(&model), request_type, cx);
+        let request = self.to_completion_request(request_type, cx);

        let assistant_message = self
            .insert_message_after(last_message_id, Role::Assistant, MessageStatus::Pending, cx)
@@ -2562,7 +2561,6 @@ impl AssistantContext {

    pub fn to_completion_request(
        &self,
-        model: Option<&Arc<dyn LanguageModel>>,
        request_type: RequestType,
        cx: &App,
    ) -> LanguageModelRequest {
@@ -2586,8 +2584,7 @@ impl AssistantContext {
            messages: Vec::new(),
            tools: Vec::new(),
            stop: Vec::new(),
-            temperature: model
-                .and_then(|model| AssistantSettings::temperature_for_model(model, cx)),
+            temperature: None,
        };
        for message in self.messages(cx) {
            if message.status != MessageStatus::Done {
@@ -2984,7 +2981,7 @@ impl AssistantContext {
                return;
            }

-            let mut request = self.to_completion_request(Some(&model.model), RequestType::Chat, cx);
+            let mut request = self.to_completion_request(RequestType::Chat, cx);
            request.messages.push(LanguageModelRequestMessage {
                role: Role::User,
                content: vec![
--- a/crates/assistant_context_editor/src/context/context_tests.rs
+++ b/crates/assistant_context_editor/src/context/context_tests.rs
@@ -43,8 +43,9 @@ use workspace::Workspace;

 #[gpui::test]
 fn test_inserting_and_removing_messages(cx: &mut App) {
-    init_test(cx);
-
+    let settings_store = SettingsStore::test(cx);
+    LanguageModelRegistry::test(cx);
+    cx.set_global(settings_store);
    let registry = Arc::new(LanguageRegistry::test(cx.background_executor().clone()));
    let prompt_builder = Arc::new(PromptBuilder::new(None).unwrap());
    let context = cx.new(|cx| {
@@ -181,8 +182,9 @@ fn test_inserting_and_removing_messages(cx: &mut App) {

 #[gpui::test]
 fn test_message_splitting(cx: &mut App) {
-    init_test(cx);
-
+    let settings_store = SettingsStore::test(cx);
+    cx.set_global(settings_store);
+    LanguageModelRegistry::test(cx);
    let registry = Arc::new(LanguageRegistry::test(cx.background_executor().clone()));

    let prompt_builder = Arc::new(PromptBuilder::new(None).unwrap());
@@ -283,8 +285,9 @@ fn test_message_splitting(cx: &mut App) {

 #[gpui::test]
 fn test_messages_for_offsets(cx: &mut App) {
-    init_test(cx);
-
+    let settings_store = SettingsStore::test(cx);
+    LanguageModelRegistry::test(cx);
+    cx.set_global(settings_store);
    let registry = Arc::new(LanguageRegistry::test(cx.background_executor().clone()));
    let prompt_builder = Arc::new(PromptBuilder::new(None).unwrap());
    let context = cx.new(|cx| {
@@ -375,8 +378,10 @@ fn test_messages_for_offsets(cx: &mut App) {

 #[gpui::test]
 async fn test_slash_commands(cx: &mut TestAppContext) {
-    cx.update(init_test);
-
+    let settings_store = cx.update(SettingsStore::test);
+    cx.set_global(settings_store);
+    cx.update(LanguageModelRegistry::test);
+    cx.update(Project::init_settings);
    let fs = FakeFs::new(cx.background_executor.clone());

    fs.insert_tree(
@@ -666,19 +671,22 @@ async fn test_slash_commands(cx: &mut TestAppContext) {

 #[gpui::test]
 async fn test_workflow_step_parsing(cx: &mut TestAppContext) {
+    cx.update(prompt_store::init);
+    let mut settings_store = cx.update(SettingsStore::test);
    cx.update(|cx| {
-        init_test(cx);
-        cx.update_global(|settings_store: &mut SettingsStore, cx| {
-            settings_store
-                .set_user_settings(
-                    r#"{ "assistant": { "enable_experimental_live_diffs": true } }"#,
-                    cx,
-                )
-                .unwrap()
-        })
+        settings_store
+            .set_user_settings(
+                r#"{ "assistant": { "enable_experimental_live_diffs": true } }"#,
+                cx,
+            )
+            .unwrap()
    });
+    cx.set_global(settings_store);
+    cx.update(language::init);
+    cx.update(Project::init_settings);
    let fs = FakeFs::new(cx.executor());
    let project = Project::test(fs, [Path::new("/root")], cx).await;
+    cx.update(LanguageModelRegistry::test);

    let registry = Arc::new(LanguageRegistry::test(cx.executor()));

@@ -1061,8 +1069,9 @@ async fn test_workflow_step_parsing(cx: &mut TestAppContext) {

 #[gpui::test]
 async fn test_serialization(cx: &mut TestAppContext) {
-    cx.update(init_test);
-
+    let settings_store = cx.update(SettingsStore::test);
+    cx.set_global(settings_store);
+    cx.update(LanguageModelRegistry::test);
    let registry = Arc::new(LanguageRegistry::test(cx.executor()));
    let prompt_builder = Arc::new(PromptBuilder::new(None).unwrap());
    let context = cx.new(|cx| {
@@ -1138,8 +1147,6 @@ async fn test_serialization(cx: &mut TestAppContext) {

 #[gpui::test(iterations = 100)]
 async fn test_random_context_collaboration(cx: &mut TestAppContext, mut rng: StdRng) {
-    cx.update(init_test);
-
    let min_peers = env::var("MIN_PEERS")
        .map(|i| i.parse().expect("invalid `MIN_PEERS` variable"))
        .unwrap_or(2);
@@ -1150,6 +1157,10 @@ async fn test_random_context_collaboration(cx: &mut TestAppContext, mut rng: Std
        .map(|i| i.parse().expect("invalid `OPERATIONS` variable"))
        .unwrap_or(50);

+    let settings_store = cx.update(SettingsStore::test);
+    cx.set_global(settings_store);
+    cx.update(LanguageModelRegistry::test);
+
    let slash_commands = cx.update(SlashCommandRegistry::default_global);
    slash_commands.register_command(FakeSlashCommand("cmd-1".into()), false);
    slash_commands.register_command(FakeSlashCommand("cmd-2".into()), false);
@@ -1418,8 +1429,9 @@ async fn test_random_context_collaboration(cx: &mut TestAppContext, mut rng: Std

 #[gpui::test]
 fn test_mark_cache_anchors(cx: &mut App) {
-    init_test(cx);
-
+    let settings_store = SettingsStore::test(cx);
+    LanguageModelRegistry::test(cx);
+    cx.set_global(settings_store);
    let registry = Arc::new(LanguageRegistry::test(cx.background_executor().clone()));
    let prompt_builder = Arc::new(PromptBuilder::new(None).unwrap());
    let context = cx.new(|cx| {
@@ -1594,16 +1606,6 @@ fn messages_cache(
        .collect()
 }

-fn init_test(cx: &mut App) {
-    let settings_store = SettingsStore::test(cx);
-    prompt_store::init(cx);
-    LanguageModelRegistry::test(cx);
-    cx.set_global(settings_store);
-    language::init(cx);
-    assistant_settings::init(cx);
-    Project::init_settings(cx);
-}
-
 #[derive(Clone)]
 struct FakeSlashCommand(String);

--- a/crates/assistant_context_editor/src/context_editor.rs
+++ b/crates/assistant_context_editor/src/context_editor.rs
@@ -1,5 +1,5 @@
+use agent_settings::AgentSettings;
 use anyhow::Result;
-use assistant_settings::AssistantSettings;
 use assistant_slash_command::{SlashCommand, SlashCommandOutputSection, SlashCommandWorkingSet};
 use assistant_slash_commands::{
    DefaultSlashCommand, DocsSlashCommand, DocsSlashCommandArgs, FileSlashCommand,
@@ -18,6 +18,7 @@ use editor::{
    scroll::Autoscroll,
 };
 use editor::{FoldPlaceholder, display_map::CreaseId};
+use feature_flags::{Assistant2FeatureFlag, FeatureFlagAppExt as _};
 use fs::Fs;
 use futures::FutureExt;
 use gpui::{
@@ -302,7 +303,7 @@ impl ContextEditor {
                LanguageModelSelector::new(
                    |cx| LanguageModelRegistry::read_global(cx).default_model(),
                    move |model, cx| {
-                        update_settings_file::<AssistantSettings>(
+                        update_settings_file::<AgentSettings>(
                            fs.clone(),
                            cx,
                            move |settings, _| settings.set_model(model.clone()),
@@ -2394,11 +2395,19 @@ impl ContextEditor {
                            .on_click({
                                let focus_handle = self.focus_handle(cx).clone();
                                move |_event, window, cx| {
-                                    focus_handle.dispatch_action(
-                                        &zed_actions::agent::OpenConfiguration,
-                                        window,
-                                        cx,
-                                    );
+                                    if cx.has_flag::<Assistant2FeatureFlag>() {
+                                        focus_handle.dispatch_action(
+                                            &zed_actions::agent::OpenConfiguration,
+                                            window,
+                                            cx,
+                                        );
+                                    } else {
+                                        focus_handle.dispatch_action(
+                                            &zed_actions::assistant::ShowConfiguration,
+                                            window,
+                                            cx,
+                                        );
+                                    };
                                }
                            }),
                    )
@@ -2453,7 +2462,7 @@ impl ContextEditor {
            })
            .layer(ElevationIndex::ModalSurface)
            .child(Label::new(
-                if AssistantSettings::get_global(cx).are_live_diffs_enabled(cx) {
+                if AgentSettings::get_global(cx).are_live_diffs_enabled(cx) {
                    "Chat"
                } else {
                    "Send"
@@ -3140,7 +3149,7 @@ impl Render for ContextEditor {
                                .w_full()
                                .justify_end()
                                .when(
-                                    AssistantSettings::get_global(cx).are_live_diffs_enabled(cx),
+                                    AgentSettings::get_global(cx).are_live_diffs_enabled(cx),
                                    |buttons| {
                                        buttons
                                            .items_center()
--- a/crates/assistant_tool/src/assistant_tool.rs
+++ b/crates/assistant_tool/src/assistant_tool.rs
@@ -7,7 +7,6 @@ mod tool_working_set;
 use std::fmt;
 use std::fmt::Debug;
 use std::fmt::Formatter;
-use std::ops::Deref;
 use std::sync::Arc;

 use anyhow::Result;
@@ -18,7 +17,6 @@ use gpui::IntoElement;
 use gpui::Window;
 use gpui::{App, Entity, SharedString, Task, WeakEntity};
 use icons::IconName;
-use language_model::LanguageModel;
 use language_model::LanguageModelRequestMessage;
 use language_model::LanguageModelToolSchemaFormat;
 use project::Project;
@@ -63,34 +61,11 @@ impl ToolUseStatus {
    }
 }

-#[derive(Debug)]
-pub struct ToolResultOutput {
-    pub content: String,
-    pub output: Option<serde_json::Value>,
-}
-
-impl From<String> for ToolResultOutput {
-    fn from(value: String) -> Self {
-        ToolResultOutput {
-            content: value,
-            output: None,
-        }
-    }
-}
-
-impl Deref for ToolResultOutput {
-    type Target = String;
-
-    fn deref(&self) -> &Self::Target {
-        &self.content
-    }
-}
-
 /// The result of running a tool, containing both the asynchronous output
 /// and an optional card view that can be rendered immediately.
 pub struct ToolResult {
    /// The asynchronous task that will eventually resolve to the tool's output
-    pub output: Task<Result<ToolResultOutput>>,
+    pub output: Task<Result<String>>,
    /// An optional view to present the output of the tool.
    pub card: Option<AnyToolCard>,
 }
@@ -153,9 +128,9 @@ impl AnyToolCard {
    }
 }

-impl From<Task<Result<ToolResultOutput>>> for ToolResult {
+impl From<Task<Result<String>>> for ToolResult {
    /// Convert from a task to a ToolResult with no card
-    fn from(output: Task<Result<ToolResultOutput>>) -> Self {
+    fn from(output: Task<Result<String>>) -> Self {
        Self { output, card: None }
    }
 }
@@ -209,20 +184,9 @@ pub trait Tool: 'static + Send + Sync {
        messages: &[LanguageModelRequestMessage],
        project: Entity<Project>,
        action_log: Entity<ActionLog>,
-        model: Arc<dyn LanguageModel>,
        window: Option<AnyWindowHandle>,
        cx: &mut App,
    ) -> ToolResult;
-
-    fn deserialize_card(
-        self: Arc<Self>,
-        _output: serde_json::Value,
-        _project: Entity<Project>,
-        _window: &mut Window,
-        _cx: &mut App,
-    ) -> Option<AnyToolCard> {
-        None
-    }
 }

 impl Debug for dyn Tool {
--- a/crates/assistant_tools/Cargo.toml
+++ b/crates/assistant_tools/Cargo.toml
@@ -18,7 +18,7 @@ eval = []
 aho-corasick.workspace = true
 anyhow.workspace = true
 assistant_tool.workspace = true
-assistant_settings.workspace = true
+agent_settings.workspace = true
 buffer_diff.workspace = true
 chrono.workspace = true
 collections.workspace = true
--- a/crates/assistant_tools/src/assistant_tools.rs
+++ b/crates/assistant_tools/src/assistant_tools.rs
@@ -1,5 +1,6 @@
 mod copy_path_tool;
 mod create_directory_tool;
+mod create_file_tool;
 mod delete_path_tool;
 mod diagnostics_tool;
 mod edit_agent;
@@ -12,7 +13,9 @@ mod move_path_tool;
 mod now_tool;
 mod open_tool;
 mod read_file_tool;
+mod replace;
 mod schema;
+mod streaming_edit_file_tool;
 mod templates;
 mod terminal_tool;
 mod thinking_tool;
@@ -21,12 +24,15 @@ mod web_search_tool;

 use std::sync::Arc;

+use agent_settings::AgentSettings;
 use assistant_tool::ToolRegistry;
 use copy_path_tool::CopyPathTool;
+use feature_flags::{AgentStreamEditsFeatureFlag, FeatureFlagAppExt};
 use gpui::{App, Entity};
 use http_client::HttpClientWithUrl;
 use language_model::LanguageModelRegistry;
 use move_path_tool::MovePathTool;
+use settings::{Settings, SettingsStore};
 use web_search_tool::WebSearchTool;

 pub(crate) use templates::*;
@@ -34,19 +40,21 @@ pub(crate) use templates::*;
 use crate::create_directory_tool::CreateDirectoryTool;
 use crate::delete_path_tool::DeletePathTool;
 use crate::diagnostics_tool::DiagnosticsTool;
-use crate::edit_file_tool::EditFileTool;
 use crate::fetch_tool::FetchTool;
 use crate::find_path_tool::FindPathTool;
 use crate::grep_tool::GrepTool;
 use crate::list_directory_tool::ListDirectoryTool;
 use crate::now_tool::NowTool;
 use crate::read_file_tool::ReadFileTool;
+use crate::streaming_edit_file_tool::StreamingEditFileTool;
 use crate::thinking_tool::ThinkingTool;

-pub use edit_file_tool::EditFileToolInput;
+pub use create_file_tool::{CreateFileTool, CreateFileToolInput};
+pub use edit_file_tool::{EditFileTool, EditFileToolInput};
 pub use find_path_tool::FindPathToolInput;
 pub use open_tool::OpenTool;
 pub use read_file_tool::ReadFileToolInput;
+pub use streaming_edit_file_tool::StreamingEditFileToolInput;
 pub use terminal_tool::TerminalTool;

 pub fn init(http_client: Arc<HttpClientWithUrl>, cx: &mut App) {
@@ -67,7 +75,12 @@ pub fn init(http_client: Arc<HttpClientWithUrl>, cx: &mut App) {
    registry.register_tool(GrepTool);
    registry.register_tool(ThinkingTool);
    registry.register_tool(FetchTool::new(http_client));
-    registry.register_tool(EditFileTool);
+
+    register_edit_file_tool(cx);
+    cx.observe_flag::<AgentStreamEditsFeatureFlag, _>(|_, cx| register_edit_file_tool(cx))
+        .detach();
+    cx.observe_global::<SettingsStore>(register_edit_file_tool)
+        .detach();

    register_web_search_tool(&LanguageModelRegistry::global(cx), cx);
    cx.subscribe(
@@ -94,16 +107,29 @@ fn register_web_search_tool(registry: &Entity<LanguageModelRegistry>, cx: &mut A
    }
 }

+fn register_edit_file_tool(cx: &mut App) {
+    let registry = ToolRegistry::global(cx);
+
+    registry.unregister_tool(CreateFileTool);
+    registry.unregister_tool(EditFileTool);
+    registry.unregister_tool(StreamingEditFileTool);
+
+    if AgentSettings::get_global(cx).stream_edits(cx) {
+        registry.register_tool(StreamingEditFileTool);
+    } else {
+        registry.register_tool(CreateFileTool);
+        registry.register_tool(EditFileTool);
+    }
+}
+
 #[cfg(test)]
 mod tests {
    use super::*;
-    use assistant_settings::AssistantSettings;
    use client::Client;
    use clock::FakeSystemClock;
    use http_client::FakeHttpClient;
    use schemars::JsonSchema;
    use serde::Serialize;
-    use settings::Settings;

    #[test]
    fn test_json_schema() {
@@ -134,7 +160,7 @@ mod tests {
    #[gpui::test]
    fn test_builtin_tool_schema_compatibility(cx: &mut App) {
        settings::init(cx);
-        AssistantSettings::register(cx);
+        AgentSettings::register(cx);

        let client = Client::new(
            Arc::new(FakeSystemClock::new()),
--- a/crates/assistant_tools/src/copy_path_tool.rs
+++ b/crates/assistant_tools/src/copy_path_tool.rs
@@ -3,8 +3,8 @@ use anyhow::{Result, anyhow};
 use assistant_tool::{ActionLog, Tool, ToolResult};
 use gpui::AnyWindowHandle;
 use gpui::{App, AppContext, Entity, Task};
+use language_model::LanguageModelRequestMessage;
 use language_model::LanguageModelToolSchemaFormat;
-use language_model::{LanguageModel, LanguageModelRequestMessage};
 use project::Project;
 use schemars::JsonSchema;
 use serde::{Deserialize, Serialize};
@@ -77,7 +77,6 @@ impl Tool for CopyPathTool {
        _messages: &[LanguageModelRequestMessage],
        project: Entity<Project>,
        _action_log: Entity<ActionLog>,
-        _model: Arc<dyn LanguageModel>,
        _window: Option<AnyWindowHandle>,
        cx: &mut App,
    ) -> ToolResult {
@@ -108,9 +107,10 @@ impl Tool for CopyPathTool {

        cx.background_spawn(async move {
            match copy_task.await {
-                Ok(_) => Ok(
-                    format!("Copied {} to {}", input.source_path, input.destination_path).into(),
-                ),
+                Ok(_) => Ok(format!(
+                    "Copied {} to {}",
+                    input.source_path, input.destination_path
+                )),
                Err(err) => Err(anyhow!(
                    "Failed to copy {} to {}: {}",
                    input.source_path,
--- a/crates/assistant_tools/src/create_directory_tool.rs
+++ b/crates/assistant_tools/src/create_directory_tool.rs
@@ -3,7 +3,8 @@ use anyhow::{Result, anyhow};
 use assistant_tool::{ActionLog, Tool, ToolResult};
 use gpui::AnyWindowHandle;
 use gpui::{App, Entity, Task};
-use language_model::{LanguageModel, LanguageModelRequestMessage, LanguageModelToolSchemaFormat};
+use language_model::LanguageModelRequestMessage;
+use language_model::LanguageModelToolSchemaFormat;
 use project::Project;
 use schemars::JsonSchema;
 use serde::{Deserialize, Serialize};
@@ -64,7 +65,6 @@ impl Tool for CreateDirectoryTool {
        _messages: &[LanguageModelRequestMessage],
        project: Entity<Project>,
        _action_log: Entity<ActionLog>,
-        _model: Arc<dyn LanguageModel>,
        _window: Option<AnyWindowHandle>,
        cx: &mut App,
    ) -> ToolResult {
@@ -88,7 +88,7 @@ impl Tool for CreateDirectoryTool {
                .await
                .map_err(|err| anyhow!("Unable to create directory {destination_path}: {err}"))?;

-            Ok(format!("Created directory {destination_path}").into())
+            Ok(format!("Created directory {destination_path}"))
        })
        .into()
    }
--- a/crates/assistant_tools/src/create_file_tool.rs
+++ b/crates/assistant_tools/src/create_file_tool.rs
@@ -0,0 +1,195 @@
+use crate::schema::json_schema_for;
+use anyhow::{Result, anyhow};
+use assistant_tool::{ActionLog, Tool, ToolResult};
+use gpui::AnyWindowHandle;
+use gpui::{App, Entity, Task};
+use language_model::LanguageModelRequestMessage;
+use language_model::LanguageModelToolSchemaFormat;
+use project::Project;
+use schemars::JsonSchema;
+use serde::{Deserialize, Serialize};
+use std::sync::Arc;
+use ui::IconName;
+use util::markdown::MarkdownInlineCode;
+
+#[derive(Debug, Serialize, Deserialize, JsonSchema)]
+pub struct CreateFileToolInput {
+    /// The path where the file should be created.
+    ///
+    /// <example>
+    /// If the project has the following structure:
+    ///
+    /// - directory1/
+    /// - directory2/
+    ///
+    /// You can create a new file by providing a path of "directory1/new_file.txt"
+    /// </example>
+    ///
+    /// Make sure to include this field before the `contents` field in the input object
+    /// so that we can display it immediately.
+    pub path: String,
+
+    /// The text contents of the file to create.
+    ///
+    /// <example>
+    /// To create a file with the text "Hello, World!", provide contents of "Hello, World!"
+    /// </example>
+    pub contents: String,
+}
+
+#[derive(Debug, Serialize, Deserialize, JsonSchema)]
+struct PartialInput {
+    #[serde(default)]
+    path: String,
+    #[serde(default)]
+    contents: String,
+}
+
+pub struct CreateFileTool;
+
+const DEFAULT_UI_TEXT: &str = "Create file";
+
+impl Tool for CreateFileTool {
+    fn name(&self) -> String {
+        "create_file".into()
+    }
+
+    fn needs_confirmation(&self, _: &serde_json::Value, _: &App) -> bool {
+        false
+    }
+
+    fn description(&self) -> String {
+        include_str!("./create_file_tool/description.md").into()
+    }
+
+    fn icon(&self) -> IconName {
+        IconName::FileCreate
+    }
+
+    fn input_schema(&self, format: LanguageModelToolSchemaFormat) -> Result<serde_json::Value> {
+        json_schema_for::<CreateFileToolInput>(format)
+    }
+
+    fn ui_text(&self, input: &serde_json::Value) -> String {
+        match serde_json::from_value::<CreateFileToolInput>(input.clone()) {
+            Ok(input) => {
+                let path = MarkdownInlineCode(&input.path);
+                format!("Create file {path}")
+            }
+            Err(_) => DEFAULT_UI_TEXT.to_string(),
+        }
+    }
+
+    fn still_streaming_ui_text(&self, input: &serde_json::Value) -> String {
+        match serde_json::from_value::<PartialInput>(input.clone()).ok() {
+            Some(input) if !input.path.is_empty() => input.path,
+            _ => DEFAULT_UI_TEXT.to_string(),
+        }
+    }
+
+    fn run(
+        self: Arc<Self>,
+        input: serde_json::Value,
+        _messages: &[LanguageModelRequestMessage],
+        project: Entity<Project>,
+        action_log: Entity<ActionLog>,
+        _window: Option<AnyWindowHandle>,
+        cx: &mut App,
+    ) -> ToolResult {
+        let input = match serde_json::from_value::<CreateFileToolInput>(input) {
+            Ok(input) => input,
+            Err(err) => return Task::ready(Err(anyhow!(err))).into(),
+        };
+        let project_path = match project.read(cx).find_project_path(&input.path, cx) {
+            Some(project_path) => project_path,
+            None => {
+                return Task::ready(Err(anyhow!("Path to create was outside the project"))).into();
+            }
+        };
+        let contents: Arc<str> = input.contents.as_str().into();
+        let destination_path: Arc<str> = input.path.as_str().into();
+
+        cx.spawn(async move |cx| {
+            let buffer = project
+                .update(cx, |project, cx| {
+                    project.open_buffer(project_path.clone(), cx)
+                })?
+                .await
+                .map_err(|err| anyhow!("Unable to open buffer for {destination_path}: {err}"))?;
+            cx.update(|cx| {
+                action_log.update(cx, |action_log, cx| {
+                    action_log.buffer_created(buffer.clone(), cx)
+                });
+                buffer.update(cx, |buffer, cx| buffer.set_text(contents, cx));
+                action_log.update(cx, |action_log, cx| {
+                    action_log.buffer_edited(buffer.clone(), cx)
+                });
+            })?;
+
+            project
+                .update(cx, |project, cx| project.save_buffer(buffer, cx))?
+                .await
+                .map_err(|err| anyhow!("Unable to save buffer for {destination_path}: {err}"))?;
+
+            Ok(format!("Created file {destination_path}"))
+        })
+        .into()
+    }
+}
+
+#[cfg(test)]
+mod tests {
+    use super::*;
+    use serde_json::json;
+
+    #[test]
+    fn still_streaming_ui_text_with_path() {
+        let tool = CreateFileTool;
+        let input = json!({
+            "path": "src/main.rs",
+            "contents": "fn main() {\n    println!(\"Hello, world!\");\n}"
+        });
+
+        assert_eq!(tool.still_streaming_ui_text(&input), "src/main.rs");
+    }
+
+    #[test]
+    fn still_streaming_ui_text_without_path() {
+        let tool = CreateFileTool;
+        let input = json!({
+            "path": "",
+            "contents": "fn main() {\n    println!(\"Hello, world!\");\n}"
+        });
+
+        assert_eq!(tool.still_streaming_ui_text(&input), DEFAULT_UI_TEXT);
+    }
+
+    #[test]
+    fn still_streaming_ui_text_with_null() {
+        let tool = CreateFileTool;
+        let input = serde_json::Value::Null;
+
+        assert_eq!(tool.still_streaming_ui_text(&input), DEFAULT_UI_TEXT);
+    }
+
+    #[test]
+    fn ui_text_with_valid_input() {
+        let tool = CreateFileTool;
+        let input = json!({
+            "path": "src/main.rs",
+            "contents": "fn main() {\n    println!(\"Hello, world!\");\n}"
+        });
+
+        assert_eq!(tool.ui_text(&input), "Create file `src/main.rs`");
+    }
+
+    #[test]
+    fn ui_text_with_invalid_input() {
+        let tool = CreateFileTool;
+        let input = json!({
+            "invalid": "field"
+        });
+
+        assert_eq!(tool.ui_text(&input), DEFAULT_UI_TEXT);
+    }
+}
--- a/crates/assistant_tools/src/create_file_tool/description.md
+++ b/crates/assistant_tools/src/create_file_tool/description.md
@@ -0,0 +1,3 @@
+Creates a new file at the specified path within the project, containing the given text content. Returns confirmation that the file was created.
+
+This tool is the most efficient way to create new files within the project, so it should always be chosen whenever it's necessary to create a new file in the project with specific text content, or whenever a file in the project needs such a drastic change that you would prefer to replace the entire thing instead of making individual edits. This tool should not be used when making changes to parts of an existing file but not all of it. In those cases, it's better to use another approach to edit the file.
--- a/crates/assistant_tools/src/delete_path_tool.rs
+++ b/crates/assistant_tools/src/delete_path_tool.rs
@@ -3,7 +3,7 @@ use anyhow::{Result, anyhow};
 use assistant_tool::{ActionLog, Tool, ToolResult};
 use futures::{SinkExt, StreamExt, channel::mpsc};
 use gpui::{AnyWindowHandle, App, AppContext, Entity, Task};
-use language_model::{LanguageModel, LanguageModelRequestMessage, LanguageModelToolSchemaFormat};
+use language_model::{LanguageModelRequestMessage, LanguageModelToolSchemaFormat};
 use project::{Project, ProjectPath};
 use schemars::JsonSchema;
 use serde::{Deserialize, Serialize};
@@ -62,7 +62,6 @@ impl Tool for DeletePathTool {
        _messages: &[LanguageModelRequestMessage],
        project: Entity<Project>,
        action_log: Entity<ActionLog>,
-        _model: Arc<dyn LanguageModel>,
        _window: Option<AnyWindowHandle>,
        cx: &mut App,
    ) -> ToolResult {
@@ -128,7 +127,7 @@ impl Tool for DeletePathTool {

            match delete {
                Some(deletion_task) => match deletion_task.await {
-                    Ok(()) => Ok(format!("Deleted {path_str}").into()),
+                    Ok(()) => Ok(format!("Deleted {path_str}")),
                    Err(err) => Err(anyhow!("Failed to delete {path_str}: {err}")),
                },
                None => Err(anyhow!(
--- a/crates/assistant_tools/src/diagnostics_tool.rs
+++ b/crates/assistant_tools/src/diagnostics_tool.rs
@@ -3,7 +3,7 @@ use anyhow::{Result, anyhow};
 use assistant_tool::{ActionLog, Tool, ToolResult};
 use gpui::{AnyWindowHandle, App, Entity, Task};
 use language::{DiagnosticSeverity, OffsetRangeExt};
-use language_model::{LanguageModel, LanguageModelRequestMessage, LanguageModelToolSchemaFormat};
+use language_model::{LanguageModelRequestMessage, LanguageModelToolSchemaFormat};
 use project::Project;
 use schemars::JsonSchema;
 use serde::{Deserialize, Serialize};
@@ -82,7 +82,6 @@ impl Tool for DiagnosticsTool {
        _messages: &[LanguageModelRequestMessage],
        project: Entity<Project>,
        action_log: Entity<ActionLog>,
-        _model: Arc<dyn LanguageModel>,
        _window: Option<AnyWindowHandle>,
        cx: &mut App,
    ) -> ToolResult {
@@ -123,9 +122,9 @@ impl Tool for DiagnosticsTool {
                    }

                    if output.is_empty() {
-                        Ok("File doesn't have errors or warnings!".to_string().into())
+                        Ok("File doesn't have errors or warnings!".to_string())
                    } else {
-                        Ok(output.into())
+                        Ok(output)
                    }
                })
                .into()
@@ -159,12 +158,10 @@ impl Tool for DiagnosticsTool {
                });

                if has_diagnostics {
-                    Task::ready(Ok(output.into())).into()
+                    Task::ready(Ok(output)).into()
                } else {
-                    Task::ready(Ok("No errors or warnings found in the project."
-                        .to_string()
-                        .into()))
-                    .into()
+                    Task::ready(Ok("No errors or warnings found in the project.".to_string()))
+                        .into()
                }
            }
        }
--- a/crates/assistant_tools/src/edit_agent/evals.rs
+++ b/crates/assistant_tools/src/edit_agent/evals.rs
@@ -1,5 +1,8 @@
 use super::*;
-use crate::{ReadFileToolInput, edit_file_tool::EditFileToolInput, grep_tool::GrepToolInput};
+use crate::{
+    ReadFileToolInput, grep_tool::GrepToolInput,
+    streaming_edit_file_tool::StreamingEditFileToolInput,
+};
 use Role::*;
 use anyhow::anyhow;
 use client::{Client, UserStore};
@@ -66,7 +69,7 @@ fn eval_extract_handle_command_output() {
                    [tool_use(
                        "tool_2",
                        "edit_file",
-                        EditFileToolInput {
+                        StreamingEditFileToolInput {
                            display_description: edit_description.into(),
                            path: input_file_path.into(),
                            create_or_overwrite: false,
@@ -122,7 +125,7 @@ fn eval_delete_run_git_blame() {
                    [tool_use(
                        "tool_2",
                        "edit_file",
-                        EditFileToolInput {
+                        StreamingEditFileToolInput {
                            display_description: edit_description.into(),
                            path: input_file_path.into(),
                            create_or_overwrite: false,
@@ -237,7 +240,7 @@ fn eval_use_wasi_sdk_in_compile_parser_to_wasm() {
                    [tool_use(
                        "tool_4",
                        "edit_file",
-                        EditFileToolInput {
+                        StreamingEditFileToolInput {
                            display_description: edit_description.into(),
                            path: input_file_path.into(),
                            create_or_overwrite: false,
@@ -313,7 +316,7 @@ fn eval_disable_cursor_blinking() {
                    [tool_use(
                        "tool_4",
                        "edit_file",
-                        EditFileToolInput {
+                        StreamingEditFileToolInput {
                            display_description: edit_description.into(),
                            path: input_file_path.into(),
                            create_or_overwrite: false,
@@ -503,7 +506,7 @@ fn eval_from_pixels_constructor() {
                    [tool_use(
                        "tool_5",
                        "edit_file",
-                        EditFileToolInput {
+                        StreamingEditFileToolInput {
                            display_description: edit_description.into(),
                            path: input_file_path.into(),
                            create_or_overwrite: false,
@@ -580,7 +583,7 @@ fn eval_zode() {
                        tool_use(
                            "tool_3",
                            "edit_file",
-                            EditFileToolInput {
+                            StreamingEditFileToolInput {
                                display_description: edit_description.into(),
                                path: input_file_path.into(),
                                create_or_overwrite: true,
@@ -825,7 +828,7 @@ fn eval_add_overwrite_test() {
                        tool_use(
                            "tool_5",
                            "edit_file",
-                            EditFileToolInput {
+                            StreamingEditFileToolInput {
                                display_description: edit_description.into(),
                                path: input_file_path.into(),
                                create_or_overwrite: false,
@@ -892,7 +895,6 @@ fn tool_result(
        tool_name: name.into(),
        is_error: false,
        content: result.into(),
-        output: None,
    })
 }

--- a/crates/assistant_tools/src/edit_file_tool.rs
+++ b/crates/assistant_tools/src/edit_file_tool.rs
@@ -1,26 +1,21 @@
 use crate::{
-    Templates,
-    edit_agent::{EditAgent, EditAgentOutputEvent},
+    replace::{replace_exact, replace_with_flexible_indent},
    schema::json_schema_for,
 };
-use anyhow::{Result, anyhow};
-use assistant_tool::{
-    ActionLog, AnyToolCard, Tool, ToolCard, ToolResult, ToolResultOutput, ToolUseStatus,
-};
+use anyhow::{Context as _, Result, anyhow};
+use assistant_tool::{ActionLog, AnyToolCard, Tool, ToolCard, ToolResult, ToolUseStatus};
 use buffer_diff::{BufferDiff, BufferDiffSnapshot};
 use editor::{Editor, EditorElement, EditorMode, EditorStyle, MultiBuffer, PathKey};
-use futures::StreamExt;
 use gpui::{
-    Animation, AnimationExt, AnyWindowHandle, App, AppContext, AsyncApp, Entity, EntityId, Task,
-    TextStyle, WeakEntity, pulsating_between,
+    Animation, AnimationExt, AnyWindowHandle, App, AppContext, AsyncApp, Context, Entity, EntityId,
+    Task, TextStyle, WeakEntity, pulsating_between,
 };
-use indoc::formatdoc;
 use language::{
    Anchor, Buffer, Capability, LanguageRegistry, LineEnding, OffsetRangeExt, Rope, TextBuffer,
    language_settings::SoftWrap,
 };
-use language_model::{LanguageModel, LanguageModelRequestMessage, LanguageModelToolSchemaFormat};
-use project::Project;
+use language_model::{LanguageModelRequestMessage, LanguageModelToolSchemaFormat};
+use project::{AgentLocation, Project};
 use schemars::JsonSchema;
 use serde::{Deserialize, Serialize};
 use settings::Settings;
@@ -30,7 +25,7 @@ use std::{
    time::Duration,
 };
 use theme::ThemeSettings;
-use ui::{Disclosure, Tooltip, prelude::*};
+use ui::{Disclosure, Tooltip, Window, prelude::*};
 use util::ResultExt;
 use workspace::Workspace;

@@ -38,13 +33,7 @@ pub struct EditFileTool;

 #[derive(Debug, Serialize, Deserialize, JsonSchema)]
 pub struct EditFileToolInput {
-    /// A one-line, user-friendly markdown description of the edit. This will be
-    /// shown in the UI and also passed to another model to perform the edit.
-    ///
-    /// Be terse, but also descriptive in what you want to achieve with this
-    /// edit. Avoid generic instructions.
-    ///
-    /// NEVER mention the file path in this description.
+    /// A user-friendly markdown description of what's being replaced. This will be shown in the UI.
    ///
    /// <example>Fix API endpoint URLs</example>
    /// <example>Update copyright year in `page_footer`</example>
@@ -53,7 +42,7 @@ pub struct EditFileToolInput {
    /// so that we can display it immediately.
    pub display_description: String,

-    /// The full path of the file to create or modify in the project.
+    /// The full path of the file to modify in the project.
    ///
    /// WARNING: When specifying which file path need changing, you MUST
    /// start each path with one of the project's root directories.
@@ -74,19 +63,11 @@ pub struct EditFileToolInput {
    /// </example>
    pub path: PathBuf,

-    /// If true, this tool will recreate the file from scratch.
-    /// If false, this tool will produce granular edits to an existing file.
-    ///
-    /// When a file already exists or you just created it, always prefer editing
-    /// it as opposed to recreating it from scratch.
-    pub create_or_overwrite: bool,
-}
+    /// The text to replace.
+    pub old_string: String,

-#[derive(Debug, Serialize, Deserialize, JsonSchema)]
-pub struct EditFileToolOutput {
-    pub original_path: PathBuf,
-    pub new_text: String,
-    pub old_text: String,
+    /// The text to replace it with.
+    pub new_string: String,
 }

 #[derive(Debug, Serialize, Deserialize, JsonSchema)]
@@ -95,6 +76,10 @@ struct PartialInput {
    path: String,
    #[serde(default)]
    display_description: String,
+    #[serde(default)]
+    old_string: String,
+    #[serde(default)]
+    new_string: String,
 }

 const DEFAULT_UI_TEXT: &str = "Editing file";
@@ -146,10 +131,9 @@ impl Tool for EditFileTool {
    fn run(
        self: Arc<Self>,
        input: serde_json::Value,
-        messages: &[LanguageModelRequestMessage],
+        _messages: &[LanguageModelRequestMessage],
        project: Entity<Project>,
        action_log: Entity<ActionLog>,
-        model: Arc<dyn LanguageModel>,
        window: Option<AnyWindowHandle>,
        cx: &mut App,
    ) -> ToolResult {
@@ -158,14 +142,6 @@ impl Tool for EditFileTool {
            Err(err) => return Task::ready(Err(anyhow!(err))).into(),
        };

-        let Some(project_path) = project.read(cx).find_project_path(&input.path, cx) else {
-            return Task::ready(Err(anyhow!(
-                "Path {} not found in project",
-                input.path.display()
-            )))
-            .into();
-        };
-
        let card = window.and_then(|window| {
            window
                .update(cx, |_, window, cx| {
@@ -177,9 +153,12 @@ impl Tool for EditFileTool {
        });

        let card_clone = card.clone();
-        let messages = messages.to_vec();
        let task = cx.spawn(async move |cx: &mut AsyncApp| {
-            let edit_agent = EditAgent::new(model, project.clone(), action_log, Templates::new());
+            let project_path = project.read_with(cx, |project, cx| {
+                project
+                    .find_project_path(&input.path, cx)
+                    .context("Path not found in project")
+            })??;

            let buffer = project
                .update(cx, |project, cx| {
@@ -187,88 +166,118 @@ impl Tool for EditFileTool {
                })?
                .await?;

-            let exists = buffer.read_with(cx, |buffer, _| {
-                buffer
-                    .file()
-                    .as_ref()
-                    .map_or(false, |file| file.disk_state().exists())
-            })?;
-            if !input.create_or_overwrite && !exists {
-                return Err(anyhow!("{} not found", input.path.display()));
+            // Set the agent's location to the top of the file
+            project
+                .update(cx, |project, cx| {
+                    project.set_agent_location(
+                        Some(AgentLocation {
+                            buffer: buffer.downgrade(),
+                            position: language::Anchor::MIN,
+                        }),
+                        cx,
+                    );
+                })
+                .ok();
+
+            let snapshot = buffer.read_with(cx, |buffer, _cx| buffer.snapshot())?;
+
+            if input.old_string.is_empty() {
+                return Err(anyhow!(
+                    "`old_string` can't be empty, use another tool if you want to create a file."
+                ));
            }

-            let old_snapshot = buffer.read_with(cx, |buffer, _cx| buffer.snapshot())?;
-            let old_text = cx
-                .background_spawn({
-                    let old_snapshot = old_snapshot.clone();
-                    async move { old_snapshot.text() }
+            if input.old_string == input.new_string {
+                return Err(anyhow!(
+                    "The `old_string` and `new_string` are identical, so no changes would be made."
+                ));
+            }
+
+            let result = cx
+                .background_spawn(async move {
+                    // Try to match exactly
+                    let diff = replace_exact(&input.old_string, &input.new_string, &snapshot)
+                        .await
+                        // If that fails, try being flexible about indentation
+                        .or_else(|| {
+                            replace_with_flexible_indent(
+                                &input.old_string,
+                                &input.new_string,
+                                &snapshot,
+                            )
+                        })?;
+
+                    if diff.edits.is_empty() {
+                        return None;
+                    }
+
+                    let old_text = snapshot.text();
+
+                    Some((old_text, diff))
                })
                .await;

-            let (output, mut events) = if input.create_or_overwrite {
-                edit_agent.overwrite(
-                    buffer.clone(),
-                    input.display_description.clone(),
-                    messages,
-                    cx,
-                )
-            } else {
-                edit_agent.edit(
-                    buffer.clone(),
-                    input.display_description.clone(),
-                    messages,
-                    cx,
-                )
+            let Some((old_text, diff)) = result else {
+                let err = buffer.read_with(cx, |buffer, _cx| {
+                    let file_exists = buffer
+                        .file()
+                        .map_or(false, |file| file.disk_state().exists());
+
+                    if !file_exists {
+                        anyhow!("{} does not exist", input.path.display())
+                    } else if buffer.is_empty() {
+                        anyhow!(
+                            "{} is empty, so the provided `old_string` wasn't found.",
+                            input.path.display()
+                        )
+                    } else {
+                        anyhow!("Failed to match the provided `old_string`")
+                    }
+                })?;
+
+                return Err(err);
            };

-            let mut hallucinated_old_text = false;
-            while let Some(event) = events.next().await {
-                match event {
-                    EditAgentOutputEvent::Edited => {
-                        if let Some(card) = card_clone.as_ref() {
-                            let new_snapshot =
-                                buffer.read_with(cx, |buffer, _cx| buffer.snapshot())?;
-                            let new_text = cx
-                                .background_spawn({
-                                    let new_snapshot = new_snapshot.clone();
-                                    async move { new_snapshot.text() }
-                                })
-                                .await;
-                            card.update(cx, |card, cx| {
-                                card.set_diff(
-                                    project_path.path.clone(),
-                                    old_text.clone(),
-                                    new_text,
-                                    cx,
-                                );
-                            })
-                            .log_err();
-                        }
-                    }
-                    EditAgentOutputEvent::OldTextNotFound(_) => hallucinated_old_text = true,
+            let snapshot = cx.update(|cx| {
+                action_log.update(cx, |log, cx| log.buffer_read(buffer.clone(), cx));
+                let base_version = diff.base_version.clone();
+                let snapshot = buffer.update(cx, |buffer, cx| {
+                    buffer.finalize_last_transaction();
+                    buffer.apply_diff(diff, cx);
+                    buffer.finalize_last_transaction();
+                    buffer.snapshot()
+                });
+                action_log.update(cx, |log, cx| log.buffer_edited(buffer.clone(), cx));
+
+                // Set the agent's location to the position of the first edit
+                if let Some(first_edit) = snapshot.edits_since::<usize>(&base_version).next() {
+                    let position = snapshot.anchor_before(first_edit.new.start);
+                    project.update(cx, |project, cx| {
+                        project.set_agent_location(
+                            Some(AgentLocation {
+                                buffer: buffer.downgrade(),
+                                position,
+                            }),
+                            cx,
+                        );
+                    })
                }
-            }
-            output.await?;
+
+                snapshot
+            })?;

            project
-                .update(cx, |project, cx| project.save_buffer(buffer.clone(), cx))?
+                .update(cx, |project, cx| project.save_buffer(buffer, cx))?
                .await?;

-            let new_snapshot = buffer.read_with(cx, |buffer, _cx| buffer.snapshot())?;
-            let new_text = cx.background_spawn({
-                let new_snapshot = new_snapshot.clone();
-                async move { new_snapshot.text() }
-            });
-            let diff = cx.background_spawn(async move {
-                language::unified_diff(&old_snapshot.text(), &new_snapshot.text())
-            });
-            let (new_text, diff) = futures::join!(new_text, diff);
-
-            let output = EditFileToolOutput {
-                original_path: project_path.path.to_path_buf(),
-                new_text: new_text.clone(),
-                old_text: old_text.clone(),
-            };
+            let new_text = snapshot.text();
+            let diff_str = cx
+                .background_spawn({
+                    let old_text = old_text.clone();
+                    let new_text = new_text.clone();
+                    async move { language::unified_diff(&old_text, &new_text) }
+                })
+                .await;

            if let Some(card) = card_clone {
                card.update(cx, |card, cx| {
@@ -277,23 +286,11 @@ impl Tool for EditFileTool {
                .log_err();
            }

-            let input_path = input.path.display();
-            if diff.is_empty() {
-                if hallucinated_old_text {
-                    Err(anyhow!(formatdoc! {"
-                        Some edits were produced but none of them could be applied.
-                        Read the relevant sections of {input_path} again so that
-                        I can perform the requested edits.
-                    "}))
-                } else {
-                    Ok("No edits were made.".to_string().into())
-                }
-            } else {
-                Ok(ToolResultOutput {
-                    content: format!("Edited {}:\n\n```diff\n{}\n```", input_path, diff),
-                    output: serde_json::to_value(output).ok(),
-                })
-            }
+            Ok(format!(
+                "Edited {}:\n\n```diff\n{}\n```",
+                input.path.display(),
+                diff_str
+            ))
        });

        ToolResult {
@@ -301,32 +298,6 @@ impl Tool for EditFileTool {
            card: card.map(AnyToolCard::from),
        }
    }
-
-    fn deserialize_card(
-        self: Arc<Self>,
-        output: serde_json::Value,
-        project: Entity<Project>,
-        window: &mut Window,
-        cx: &mut App,
-    ) -> Option<AnyToolCard> {
-        let output = match serde_json::from_value::<EditFileToolOutput>(output) {
-            Ok(output) => output,
-            Err(_) => return None,
-        };
-
-        let card = cx.new(|cx| {
-            let mut card = EditFileToolCard::new(output.original_path.clone(), project, window, cx);
-            card.set_diff(
-                output.original_path.into(),
-                output.old_text,
-                output.new_text,
-                cx,
-            );
-            card
-        });
-
-        Some(card.into())
-    }
 }

 pub struct EditFileToolCard {
@@ -610,18 +581,18 @@ impl ToolCard for EditFileToolCard {
            (IconName::ChevronDown, "Expand Code Block")
        };

-        let gradient_overlay =
-            div()
-                .absolute()
-                .bottom_0()
-                .left_0()
-                .w_full()
-                .h_2_5()
-                .bg(gpui::linear_gradient(
-                    0.,
-                    gpui::linear_color_stop(cx.theme().colors().editor_background, 0.),
-                    gpui::linear_color_stop(cx.theme().colors().editor_background.opacity(0.), 1.),
-                ));
+        let gradient_overlay = div()
+            .absolute()
+            .bottom_0()
+            .left_0()
+            .w_full()
+            .h_2_5()
+            .rounded_b_lg()
+            .bg(gpui::linear_gradient(
+                0.,
+                gpui::linear_color_stop(cx.theme().colors().editor_background, 0.),
+                gpui::linear_color_stop(cx.theme().colors().editor_background.opacity(0.), 1.),
+            ));

        let border_color = cx.theme().colors().border.opacity(0.6);

@@ -639,9 +610,8 @@ impl ToolCard for EditFileToolCard {

            let mut container = v_flex()
                .p_3()
-                .gap_1()
+                .gap_1p5()
                .border_t_1()
-                .rounded_md()
                .border_color(border_color)
                .bg(cx.theme().colors().editor_background);

@@ -656,7 +626,7 @@ impl ToolCard for EditFileToolCard {
                    _ => div().w_1_2(),
                }
                .id("loading_div")
-                .h_1()
+                .h_2()
                .rounded_full()
                .bg(cx.theme().colors().element_active)
                .with_animation(
@@ -678,7 +648,7 @@ impl ToolCard for EditFileToolCard {
            .border_1()
            .when(failed, |card| card.border_dashed())
            .border_color(border_color)
-            .rounded_md()
+            .rounded_lg()
            .overflow_hidden()
            .child(codeblock_header)
            .when(failed && self.error_expanded, |card| {
@@ -732,8 +702,8 @@ impl ToolCard for EditFileToolCard {
                                |editor_container| editor_container.child(gradient_overlay),
                            ),
                    )
-                    .when(is_collapsible, |card| {
-                        card.child(
+                    .when(is_collapsible, |editor_container| {
+                        editor_container.child(
                            h_flex()
                                .id(("expand-button", self.editor_unique_id))
                                .flex_none()
@@ -741,7 +711,6 @@ impl ToolCard for EditFileToolCard {
                                .h_5()
                                .justify_center()
                                .border_t_1()
-                                .rounded_b_md()
                                .border_color(border_color)
                                .bg(cx.theme().colors().editor_background)
                                .hover(|style| {
@@ -839,40 +808,7 @@ async fn build_buffer_diff(
 #[cfg(test)]
 mod tests {
    use super::*;
-    use fs::FakeFs;
-    use gpui::TestAppContext;
-    use language_model::fake_provider::FakeLanguageModel;
    use serde_json::json;
-    use settings::SettingsStore;
-    use util::path;
-
-    #[gpui::test]
-    async fn test_edit_nonexistent_file(cx: &mut TestAppContext) {
-        init_test(cx);
-
-        let fs = FakeFs::new(cx.executor());
-        fs.insert_tree("/root", json!({})).await;
-        let project = Project::test(fs.clone(), [path!("/root").as_ref()], cx).await;
-        let action_log = cx.new(|_| ActionLog::new(project.clone()));
-        let model = Arc::new(FakeLanguageModel::default());
-        let result = cx
-            .update(|cx| {
-                let input = serde_json::to_value(EditFileToolInput {
-                    display_description: "Some edit".into(),
-                    path: "root/nonexistent_file.txt".into(),
-                    create_or_overwrite: false,
-                })
-                .unwrap();
-                Arc::new(EditFileTool)
-                    .run(input, &[], project.clone(), action_log, model, None, cx)
-                    .output
-            })
-            .await;
-        assert_eq!(
-            result.unwrap_err().to_string(),
-            "root/nonexistent_file.txt not found"
-        );
-    }

    #[test]
    fn still_streaming_ui_text_with_path() {
@@ -940,13 +876,4 @@ mod tests {
            DEFAULT_UI_TEXT,
        );
    }
-
-    fn init_test(cx: &mut TestAppContext) {
-        cx.update(|cx| {
-            let settings_store = SettingsStore::test(cx);
-            cx.set_global(settings_store);
-            language::init(cx);
-            Project::init_settings(cx);
-        });
-    }
 }
--- a/crates/assistant_tools/src/edit_file_tool/description.md
+++ b/crates/assistant_tools/src/edit_file_tool/description.md
@@ -1,4 +1,4 @@
-This is a tool for creating a new file or editing an existing file. For moving or renaming files, you should generally use the `terminal` tool with the 'mv' command instead.
+This is a tool for editing files. For moving or renaming files, you should generally use the `terminal` tool with the 'mv' command instead. For larger edits, use the `create_file` tool to overwrite files.

 Before using this tool:

@@ -6,3 +6,40 @@ Before using this tool:

 2. Verify the directory path is correct (only applicable when creating new files):
   - Use the `list_directory` tool to verify the parent directory exists and is the correct location
+
+To make a file edit, provide the following:
+1. path: The full path to the file you wish to modify in the project. This path must include the root directory in the project.
+2. old_string: The text to replace (must be unique within the file, and must match the file contents exactly, including all whitespace and indentation)
+3. new_string: The edited text, which will replace the old_string in the file.
+
+The tool will replace ONE occurrence of old_string with new_string in the specified file.
+
+CRITICAL REQUIREMENTS FOR USING THIS TOOL:
+
+1. UNIQUENESS: The old_string MUST uniquely identify the specific instance you want to change. This means:
+   - Include AT LEAST 3-5 lines of context BEFORE the change point
+   - Include AT LEAST 3-5 lines of context AFTER the change point
+   - Include all whitespace, indentation, and surrounding code exactly as it appears in the file
+
+2. SINGLE INSTANCE: This tool can only change ONE instance at a time. If you need to change multiple instances:
+   - Make separate calls to this tool for each instance
+   - Each call must uniquely identify its specific instance using extensive context
+
+3. VERIFICATION: Before using this tool:
+   - Check how many instances of the target text exist in the file
+   - If multiple instances exist, gather enough context to uniquely identify each one
+   - Plan separate tool calls for each instance
+
+WARNING: If you do not follow these requirements:
+   - The tool will fail if old_string matches multiple locations
+   - The tool will fail if old_string doesn't match exactly (including whitespace)
+   - You may change the wrong instance if you don't include enough context
+
+When making edits:
+   - Ensure the edit results in idiomatic, correct code
+   - Do not leave the code in a broken state
+   - Always use fully-qualified project paths (starting with the name of one of the project's root directories)
+
+If you want to create a new file, use the `create_file` tool instead of this tool. Don't pass an empty `old_string`.
+
+Remember: when making multiple file edits in a row to the same file, you should prefer to send all edits in a single message with multiple calls to this tool, rather than multiple messages with a single call each.
--- a/crates/assistant_tools/src/fetch_tool.rs
+++ b/crates/assistant_tools/src/fetch_tool.rs
@@ -9,7 +9,7 @@ use futures::AsyncReadExt as _;
 use gpui::{AnyWindowHandle, App, AppContext as _, Entity, Task};
 use html_to_markdown::{TagHandler, convert_html_to_markdown, markdown};
 use http_client::{AsyncBody, HttpClientWithUrl};
-use language_model::{LanguageModel, LanguageModelRequestMessage, LanguageModelToolSchemaFormat};
+use language_model::{LanguageModelRequestMessage, LanguageModelToolSchemaFormat};
 use project::Project;
 use schemars::JsonSchema;
 use serde::{Deserialize, Serialize};
@@ -145,7 +145,6 @@ impl Tool for FetchTool {
        _messages: &[LanguageModelRequestMessage],
        _project: Entity<Project>,
        _action_log: Entity<ActionLog>,
-        _model: Arc<dyn LanguageModel>,
        _window: Option<AnyWindowHandle>,
        cx: &mut App,
    ) -> ToolResult {
@@ -167,7 +166,7 @@ impl Tool for FetchTool {
                    bail!("no textual content found");
                }

-                Ok(text.into())
+                Ok(text)
            })
            .into()
    }
--- a/crates/assistant_tools/src/find_path_tool.rs
+++ b/crates/assistant_tools/src/find_path_tool.rs
@@ -7,7 +7,7 @@ use gpui::{
    AnyWindowHandle, App, AppContext, Context, Entity, IntoElement, Task, WeakEntity, Window,
 };
 use language;
-use language_model::{LanguageModel, LanguageModelRequestMessage, LanguageModelToolSchemaFormat};
+use language_model::{LanguageModelRequestMessage, LanguageModelToolSchemaFormat};
 use project::Project;
 use schemars::JsonSchema;
 use serde::{Deserialize, Serialize};
@@ -76,7 +76,6 @@ impl Tool for FindPathTool {
        _messages: &[LanguageModelRequestMessage],
        project: Entity<Project>,
        _action_log: Entity<ActionLog>,
-        _model: Arc<dyn LanguageModel>,
        _window: Option<AnyWindowHandle>,
        cx: &mut App,
    ) -> ToolResult {
@@ -99,7 +98,7 @@ impl Tool for FindPathTool {
            sender.send(paginated_matches.to_vec()).log_err();

            if matches.is_empty() {
-                Ok("No matches found".to_string().into())
+                Ok("No matches found".to_string())
            } else {
                let mut message = format!("Found {} total matches.", matches.len());
                if matches.len() > RESULTS_PER_PAGE {
@@ -114,7 +113,7 @@ impl Tool for FindPathTool {
                for mat in matches.into_iter().skip(offset).take(RESULTS_PER_PAGE) {
                    write!(&mut message, "\n{}", mat.display()).unwrap();
                }
-                Ok(message.into())
+                Ok(message)
            }
        });

--- a/crates/assistant_tools/src/grep_tool.rs
+++ b/crates/assistant_tools/src/grep_tool.rs
@@ -4,7 +4,7 @@ use assistant_tool::{ActionLog, Tool, ToolResult};
 use futures::StreamExt;
 use gpui::{AnyWindowHandle, App, Entity, Task};
 use language::{OffsetRangeExt, ParseStatus, Point};
-use language_model::{LanguageModel, LanguageModelRequestMessage, LanguageModelToolSchemaFormat};
+use language_model::{LanguageModelRequestMessage, LanguageModelToolSchemaFormat};
 use project::{
    Project,
    search::{SearchQuery, SearchResult},
@@ -99,7 +99,6 @@ impl Tool for GrepTool {
        _messages: &[LanguageModelRequestMessage],
        project: Entity<Project>,
        _action_log: Entity<ActionLog>,
-        _model: Arc<dyn LanguageModel>,
        _window: Option<AnyWindowHandle>,
        cx: &mut App,
    ) -> ToolResult {
@@ -261,16 +260,16 @@ impl Tool for GrepTool {
            }

            if matches_found == 0 {
-                Ok("No matches found".to_string().into())
+                Ok("No matches found".to_string())
            } else if has_more_matches {
                Ok(format!(
                    "Showing matches {}-{} (there were more matches found; use offset: {} to see next page):\n{output}",
                    input.offset + 1,
                    input.offset + matches_found,
                    input.offset + RESULTS_PER_PAGE,
-                ).into())
+                ))
            } else {
-                Ok(format!("Found {matches_found} matches:\n{output}").into())
+                Ok(format!("Found {matches_found} matches:\n{output}"))
            }
        }).into()
    }
@@ -282,7 +281,6 @@ mod tests {
    use assistant_tool::Tool;
    use gpui::{AppContext, TestAppContext};
    use language::{Language, LanguageConfig, LanguageMatcher};
-    use language_model::fake_provider::FakeLanguageModel;
    use project::{FakeFs, Project};
    use settings::SettingsStore;
    use unindent::Unindent;
@@ -745,15 +743,14 @@ mod tests {
    ) -> String {
        let tool = Arc::new(GrepTool);
        let action_log = cx.new(|_cx| ActionLog::new(project.clone()));
-        let model = Arc::new(FakeLanguageModel::default());
-        let task = cx.update(|cx| tool.run(input, &[], project, action_log, model, None, cx));
+        let task = cx.update(|cx| tool.run(input, &[], project, action_log, None, cx));

        match task.output.await {
            Ok(result) => {
                if cfg!(windows) {
-                    result.content.replace("root\\", "root/")
+                    result.replace("root\\", "root/")
                } else {
-                    result.content
+                    result
                }
            }
            Err(e) => panic!("Failed to run grep tool: {}", e),
--- a/crates/assistant_tools/src/list_directory_tool.rs
+++ b/crates/assistant_tools/src/list_directory_tool.rs
@@ -2,7 +2,7 @@ use crate::schema::json_schema_for;
 use anyhow::{Result, anyhow};
 use assistant_tool::{ActionLog, Tool, ToolResult};
 use gpui::{AnyWindowHandle, App, Entity, Task};
-use language_model::{LanguageModel, LanguageModelRequestMessage, LanguageModelToolSchemaFormat};
+use language_model::{LanguageModelRequestMessage, LanguageModelToolSchemaFormat};
 use project::Project;
 use schemars::JsonSchema;
 use serde::{Deserialize, Serialize};
@@ -76,7 +76,6 @@ impl Tool for ListDirectoryTool {
        _messages: &[LanguageModelRequestMessage],
        project: Entity<Project>,
        _action_log: Entity<ActionLog>,
-        _model: Arc<dyn LanguageModel>,
        _window: Option<AnyWindowHandle>,
        cx: &mut App,
    ) -> ToolResult {
@@ -103,7 +102,7 @@ impl Tool for ListDirectoryTool {
                .collect::<Vec<_>>()
                .join("\n");

-            return Task::ready(Ok(output.into())).into();
+            return Task::ready(Ok(output)).into();
        }

        let Some(project_path) = project.read(cx).find_project_path(&input.path, cx) else {
@@ -135,8 +134,8 @@ impl Tool for ListDirectoryTool {
            .unwrap();
        }
        if output.is_empty() {
-            return Task::ready(Ok(format!("{} is empty.", input.path).into())).into();
+            return Task::ready(Ok(format!("{} is empty.", input.path))).into();
        }
-        Task::ready(Ok(output.into())).into()
+        Task::ready(Ok(output)).into()
    }
 }
--- a/crates/assistant_tools/src/move_path_tool.rs
+++ b/crates/assistant_tools/src/move_path_tool.rs
@@ -2,7 +2,7 @@ use crate::schema::json_schema_for;
 use anyhow::{Result, anyhow};
 use assistant_tool::{ActionLog, Tool, ToolResult};
 use gpui::{AnyWindowHandle, App, AppContext, Entity, Task};
-use language_model::{LanguageModel, LanguageModelRequestMessage, LanguageModelToolSchemaFormat};
+use language_model::{LanguageModelRequestMessage, LanguageModelToolSchemaFormat};
 use project::Project;
 use schemars::JsonSchema;
 use serde::{Deserialize, Serialize};
@@ -89,7 +89,6 @@ impl Tool for MovePathTool {
        _messages: &[LanguageModelRequestMessage],
        project: Entity<Project>,
        _action_log: Entity<ActionLog>,
-        _model: Arc<dyn LanguageModel>,
        _window: Option<AnyWindowHandle>,
        cx: &mut App,
    ) -> ToolResult {
@@ -118,9 +117,10 @@ impl Tool for MovePathTool {

        cx.background_spawn(async move {
            match rename_task.await {
-                Ok(_) => {
-                    Ok(format!("Moved {} to {}", input.source_path, input.destination_path).into())
-                }
+                Ok(_) => Ok(format!(
+                    "Moved {} to {}",
+                    input.source_path, input.destination_path
+                )),
                Err(err) => Err(anyhow!(
                    "Failed to move {} to {}: {}",
                    input.source_path,
--- a/crates/assistant_tools/src/now_tool.rs
+++ b/crates/assistant_tools/src/now_tool.rs
@@ -5,7 +5,7 @@ use anyhow::{Result, anyhow};
 use assistant_tool::{ActionLog, Tool, ToolResult};
 use chrono::{Local, Utc};
 use gpui::{AnyWindowHandle, App, Entity, Task};
-use language_model::{LanguageModel, LanguageModelRequestMessage, LanguageModelToolSchemaFormat};
+use language_model::{LanguageModelRequestMessage, LanguageModelToolSchemaFormat};
 use project::Project;
 use schemars::JsonSchema;
 use serde::{Deserialize, Serialize};
@@ -59,7 +59,6 @@ impl Tool for NowTool {
        _messages: &[LanguageModelRequestMessage],
        _project: Entity<Project>,
        _action_log: Entity<ActionLog>,
-        _model: Arc<dyn LanguageModel>,
        _window: Option<AnyWindowHandle>,
        _cx: &mut App,
    ) -> ToolResult {
@@ -74,6 +73,6 @@ impl Tool for NowTool {
        };
        let text = format!("The current datetime is {now}.");

-        Task::ready(Ok(text.into())).into()
+        Task::ready(Ok(text)).into()
    }
 }
--- a/crates/assistant_tools/src/open_tool.rs
+++ b/crates/assistant_tools/src/open_tool.rs
@@ -2,7 +2,7 @@ use crate::schema::json_schema_for;
 use anyhow::{Context as _, Result, anyhow};
 use assistant_tool::{ActionLog, Tool, ToolResult};
 use gpui::{AnyWindowHandle, App, AppContext, Entity, Task};
-use language_model::{LanguageModel, LanguageModelRequestMessage, LanguageModelToolSchemaFormat};
+use language_model::{LanguageModelRequestMessage, LanguageModelToolSchemaFormat};
 use project::Project;
 use schemars::JsonSchema;
 use serde::{Deserialize, Serialize};
@@ -52,7 +52,6 @@ impl Tool for OpenTool {
        _messages: &[LanguageModelRequestMessage],
        project: Entity<Project>,
        _action_log: Entity<ActionLog>,
-        _model: Arc<dyn LanguageModel>,
        _window: Option<AnyWindowHandle>,
        cx: &mut App,
    ) -> ToolResult {
@@ -71,7 +70,7 @@ impl Tool for OpenTool {
            }
            .context("Failed to open URL or file path")?;

-            Ok(format!("Successfully opened {}", input.path_or_url).into())
+            Ok(format!("Successfully opened {}", input.path_or_url))
        })
        .into()
    }
--- a/crates/assistant_tools/src/read_file_tool.rs
+++ b/crates/assistant_tools/src/read_file_tool.rs
@@ -7,7 +7,7 @@ use gpui::{AnyWindowHandle, App, Entity, Task};
 use indoc::formatdoc;
 use itertools::Itertools;
 use language::{Anchor, Point};
-use language_model::{LanguageModel, LanguageModelRequestMessage, LanguageModelToolSchemaFormat};
+use language_model::{LanguageModelRequestMessage, LanguageModelToolSchemaFormat};
 use project::{AgentLocation, Project};
 use schemars::JsonSchema;
 use serde::{Deserialize, Serialize};
@@ -86,7 +86,6 @@ impl Tool for ReadFileTool {
        _messages: &[LanguageModelRequestMessage],
        project: Entity<Project>,
        action_log: Entity<ActionLog>,
-        _model: Arc<dyn LanguageModel>,
        _window: Option<AnyWindowHandle>,
        cx: &mut App,
    ) -> ToolResult {
@@ -98,22 +97,27 @@ impl Tool for ReadFileTool {
        let Some(project_path) = project.read(cx).find_project_path(&input.path, cx) else {
            return Task::ready(Err(anyhow!("Path {} not found in project", &input.path))).into();
        };
+        let Some(worktree) = project
+            .read(cx)
+            .worktree_for_id(project_path.worktree_id, cx)
+        else {
+            return Task::ready(Err(anyhow!("Worktree not found for project path"))).into();
+        };
+        let exists = worktree.update(cx, |worktree, cx| {
+            worktree.file_exists(&project_path.path, cx)
+        });

        let file_path = input.path.clone();
        cx.spawn(async move |cx| {
+            if !exists.await? {
+                return Err(anyhow!("{} not found", file_path));
+            }
+
            let buffer = cx
                .update(|cx| {
                    project.update(cx, |project, cx| project.open_buffer(project_path, cx))
                })?
                .await?;
-            if buffer.read_with(cx, |buffer, _| {
-                buffer
-                    .file()
-                    .as_ref()
-                    .map_or(true, |file| !file.disk_state().exists())
-            })? {
-                return Err(anyhow!("{} not found", file_path));
-            }

            project.update(cx, |project, cx| {
                project.set_agent_location(
@@ -141,13 +145,9 @@ impl Tool for ReadFileTool {
                    let lines = text.split('\n').skip(start_row as usize);
                    if let Some(end) = input.end_line {
                        let count = end.saturating_sub(start).saturating_add(1); // Ensure at least 1 line
-                        Itertools::intersperse(lines.take(count as usize), "\n")
-                            .collect::<String>()
-                            .into()
+                        Itertools::intersperse(lines.take(count as usize), "\n").collect()
                    } else {
-                        Itertools::intersperse(lines, "\n")
-                            .collect::<String>()
-                            .into()
+                        Itertools::intersperse(lines, "\n").collect()
                    }
                })?;

@@ -180,24 +180,19 @@ impl Tool for ReadFileTool {
                        log.buffer_read(buffer, cx);
                    })?;

-                    Ok(result.into())
+                    Ok(result)
                } else {
                    // File is too big, so return the outline
                    // and a suggestion to read again with line numbers.
-                    let outline =
-                        outline::file_outline(project, file_path, action_log, None, cx).await?;
+                    let outline = outline::file_outline(project, file_path, action_log, None, cx).await?;
                    Ok(formatdoc! {"
-                        This file was too big to read all at once.
-
-                        Here is an outline of its symbols:
+                        This file was too big to read all at once. Here is an outline of its symbols:

                        {outline}

-                        Using the line numbers in this outline, you can call this tool again
-                        while specifying the start_line and end_line fields to see the
-                        implementations of symbols in the outline."
-                    }
-                    .into())
+                        Using the line numbers in this outline, you can call this tool again while specifying
+                        the start_line and end_line fields to see the implementations of symbols in the outline."
+                    })
                }
            }
        })
@@ -210,7 +205,6 @@ mod test {
    use super::*;
    use gpui::{AppContext, TestAppContext};
    use language::{Language, LanguageConfig, LanguageMatcher};
-    use language_model::fake_provider::FakeLanguageModel;
    use project::{FakeFs, Project};
    use serde_json::json;
    use settings::SettingsStore;
@@ -224,14 +218,13 @@ mod test {
        fs.insert_tree("/root", json!({})).await;
        let project = Project::test(fs.clone(), [path!("/root").as_ref()], cx).await;
        let action_log = cx.new(|_| ActionLog::new(project.clone()));
-        let model = Arc::new(FakeLanguageModel::default());
        let result = cx
            .update(|cx| {
                let input = json!({
                    "path": "root/nonexistent_file.txt"
                });
                Arc::new(ReadFileTool)
-                    .run(input, &[], project.clone(), action_log, model, None, cx)
+                    .run(input, &[], project.clone(), action_log, None, cx)
                    .output
            })
            .await;
@@ -255,18 +248,17 @@ mod test {
        .await;
        let project = Project::test(fs.clone(), [path!("/root").as_ref()], cx).await;
        let action_log = cx.new(|_| ActionLog::new(project.clone()));
-        let model = Arc::new(FakeLanguageModel::default());
        let result = cx
            .update(|cx| {
                let input = json!({
                    "path": "root/small_file.txt"
                });
                Arc::new(ReadFileTool)
-                    .run(input, &[], project.clone(), action_log, model, None, cx)
+                    .run(input, &[], project.clone(), action_log, None, cx)
                    .output
            })
            .await;
-        assert_eq!(result.unwrap().content, "This is a small file content");
+        assert_eq!(result.unwrap(), "This is a small file content");
    }

    #[gpui::test]
@@ -285,7 +277,6 @@ mod test {
        let language_registry = project.read_with(cx, |project, _| project.languages().clone());
        language_registry.add(Arc::new(rust_lang()));
        let action_log = cx.new(|_| ActionLog::new(project.clone()));
-        let model = Arc::new(FakeLanguageModel::default());

        let result = cx
            .update(|cx| {
@@ -293,21 +284,13 @@ mod test {
                    "path": "root/large_file.rs"
                });
                Arc::new(ReadFileTool)
-                    .run(
-                        input,
-                        &[],
-                        project.clone(),
-                        action_log.clone(),
-                        model.clone(),
-                        None,
-                        cx,
-                    )
+                    .run(input, &[], project.clone(), action_log.clone(), None, cx)
                    .output
            })
            .await;
        let content = result.unwrap();
        assert_eq!(
-            content.lines().skip(4).take(6).collect::<Vec<_>>(),
+            content.lines().skip(2).take(6).collect::<Vec<_>>(),
            vec![
                "struct Test0 [L1-4]",
                " a [L2]",
@@ -325,7 +308,7 @@ mod test {
                    "offset": 1
                });
                Arc::new(ReadFileTool)
-                    .run(input, &[], project.clone(), action_log, model, None, cx)
+                    .run(input, &[], project.clone(), action_log, None, cx)
                    .output
            })
            .await;
@@ -342,7 +325,7 @@ mod test {
        pretty_assertions::assert_eq!(
            content
                .lines()
-                .skip(4)
+                .skip(2)
                .take(expected_content.len())
                .collect::<Vec<_>>(),
            expected_content
@@ -363,7 +346,6 @@ mod test {
        .await;
        let project = Project::test(fs.clone(), [path!("/root").as_ref()], cx).await;
        let action_log = cx.new(|_| ActionLog::new(project.clone()));
-        let model = Arc::new(FakeLanguageModel::default());
        let result = cx
            .update(|cx| {
                let input = json!({
@@ -372,11 +354,11 @@ mod test {
                    "end_line": 4
                });
                Arc::new(ReadFileTool)
-                    .run(input, &[], project.clone(), action_log, model, None, cx)
+                    .run(input, &[], project.clone(), action_log, None, cx)
                    .output
            })
            .await;
-        assert_eq!(result.unwrap().content, "Line 2\nLine 3\nLine 4");
+        assert_eq!(result.unwrap(), "Line 2\nLine 3\nLine 4");
    }

    #[gpui::test]
@@ -393,7 +375,6 @@ mod test {
        .await;
        let project = Project::test(fs.clone(), [path!("/root").as_ref()], cx).await;
        let action_log = cx.new(|_| ActionLog::new(project.clone()));
-        let model = Arc::new(FakeLanguageModel::default());

        // start_line of 0 should be treated as 1
        let result = cx
@@ -404,19 +385,11 @@ mod test {
                    "end_line": 2
                });
                Arc::new(ReadFileTool)
-                    .run(
-                        input,
-                        &[],
-                        project.clone(),
-                        action_log.clone(),
-                        model.clone(),
-                        None,
-                        cx,
-                    )
+                    .run(input, &[], project.clone(), action_log.clone(), None, cx)
                    .output
            })
            .await;
-        assert_eq!(result.unwrap().content, "Line 1\nLine 2");
+        assert_eq!(result.unwrap(), "Line 1\nLine 2");

        // end_line of 0 should result in at least 1 line
        let result = cx
@@ -427,19 +400,11 @@ mod test {
                    "end_line": 0
                });
                Arc::new(ReadFileTool)
-                    .run(
-                        input,
-                        &[],
-                        project.clone(),
-                        action_log.clone(),
-                        model.clone(),
-                        None,
-                        cx,
-                    )
+                    .run(input, &[], project.clone(), action_log.clone(), None, cx)
                    .output
            })
            .await;
-        assert_eq!(result.unwrap().content, "Line 1");
+        assert_eq!(result.unwrap(), "Line 1");

        // when start_line > end_line, should still return at least 1 line
        let result = cx
@@ -450,11 +415,11 @@ mod test {
                    "end_line": 2
                });
                Arc::new(ReadFileTool)
-                    .run(input, &[], project.clone(), action_log, model, None, cx)
+                    .run(input, &[], project.clone(), action_log, None, cx)
                    .output
            })
            .await;
-        assert_eq!(result.unwrap().content, "Line 3");
+        assert_eq!(result.unwrap(), "Line 3");
    }

    fn init_test(cx: &mut TestAppContext) {
--- a/crates/assistant_tools/src/replace.rs
+++ b/crates/assistant_tools/src/replace.rs
@@ -0,0 +1,872 @@
+use language::{BufferSnapshot, Diff, Point, ToOffset};
+use project::search::SearchQuery;
+use std::iter;
+use util::{ResultExt as _, paths::PathMatcher};
+
+/// Performs an exact string replacement in a buffer, requiring precise character-for-character matching.
+/// Uses the search functionality to locate the first occurrence of the exact string.
+/// Returns None if no exact match is found in the buffer.
+pub async fn replace_exact(old: &str, new: &str, snapshot: &BufferSnapshot) -> Option<Diff> {
+    let query = SearchQuery::text(
+        old,
+        false,
+        true,
+        true,
+        PathMatcher::new(iter::empty::<&str>()).ok()?,
+        PathMatcher::new(iter::empty::<&str>()).ok()?,
+        false,
+        None,
+    )
+    .log_err()?;
+
+    let matches = query.search(&snapshot, None).await;
+
+    if matches.is_empty() {
+        return None;
+    }
+
+    let edit_range = matches[0].clone();
+    let diff = language::text_diff(&old, &new);
+
+    let edits = diff
+        .into_iter()
+        .map(|(old_range, text)| {
+            let start = edit_range.start + old_range.start;
+            let end = edit_range.start + old_range.end;
+            (start..end, text)
+        })
+        .collect::<Vec<_>>();
+
+    let diff = language::Diff {
+        base_version: snapshot.version().clone(),
+        line_ending: snapshot.line_ending(),
+        edits,
+    };
+
+    Some(diff)
+}
+
+/// Performs a replacement that's indentation-aware - matches text content ignoring leading whitespace differences.
+/// When replacing, preserves the indentation level found in the buffer at each matching line.
+/// Returns None if no match found or if indentation is offset inconsistently across matched lines.
+pub fn replace_with_flexible_indent(old: &str, new: &str, buffer: &BufferSnapshot) -> Option<Diff> {
+    let (old_lines, old_min_indent) = lines_with_min_indent(old);
+    let (new_lines, new_min_indent) = lines_with_min_indent(new);
+    let min_indent = old_min_indent.min(new_min_indent);
+
+    let old_lines = drop_lines_prefix(&old_lines, min_indent);
+    let new_lines = drop_lines_prefix(&new_lines, min_indent);
+
+    let max_row = buffer.max_point().row;
+
+    'windows: for start_row in 0..max_row + 1 {
+        let end_row = start_row + old_lines.len().saturating_sub(1) as u32;
+
+        if end_row > max_row {
+            // The buffer ends before fully matching the pattern
+            return None;
+        }
+
+        let start_point = Point::new(start_row, 0);
+        let end_point = Point::new(end_row, buffer.line_len(end_row));
+        let range = start_point.to_offset(buffer)..end_point.to_offset(buffer);
+
+        let window_text = buffer.text_for_range(range.clone());
+        let mut window_lines = window_text.lines();
+        let mut old_lines_iter = old_lines.iter();
+
+        let mut common_mismatch = None;
+
+        #[derive(Eq, PartialEq)]
+        enum Mismatch {
+            OverIndented(String),
+            UnderIndented(String),
+        }
+
+        while let (Some(window_line), Some(old_line)) = (window_lines.next(), old_lines_iter.next())
+        {
+            let line_trimmed = window_line.trim_start();
+
+            if line_trimmed != old_line.trim_start() {
+                continue 'windows;
+            }
+
+            if line_trimmed.is_empty() {
+                continue;
+            }
+
+            let line_mismatch = if window_line.len() > old_line.len() {
+                let prefix = window_line[..window_line.len() - old_line.len()].to_string();
+                Mismatch::UnderIndented(prefix)
+            } else {
+                let prefix = old_line[..old_line.len() - window_line.len()].to_string();
+                Mismatch::OverIndented(prefix)
+            };
+
+            match &common_mismatch {
+                Some(common_mismatch) if common_mismatch != &line_mismatch => {
+                    continue 'windows;
+                }
+                Some(_) => (),
+                None => common_mismatch = Some(line_mismatch),
+            }
+        }
+
+        if let Some(common_mismatch) = &common_mismatch {
+            let line_ending = buffer.line_ending();
+            let replacement = new_lines
+                .iter()
+                .map(|new_line| {
+                    if new_line.trim().is_empty() {
+                        new_line.to_string()
+                    } else {
+                        match common_mismatch {
+                            Mismatch::UnderIndented(prefix) => prefix.to_string() + new_line,
+                            Mismatch::OverIndented(prefix) => new_line
+                                .strip_prefix(prefix)
+                                .unwrap_or(new_line)
+                                .to_string(),
+                        }
+                    }
+                })
+                .collect::<Vec<_>>()
+                .join(line_ending.as_str());
+
+            let diff = Diff {
+                base_version: buffer.version().clone(),
+                line_ending,
+                edits: vec![(range, replacement.into())],
+            };
+
+            return Some(diff);
+        }
+    }
+
+    None
+}
+
+fn drop_lines_prefix<'a>(lines: &'a [&str], prefix_len: usize) -> Vec<&'a str> {
+    lines
+        .iter()
+        .map(|line| line.get(prefix_len..).unwrap_or(""))
+        .collect()
+}
+
+fn lines_with_min_indent(input: &str) -> (Vec<&str>, usize) {
+    let mut lines = Vec::new();
+    let mut min_indent: Option<usize> = None;
+
+    for line in input.lines() {
+        lines.push(line);
+        if !line.trim().is_empty() {
+            let indent = line.len() - line.trim_start().len();
+            min_indent = Some(min_indent.map_or(indent, |m| m.min(indent)));
+        }
+    }
+
+    (lines, min_indent.unwrap_or(0))
+}
+
+#[cfg(test)]
+mod replace_exact_tests {
+    use super::*;
+    use gpui::TestAppContext;
+    use gpui::prelude::*;
+
+    #[gpui::test]
+    async fn basic(cx: &mut TestAppContext) {
+        let result = test_replace_exact(cx, "let x = 41;", "let x = 41;", "let x = 42;").await;
+        assert_eq!(result, Some("let x = 42;".to_string()));
+    }
+
+    #[gpui::test]
+    async fn no_match(cx: &mut TestAppContext) {
+        let result = test_replace_exact(cx, "let x = 41;", "let y = 42;", "let y = 43;").await;
+        assert_eq!(result, None);
+    }
+
+    #[gpui::test]
+    async fn multi_line(cx: &mut TestAppContext) {
+        let whole = "fn example() {\n    let x = 41;\n    println!(\"x = {}\", x);\n}";
+        let old_text = "    let x = 41;\n    println!(\"x = {}\", x);";
+        let new_text = "    let x = 42;\n    println!(\"x = {}\", x);";
+        let result = test_replace_exact(cx, whole, old_text, new_text).await;
+        assert_eq!(
+            result,
+            Some("fn example() {\n    let x = 42;\n    println!(\"x = {}\", x);\n}".to_string())
+        );
+    }
+
+    #[gpui::test]
+    async fn multiple_occurrences(cx: &mut TestAppContext) {
+        let whole = "let x = 41;\nlet y = 41;\nlet z = 41;";
+        let result = test_replace_exact(cx, whole, "let x = 41;", "let x = 42;").await;
+        assert_eq!(
+            result,
+            Some("let x = 42;\nlet y = 41;\nlet z = 41;".to_string())
+        );
+    }
+
+    #[gpui::test]
+    async fn empty_buffer(cx: &mut TestAppContext) {
+        let result = test_replace_exact(cx, "", "let x = 41;", "let x = 42;").await;
+        assert_eq!(result, None);
+    }
+
+    #[gpui::test]
+    async fn partial_match(cx: &mut TestAppContext) {
+        let whole = "let x = 41; let y = 42;";
+        let result = test_replace_exact(cx, whole, "let x = 41", "let x = 42").await;
+        assert_eq!(result, Some("let x = 42; let y = 42;".to_string()));
+    }
+
+    #[gpui::test]
+    async fn whitespace_sensitive(cx: &mut TestAppContext) {
+        let result = test_replace_exact(cx, "let x = 41;", " let x = 41;", "let x = 42;").await;
+        assert_eq!(result, None);
+    }
+
+    #[gpui::test]
+    async fn entire_buffer(cx: &mut TestAppContext) {
+        let result = test_replace_exact(cx, "let x = 41;", "let x = 41;", "let x = 42;").await;
+        assert_eq!(result, Some("let x = 42;".to_string()));
+    }
+
+    async fn test_replace_exact(
+        cx: &mut TestAppContext,
+        whole: &str,
+        old: &str,
+        new: &str,
+    ) -> Option<String> {
+        let buffer = cx.new(|cx| language::Buffer::local(whole, cx));
+
+        let buffer_snapshot = buffer.read_with(cx, |buffer, _cx| buffer.snapshot());
+
+        let diff = replace_exact(old, new, &buffer_snapshot).await;
+        diff.map(|diff| {
+            buffer.update(cx, |buffer, cx| {
+                let _ = buffer.apply_diff(diff, cx);
+                buffer.text()
+            })
+        })
+    }
+}
+
+#[cfg(test)]
+mod flexible_indent_tests {
+    use super::*;
+    use gpui::TestAppContext;
+    use gpui::prelude::*;
+    use unindent::Unindent;
+
+    #[gpui::test]
+    fn test_underindented_single_line(cx: &mut TestAppContext) {
+        let cur = "        let a = 41;".to_string();
+        let old = "    let a = 41;".to_string();
+        let new = "    let a = 42;".to_string();
+        let exp = "        let a = 42;".to_string();
+
+        let result = test_replace_with_flexible_indent(cx, &cur, &old, &new);
+
+        assert_eq!(result, Some(exp.to_string()))
+    }
+
+    #[gpui::test]
+    fn test_overindented_single_line(cx: &mut TestAppContext) {
+        let cur = "    let a = 41;".to_string();
+        let old = "        let a = 41;".to_string();
+        let new = "        let a = 42;".to_string();
+        let exp = "    let a = 42;".to_string();
+
+        let result = test_replace_with_flexible_indent(cx, &cur, &old, &new);
+
+        assert_eq!(result, Some(exp.to_string()))
+    }
+
+    #[gpui::test]
+    fn test_underindented_multi_line(cx: &mut TestAppContext) {
+        let whole = r#"
+            fn test() {
+                let x = 5;
+                println!("x = {}", x);
+                let y = 10;
+            }
+        "#
+        .unindent();
+
+        let old = r#"
+            let x = 5;
+            println!("x = {}", x);
+        "#
+        .unindent();
+
+        let new = r#"
+            let x = 42;
+            println!("New value: {}", x);
+        "#
+        .unindent();
+
+        let expected = r#"
+            fn test() {
+                let x = 42;
+                println!("New value: {}", x);
+                let y = 10;
+            }
+        "#
+        .unindent();
+
+        assert_eq!(
+            test_replace_with_flexible_indent(cx, &whole, &old, &new),
+            Some(expected.to_string())
+        );
+    }
+
+    #[gpui::test]
+    fn test_overindented_multi_line(cx: &mut TestAppContext) {
+        let cur = r#"
+            fn foo() {
+                let a = 41;
+                let b = 3.13;
+            }
+        "#
+        .unindent();
+
+        // 6 space indent instead of 4
+        let old = "      let a = 41;\n      let b = 3.13;";
+        let new = "      let a = 42;\n      let b = 3.14;";
+
+        let expected = r#"
+            fn foo() {
+                let a = 42;
+                let b = 3.14;
+            }
+        "#
+        .unindent();
+
+        let result = test_replace_with_flexible_indent(cx, &cur, &old, &new);
+
+        assert_eq!(result, Some(expected.to_string()))
+    }
+
+    #[gpui::test]
+    fn test_replace_inconsistent_indentation(cx: &mut TestAppContext) {
+        let whole = r#"
+            fn test() {
+                if condition {
+                    println!("{}", 43);
+                }
+            }
+        "#
+        .unindent();
+
+        let old = r#"
+            if condition {
+            println!("{}", 43);
+        "#
+        .unindent();
+
+        let new = r#"
+            if condition {
+            println!("{}", 42);
+        "#
+        .unindent();
+
+        assert_eq!(
+            test_replace_with_flexible_indent(cx, &whole, &old, &new),
+            None
+        );
+    }
+
+    #[gpui::test]
+    fn test_replace_with_empty_lines(cx: &mut TestAppContext) {
+        // Test with empty lines
+        let whole = r#"
+            fn test() {
+                let x = 5;
+
+                println!("x = {}", x);
+            }
+        "#
+        .unindent();
+
+        let old = r#"
+            let x = 5;
+
+            println!("x = {}", x);
+        "#
+        .unindent();
+
+        let new = r#"
+            let x = 10;
+
+            println!("New x: {}", x);
+        "#
+        .unindent();
+
+        let expected = r#"
+            fn test() {
+                let x = 10;
+
+                println!("New x: {}", x);
+            }
+        "#
+        .unindent();
+
+        assert_eq!(
+            test_replace_with_flexible_indent(cx, &whole, &old, &new),
+            Some(expected.to_string())
+        );
+    }
+
+    #[gpui::test]
+    fn test_replace_no_match(cx: &mut TestAppContext) {
+        let whole = r#"
+            fn test() {
+                let x = 5;
+            }
+        "#
+        .unindent();
+
+        let old = r#"
+            let y = 10;
+        "#
+        .unindent();
+
+        let new = r#"
+            let y = 20;
+        "#
+        .unindent();
+
+        assert_eq!(
+            test_replace_with_flexible_indent(cx, &whole, &old, &new),
+            None
+        );
+    }
+
+    #[gpui::test]
+    fn test_replace_whole_ends_before_matching_old(cx: &mut TestAppContext) {
+        let whole = r#"
+            fn test() {
+                let x = 5;
+        "#
+        .unindent();
+
+        let old = r#"
+            let x = 5;
+            println!("x = {}", x);
+        "#
+        .unindent();
+
+        let new = r#"
+            let x = 10;
+            println!("x = {}", x);
+        "#
+        .unindent();
+
+        // Should return None because whole doesn't fully contain the old text
+        assert_eq!(
+            test_replace_with_flexible_indent(cx, &whole, &old, &new),
+            None
+        );
+    }
+
+    #[gpui::test]
+    fn test_replace_whole_is_shorter_than_old(cx: &mut TestAppContext) {
+        let whole = r#"
+            let x = 5;
+        "#
+        .unindent();
+
+        let old = r#"
+            let x = 5;
+            let y = 10;
+        "#
+        .unindent();
+
+        let new = r#"
+            let x = 5;
+            let y = 20;
+        "#
+        .unindent();
+
+        assert_eq!(
+            test_replace_with_flexible_indent(cx, &whole, &old, &new),
+            None
+        );
+    }
+
+    #[gpui::test]
+    fn test_replace_old_is_empty(cx: &mut TestAppContext) {
+        let whole = r#"
+            fn test() {
+                let x = 5;
+            }
+        "#
+        .unindent();
+
+        let old = "";
+        let new = r#"
+            let y = 10;
+        "#
+        .unindent();
+
+        assert_eq!(
+            test_replace_with_flexible_indent(cx, &whole, &old, &new),
+            None
+        );
+    }
+
+    #[gpui::test]
+    fn test_replace_whole_is_empty(cx: &mut TestAppContext) {
+        let whole = "";
+        let old = r#"
+            let x = 5;
+        "#
+        .unindent();
+
+        let new = r#"
+            let x = 10;
+        "#
+        .unindent();
+
+        assert_eq!(
+            test_replace_with_flexible_indent(cx, &whole, &old, &new),
+            None
+        );
+    }
+
+    #[test]
+    fn test_lines_with_min_indent() {
+        // Empty string
+        assert_eq!(lines_with_min_indent(""), (vec![], 0));
+
+        // Single line without indentation
+        assert_eq!(lines_with_min_indent("hello"), (vec!["hello"], 0));
+
+        // Multiple lines with no indentation
+        assert_eq!(
+            lines_with_min_indent("line1\nline2\nline3"),
+            (vec!["line1", "line2", "line3"], 0)
+        );
+
+        // Multiple lines with consistent indentation
+        assert_eq!(
+            lines_with_min_indent("  line1\n  line2\n  line3"),
+            (vec!["  line1", "  line2", "  line3"], 2)
+        );
+
+        // Multiple lines with varying indentation
+        assert_eq!(
+            lines_with_min_indent("    line1\n  line2\n      line3"),
+            (vec!["    line1", "  line2", "      line3"], 2)
+        );
+
+        // Lines with mixed indentation and empty lines
+        assert_eq!(
+            lines_with_min_indent("    line1\n\n  line2"),
+            (vec!["    line1", "", "  line2"], 2)
+        );
+    }
+
+    #[gpui::test]
+    fn test_replace_with_missing_indent_uneven_match(cx: &mut TestAppContext) {
+        let whole = r#"
+            fn test() {
+                if true {
+                        let x = 5;
+                        println!("x = {}", x);
+                }
+            }
+        "#
+        .unindent();
+
+        let old = r#"
+            let x = 5;
+            println!("x = {}", x);
+        "#
+        .unindent();
+
+        let new = r#"
+            let x = 42;
+            println!("x = {}", x);
+        "#
+        .unindent();
+
+        let expected = r#"
+            fn test() {
+                if true {
+                        let x = 42;
+                        println!("x = {}", x);
+                }
+            }
+        "#
+        .unindent();
+
+        assert_eq!(
+            test_replace_with_flexible_indent(cx, &whole, &old, &new),
+            Some(expected.to_string())
+        );
+    }
+
+    #[gpui::test]
+    fn test_replace_big_example(cx: &mut TestAppContext) {
+        let whole = r#"
+            #[cfg(test)]
+            mod tests {
+                use super::*;
+
+                #[test]
+                fn test_is_valid_age() {
+                    assert!(is_valid_age(0));
+                    assert!(!is_valid_age(151));
+                }
+            }
+        "#
+        .unindent();
+
+        let old = r#"
+            #[test]
+            fn test_is_valid_age() {
+                assert!(is_valid_age(0));
+                assert!(!is_valid_age(151));
+            }
+        "#
+        .unindent();
+
+        let new = r#"
+            #[test]
+            fn test_is_valid_age() {
+                assert!(is_valid_age(0));
+                assert!(!is_valid_age(151));
+            }
+
+            #[test]
+            fn test_group_people_by_age() {
+                let people = vec![
+                    Person::new("Young One", 5, "young@example.com").unwrap(),
+                    Person::new("Teen One", 15, "teen@example.com").unwrap(),
+                    Person::new("Teen Two", 18, "teen2@example.com").unwrap(),
+                    Person::new("Adult One", 25, "adult@example.com").unwrap(),
+                ];
+
+                let groups = group_people_by_age(&people);
+
+                assert_eq!(groups.get(&0).unwrap().len(), 1);  // One person in 0-9
+                assert_eq!(groups.get(&10).unwrap().len(), 2); // Two people in 10-19
+                assert_eq!(groups.get(&20).unwrap().len(), 1); // One person in 20-29
+            }
+        "#
+        .unindent();
+        let expected = r#"
+            #[cfg(test)]
+            mod tests {
+                use super::*;
+
+                #[test]
+                fn test_is_valid_age() {
+                    assert!(is_valid_age(0));
+                    assert!(!is_valid_age(151));
+                }
+
+                #[test]
+                fn test_group_people_by_age() {
+                    let people = vec![
+                        Person::new("Young One", 5, "young@example.com").unwrap(),
+                        Person::new("Teen One", 15, "teen@example.com").unwrap(),
+                        Person::new("Teen Two", 18, "teen2@example.com").unwrap(),
+                        Person::new("Adult One", 25, "adult@example.com").unwrap(),
+                    ];
+
+                    let groups = group_people_by_age(&people);
+
+                    assert_eq!(groups.get(&0).unwrap().len(), 1);  // One person in 0-9
+                    assert_eq!(groups.get(&10).unwrap().len(), 2); // Two people in 10-19
+                    assert_eq!(groups.get(&20).unwrap().len(), 1); // One person in 20-29
+                }
+            }
+        "#
+        .unindent();
+        assert_eq!(
+            test_replace_with_flexible_indent(cx, &whole, &old, &new),
+            Some(expected.to_string())
+        );
+    }
+
+    #[test]
+    fn test_drop_lines_prefix() {
+        // Empty array
+        assert_eq!(drop_lines_prefix(&[], 2), Vec::<&str>::new());
+
+        // Zero prefix length
+        assert_eq!(
+            drop_lines_prefix(&["line1", "line2"], 0),
+            vec!["line1", "line2"]
+        );
+
+        // Normal prefix drop
+        assert_eq!(
+            drop_lines_prefix(&["  line1", "  line2"], 2),
+            vec!["line1", "line2"]
+        );
+
+        // Prefix longer than some lines
+        assert_eq!(drop_lines_prefix(&["  line1", "a"], 2), vec!["line1", ""]);
+
+        // Prefix longer than all lines
+        assert_eq!(drop_lines_prefix(&["a", "b"], 5), vec!["", ""]);
+
+        // Mixed length lines
+        assert_eq!(
+            drop_lines_prefix(&["    line1", "  line2", "      line3"], 2),
+            vec!["  line1", "line2", "    line3"]
+        );
+    }
+
+    #[gpui::test]
+    async fn test_replace_exact_basic(cx: &mut TestAppContext) {
+        let buffer = cx.new(|cx| language::Buffer::local("let x = 41;", cx));
+        let snapshot = buffer.read_with(cx, |buffer, _cx| buffer.snapshot());
+
+        let diff = replace_exact("let x = 41;", "let x = 42;", &snapshot).await;
+        assert!(diff.is_some());
+
+        let diff = diff.unwrap();
+        assert_eq!(diff.edits.len(), 1);
+
+        let result = buffer.update(cx, |buffer, cx| {
+            let _ = buffer.apply_diff(diff, cx);
+            buffer.text()
+        });
+
+        assert_eq!(result, "let x = 42;");
+    }
+
+    #[gpui::test]
+    async fn test_replace_exact_no_match(cx: &mut TestAppContext) {
+        let buffer = cx.new(|cx| language::Buffer::local("let x = 41;", cx));
+        let snapshot = buffer.read_with(cx, |buffer, _cx| buffer.snapshot());
+
+        let diff = replace_exact("let y = 42;", "let y = 43;", &snapshot).await;
+        assert!(diff.is_none());
+    }
+
+    #[gpui::test]
+    async fn test_replace_exact_multi_line(cx: &mut TestAppContext) {
+        let buffer = cx.new(|cx| {
+            language::Buffer::local(
+                "fn example() {\n    let x = 41;\n    println!(\"x = {}\", x);\n}",
+                cx,
+            )
+        });
+        let snapshot = buffer.read_with(cx, |buffer, _cx| buffer.snapshot());
+
+        let old_text = "    let x = 41;\n    println!(\"x = {}\", x);";
+        let new_text = "    let x = 42;\n    println!(\"x = {}\", x);";
+        let diff = replace_exact(old_text, new_text, &snapshot).await;
+        assert!(diff.is_some());
+
+        let diff = diff.unwrap();
+        let result = buffer.update(cx, |buffer, cx| {
+            let _ = buffer.apply_diff(diff, cx);
+            buffer.text()
+        });
+
+        assert_eq!(
+            result,
+            "fn example() {\n    let x = 42;\n    println!(\"x = {}\", x);\n}"
+        );
+    }
+
+    #[gpui::test]
+    async fn test_replace_exact_multiple_occurrences(cx: &mut TestAppContext) {
+        let buffer =
+            cx.new(|cx| language::Buffer::local("let x = 41;\nlet y = 41;\nlet z = 41;", cx));
+        let snapshot = buffer.read_with(cx, |buffer, _cx| buffer.snapshot());
+
+        // Should replace only the first occurrence
+        let diff = replace_exact("let x = 41;", "let x = 42;", &snapshot).await;
+        assert!(diff.is_some());
+
+        let diff = diff.unwrap();
+        let result = buffer.update(cx, |buffer, cx| {
+            let _ = buffer.apply_diff(diff, cx);
+            buffer.text()
+        });
+
+        assert_eq!(result, "let x = 42;\nlet y = 41;\nlet z = 41;");
+    }
+
+    #[gpui::test]
+    async fn test_replace_exact_empty_buffer(cx: &mut TestAppContext) {
+        let buffer = cx.new(|cx| language::Buffer::local("", cx));
+        let snapshot = buffer.read_with(cx, |buffer, _cx| buffer.snapshot());
+
+        let diff = replace_exact("let x = 41;", "let x = 42;", &snapshot).await;
+        assert!(diff.is_none());
+    }
+
+    #[gpui::test]
+    async fn test_replace_exact_partial_match(cx: &mut TestAppContext) {
+        let buffer = cx.new(|cx| language::Buffer::local("let x = 41; let y = 42;", cx));
+        let snapshot = buffer.read_with(cx, |buffer, _cx| buffer.snapshot());
+
+        // Verify substring replacement actually works
+        let diff = replace_exact("let x = 41", "let x = 42", &snapshot).await;
+        assert!(diff.is_some());
+
+        let diff = diff.unwrap();
+        let result = buffer.update(cx, |buffer, cx| {
+            let _ = buffer.apply_diff(diff, cx);
+            buffer.text()
+        });
+
+        assert_eq!(result, "let x = 42; let y = 42;");
+    }
+
+    #[gpui::test]
+    async fn test_replace_exact_whitespace_sensitive(cx: &mut TestAppContext) {
+        let buffer = cx.new(|cx| language::Buffer::local("let x = 41;", cx));
+        let snapshot = buffer.read_with(cx, |buffer, _cx| buffer.snapshot());
+
+        let diff = replace_exact(" let x = 41;", "let x = 42;", &snapshot).await;
+        assert!(diff.is_none());
+    }
+
+    #[gpui::test]
+    async fn test_replace_exact_entire_buffer(cx: &mut TestAppContext) {
+        let buffer = cx.new(|cx| language::Buffer::local("let x = 41;", cx));
+        let snapshot = buffer.read_with(cx, |buffer, _cx| buffer.snapshot());
+
+        let diff = replace_exact("let x = 41;", "let x = 42;", &snapshot).await;
+        assert!(diff.is_some());
+
+        let diff = diff.unwrap();
+        let result = buffer.update(cx, |buffer, cx| {
+            let _ = buffer.apply_diff(diff, cx);
+            buffer.text()
+        });
+
+        assert_eq!(result, "let x = 42;");
+    }
+
+    fn test_replace_with_flexible_indent(
+        cx: &mut TestAppContext,
+        whole: &str,
+        old: &str,
+        new: &str,
+    ) -> Option<String> {
+        // Create a local buffer with the test content
+        let buffer = cx.new(|cx| language::Buffer::local(whole, cx));
+
+        // Get the buffer snapshot
+        let buffer_snapshot = buffer.read_with(cx, |buffer, _cx| buffer.snapshot());
+
+        // Call replace_flexible and transform the result
+        replace_with_flexible_indent(old, new, &buffer_snapshot).map(|diff| {
+            buffer.update(cx, |buffer, cx| {
+                let _ = buffer.apply_diff(diff, cx);
+                buffer.text()
+            })
+        })
+    }
+}
--- a/crates/assistant_tools/src/streaming_edit_file_tool.rs
+++ b/crates/assistant_tools/src/streaming_edit_file_tool.rs
@@ -0,0 +1,355 @@
+use crate::{
+    Templates,
+    edit_agent::{EditAgent, EditAgentOutputEvent},
+    edit_file_tool::EditFileToolCard,
+    schema::json_schema_for,
+};
+use anyhow::{Context as _, Result, anyhow};
+use assistant_tool::{ActionLog, AnyToolCard, Tool, ToolResult};
+use futures::StreamExt;
+use gpui::{AnyWindowHandle, App, AppContext, AsyncApp, Entity, Task};
+use indoc::formatdoc;
+use language_model::{
+    LanguageModelRegistry, LanguageModelRequestMessage, LanguageModelToolSchemaFormat,
+};
+use project::Project;
+use schemars::JsonSchema;
+use serde::{Deserialize, Serialize};
+use std::{path::PathBuf, sync::Arc};
+use ui::prelude::*;
+use util::ResultExt;
+
+pub struct StreamingEditFileTool;
+
+#[derive(Debug, Serialize, Deserialize, JsonSchema)]
+pub struct StreamingEditFileToolInput {
+    /// A one-line, user-friendly markdown description of the edit. This will be
+    /// shown in the UI and also passed to another model to perform the edit.
+    ///
+    /// Be terse, but also descriptive in what you want to achieve with this
+    /// edit. Avoid generic instructions.
+    ///
+    /// NEVER mention the file path in this description.
+    ///
+    /// <example>Fix API endpoint URLs</example>
+    /// <example>Update copyright year in `page_footer`</example>
+    ///
+    /// Make sure to include this field before all the others in the input object
+    /// so that we can display it immediately.
+    pub display_description: String,
+
+    /// The full path of the file to create or modify in the project.
+    ///
+    /// WARNING: When specifying which file path need changing, you MUST
+    /// start each path with one of the project's root directories.
+    ///
+    /// The following examples assume we have two root directories in the project:
+    /// - backend
+    /// - frontend
+    ///
+    /// <example>
+    /// `backend/src/main.rs`
+    ///
+    /// Notice how the file path starts with root-1. Without that, the path
+    /// would be ambiguous and the call would fail!
+    /// </example>
+    ///
+    /// <example>
+    /// `frontend/db.js`
+    /// </example>
+    pub path: PathBuf,
+
+    /// If true, this tool will recreate the file from scratch.
+    /// If false, this tool will produce granular edits to an existing file.
+    ///
+    /// When a file already exists or you just created it, always prefer editing
+    /// it as opposed to recreating it from scratch.
+    pub create_or_overwrite: bool,
+}
+
+#[derive(Debug, Serialize, Deserialize, JsonSchema)]
+struct PartialInput {
+    #[serde(default)]
+    path: String,
+    #[serde(default)]
+    display_description: String,
+}
+
+const DEFAULT_UI_TEXT: &str = "Editing file";
+
+impl Tool for StreamingEditFileTool {
+    fn name(&self) -> String {
+        "edit_file".into()
+    }
+
+    fn needs_confirmation(&self, _: &serde_json::Value, _: &App) -> bool {
+        false
+    }
+
+    fn description(&self) -> String {
+        include_str!("streaming_edit_file_tool/description.md").to_string()
+    }
+
+    fn icon(&self) -> IconName {
+        IconName::Pencil
+    }
+
+    fn input_schema(&self, format: LanguageModelToolSchemaFormat) -> Result<serde_json::Value> {
+        json_schema_for::<StreamingEditFileToolInput>(format)
+    }
+
+    fn ui_text(&self, input: &serde_json::Value) -> String {
+        match serde_json::from_value::<StreamingEditFileToolInput>(input.clone()) {
+            Ok(input) => input.display_description,
+            Err(_) => "Editing file".to_string(),
+        }
+    }
+
+    fn still_streaming_ui_text(&self, input: &serde_json::Value) -> String {
+        if let Some(input) = serde_json::from_value::<PartialInput>(input.clone()).ok() {
+            let description = input.display_description.trim();
+            if !description.is_empty() {
+                return description.to_string();
+            }
+
+            let path = input.path.trim();
+            if !path.is_empty() {
+                return path.to_string();
+            }
+        }
+
+        DEFAULT_UI_TEXT.to_string()
+    }
+
+    fn run(
+        self: Arc<Self>,
+        input: serde_json::Value,
+        messages: &[LanguageModelRequestMessage],
+        project: Entity<Project>,
+        action_log: Entity<ActionLog>,
+        window: Option<AnyWindowHandle>,
+        cx: &mut App,
+    ) -> ToolResult {
+        let input = match serde_json::from_value::<StreamingEditFileToolInput>(input) {
+            Ok(input) => input,
+            Err(err) => return Task::ready(Err(anyhow!(err))).into(),
+        };
+
+        let Some(project_path) = project.read(cx).find_project_path(&input.path, cx) else {
+            return Task::ready(Err(anyhow!(
+                "Path {} not found in project",
+                input.path.display()
+            )))
+            .into();
+        };
+        let Some(worktree) = project
+            .read(cx)
+            .worktree_for_id(project_path.worktree_id, cx)
+        else {
+            return Task::ready(Err(anyhow!("Worktree not found for project path"))).into();
+        };
+        let exists = worktree.update(cx, |worktree, cx| {
+            worktree.file_exists(&project_path.path, cx)
+        });
+
+        let card = window.and_then(|window| {
+            window
+                .update(cx, |_, window, cx| {
+                    cx.new(|cx| {
+                        EditFileToolCard::new(input.path.clone(), project.clone(), window, cx)
+                    })
+                })
+                .ok()
+        });
+
+        let card_clone = card.clone();
+        let messages = messages.to_vec();
+        let task = cx.spawn(async move |cx: &mut AsyncApp| {
+            if !input.create_or_overwrite && !exists.await? {
+                return Err(anyhow!("{} not found", input.path.display()));
+            }
+
+            let model = cx
+                .update(|cx| LanguageModelRegistry::read_global(cx).default_model())?
+                .context("default model not set")?
+                .model;
+            let edit_agent = EditAgent::new(model, project.clone(), action_log, Templates::new());
+
+            let buffer = project
+                .update(cx, |project, cx| {
+                    project.open_buffer(project_path.clone(), cx)
+                })?
+                .await?;
+
+            let old_snapshot = buffer.read_with(cx, |buffer, _cx| buffer.snapshot())?;
+            let old_text = cx
+                .background_spawn({
+                    let old_snapshot = old_snapshot.clone();
+                    async move { old_snapshot.text() }
+                })
+                .await;
+
+            let (output, mut events) = if input.create_or_overwrite {
+                edit_agent.overwrite(
+                    buffer.clone(),
+                    input.display_description.clone(),
+                    messages,
+                    cx,
+                )
+            } else {
+                edit_agent.edit(
+                    buffer.clone(),
+                    input.display_description.clone(),
+                    messages,
+                    cx,
+                )
+            };
+
+            let mut hallucinated_old_text = false;
+            while let Some(event) = events.next().await {
+                match event {
+                    EditAgentOutputEvent::Edited => {
+                        if let Some(card) = card_clone.as_ref() {
+                            let new_snapshot =
+                                buffer.read_with(cx, |buffer, _cx| buffer.snapshot())?;
+                            let new_text = cx
+                                .background_spawn({
+                                    let new_snapshot = new_snapshot.clone();
+                                    async move { new_snapshot.text() }
+                                })
+                                .await;
+                            card.update(cx, |card, cx| {
+                                card.set_diff(
+                                    project_path.path.clone(),
+                                    old_text.clone(),
+                                    new_text,
+                                    cx,
+                                );
+                            })
+                            .log_err();
+                        }
+                    }
+                    EditAgentOutputEvent::OldTextNotFound(_) => hallucinated_old_text = true,
+                }
+            }
+            output.await?;
+
+            project
+                .update(cx, |project, cx| project.save_buffer(buffer.clone(), cx))?
+                .await?;
+
+            let new_snapshot = buffer.read_with(cx, |buffer, _cx| buffer.snapshot())?;
+            let new_text = cx.background_spawn({
+                let new_snapshot = new_snapshot.clone();
+                async move { new_snapshot.text() }
+            });
+            let diff = cx.background_spawn(async move {
+                language::unified_diff(&old_snapshot.text(), &new_snapshot.text())
+            });
+            let (new_text, diff) = futures::join!(new_text, diff);
+
+            if let Some(card) = card_clone {
+                card.update(cx, |card, cx| {
+                    card.set_diff(project_path.path.clone(), old_text, new_text, cx);
+                })
+                .log_err();
+            }
+
+            let input_path = input.path.display();
+            if diff.is_empty() {
+                if hallucinated_old_text {
+                    Err(anyhow!(formatdoc! {"
+                        Some edits were produced but none of them could be applied.
+                        Read the relevant sections of {input_path} again so that
+                        I can perform the requested edits.
+                    "}))
+                } else {
+                    Ok("No edits were made.".to_string())
+                }
+            } else {
+                Ok(format!("Edited {}:\n\n```diff\n{}\n```", input_path, diff))
+            }
+        });
+
+        ToolResult {
+            output: task,
+            card: card.map(AnyToolCard::from),
+        }
+    }
+}
+
+#[cfg(test)]
+mod tests {
+    use super::*;
+    use serde_json::json;
+
+    #[test]
+    fn still_streaming_ui_text_with_path() {
+        let input = json!({
+            "path": "src/main.rs",
+            "display_description": "",
+            "old_string": "old code",
+            "new_string": "new code"
+        });
+
+        assert_eq!(
+            StreamingEditFileTool.still_streaming_ui_text(&input),
+            "src/main.rs"
+        );
+    }
+
+    #[test]
+    fn still_streaming_ui_text_with_description() {
+        let input = json!({
+            "path": "",
+            "display_description": "Fix error handling",
+            "old_string": "old code",
+            "new_string": "new code"
+        });
+
+        assert_eq!(
+            StreamingEditFileTool.still_streaming_ui_text(&input),
+            "Fix error handling",
+        );
+    }
+
+    #[test]
+    fn still_streaming_ui_text_with_path_and_description() {
+        let input = json!({
+            "path": "src/main.rs",
+            "display_description": "Fix error handling",
+            "old_string": "old code",
+            "new_string": "new code"
+        });
+
+        assert_eq!(
+            StreamingEditFileTool.still_streaming_ui_text(&input),
+            "Fix error handling",
+        );
+    }
+
+    #[test]
+    fn still_streaming_ui_text_no_path_or_description() {
+        let input = json!({
+            "path": "",
+            "display_description": "",
+            "old_string": "old code",
+            "new_string": "new code"
+        });
+
+        assert_eq!(
+            StreamingEditFileTool.still_streaming_ui_text(&input),
+            DEFAULT_UI_TEXT,
+        );
+    }
+
+    #[test]
+    fn still_streaming_ui_text_with_null() {
+        let input = serde_json::Value::Null;
+
+        assert_eq!(
+            StreamingEditFileTool.still_streaming_ui_text(&input),
+            DEFAULT_UI_TEXT,
+        );
+    }
+}
--- a/crates/assistant_tools/src/streaming_edit_file_tool/description.md
+++ b/crates/assistant_tools/src/streaming_edit_file_tool/description.md
@@ -0,0 +1,8 @@
+This is a tool for creating a new file or editing an existing file. For moving or renaming files, you should generally use the `terminal` tool with the 'mv' command instead.
+
+Before using this tool:
+
+1. Use the `read_file` tool to understand the file's contents and context
+
+2. Verify the directory path is correct (only applicable when creating new files):
+   - Use the `list_directory` tool to verify the parent directory exists and is the correct location
--- a/crates/assistant_tools/src/terminal_tool.rs
+++ b/crates/assistant_tools/src/terminal_tool.rs
@@ -4,7 +4,7 @@ use assistant_tool::{ActionLog, Tool, ToolCard, ToolResult, ToolUseStatus};
 use futures::{FutureExt as _, future::Shared};
 use gpui::{AnyWindowHandle, App, AppContext, Empty, Entity, EntityId, Task, WeakEntity, Window};
 use language::LineEnding;
-use language_model::{LanguageModel, LanguageModelRequestMessage, LanguageModelToolSchemaFormat};
+use language_model::{LanguageModelRequestMessage, LanguageModelToolSchemaFormat};
 use portable_pty::{CommandBuilder, PtySize, native_pty_system};
 use project::{Project, terminals::TerminalKind};
 use schemars::JsonSchema;
@@ -110,7 +110,6 @@ impl Tool for TerminalTool {
        _messages: &[LanguageModelRequestMessage],
        project: Entity<Project>,
        _action_log: Entity<ActionLog>,
-        _model: Arc<dyn LanguageModel>,
        window: Option<AnyWindowHandle>,
        cx: &mut App,
    ) -> ToolResult {
@@ -179,7 +178,7 @@ impl Tool for TerminalTool {
                let exit_status = child.wait()?;
                let (processed_content, _) =
                    process_content(content, &input.command, Some(exit_status));
-                Ok(processed_content.into())
+                Ok(processed_content)
            });
            return ToolResult {
                output: task,
@@ -267,7 +266,7 @@ impl Tool for TerminalTool {
                    card.elapsed_time = Some(card.start_instant.elapsed());
                });

-                Ok(processed_content.into())
+                Ok(processed_content)
            }
        });

@@ -599,7 +598,6 @@ mod tests {
    use editor::EditorSettings;
    use fs::RealFs;
    use gpui::{BackgroundExecutor, TestAppContext};
-    use language_model::fake_provider::FakeLanguageModel;
    use pretty_assertions::assert_eq;
    use serde_json::json;
    use settings::{Settings, SettingsStore};
@@ -641,7 +639,6 @@ mod tests {
        let project: Entity<Project> =
            Project::test(fs, [tree.path().join("project").as_path()], cx).await;
        let action_log = cx.update(|cx| cx.new(|_| ActionLog::new(project.clone())));
-        let model = Arc::new(FakeLanguageModel::default());

        let input = TerminalToolInput {
            command: "cat".to_owned(),
@@ -659,13 +656,12 @@ mod tests {
                &[],
                project.clone(),
                action_log.clone(),
-                model,
                None,
                cx,
            )
        });

-        let output = result.output.await.log_err().map(|output| output.content);
+        let output = result.output.await.log_err();
        assert_eq!(output, Some("Command executed successfully.".into()));
    }

@@ -685,7 +681,6 @@ mod tests {
        let project: Entity<Project> =
            Project::test(fs, [tree.path().join("project").as_path()], cx).await;
        let action_log = cx.update(|cx| cx.new(|_| ActionLog::new(project.clone())));
-        let model = Arc::new(FakeLanguageModel::default());

        let check = |input, expected, cx: &mut App| {
            let headless_result = TerminalTool::run(
@@ -694,16 +689,11 @@ mod tests {
                &[],
                project.clone(),
                action_log.clone(),
-                model.clone(),
                None,
                cx,
            );
            cx.spawn(async move |_| {
-                let output = headless_result
-                    .output
-                    .await
-                    .log_err()
-                    .map(|output| output.content);
+                let output = headless_result.output.await.log_err();
                assert_eq!(output, expected);
            })
        };
--- a/crates/assistant_tools/src/thinking_tool.rs
+++ b/crates/assistant_tools/src/thinking_tool.rs
@@ -4,7 +4,7 @@ use crate::schema::json_schema_for;
 use anyhow::{Result, anyhow};
 use assistant_tool::{ActionLog, Tool, ToolResult};
 use gpui::{AnyWindowHandle, App, Entity, Task};
-use language_model::{LanguageModel, LanguageModelRequestMessage, LanguageModelToolSchemaFormat};
+use language_model::{LanguageModelRequestMessage, LanguageModelToolSchemaFormat};
 use project::Project;
 use schemars::JsonSchema;
 use serde::{Deserialize, Serialize};
@@ -50,13 +50,12 @@ impl Tool for ThinkingTool {
        _messages: &[LanguageModelRequestMessage],
        _project: Entity<Project>,
        _action_log: Entity<ActionLog>,
-        _model: Arc<dyn LanguageModel>,
        _window: Option<AnyWindowHandle>,
        _cx: &mut App,
    ) -> ToolResult {
        // This tool just "thinks out loud" and doesn't perform any actions.
        Task::ready(match serde_json::from_value::<ThinkingToolInput>(input) {
-            Ok(_input) => Ok("Finished thinking.".to_string().into()),
+            Ok(_input) => Ok("Finished thinking.".to_string()),
            Err(err) => Err(anyhow!(err)),
        })
        .into()
--- a/crates/assistant_tools/src/web_search_tool.rs
+++ b/crates/assistant_tools/src/web_search_tool.rs
@@ -8,7 +8,7 @@ use futures::{Future, FutureExt, TryFutureExt};
 use gpui::{
    AnyWindowHandle, App, AppContext, Context, Entity, IntoElement, Task, WeakEntity, Window,
 };
-use language_model::{LanguageModel, LanguageModelRequestMessage, LanguageModelToolSchemaFormat};
+use language_model::{LanguageModelRequestMessage, LanguageModelToolSchemaFormat};
 use project::Project;
 use schemars::JsonSchema;
 use serde::{Deserialize, Serialize};
@@ -56,7 +56,6 @@ impl Tool for WebSearchTool {
        _messages: &[LanguageModelRequestMessage],
        _project: Entity<Project>,
        _action_log: Entity<ActionLog>,
-        _model: Arc<dyn LanguageModel>,
        _window: Option<AnyWindowHandle>,
        cx: &mut App,
    ) -> ToolResult {
@@ -73,9 +72,7 @@ impl Tool for WebSearchTool {
            let search_task = search_task.clone();
            async move {
                let response = search_task.await.map_err(|err| anyhow!(err))?;
-                serde_json::to_string(&response)
-                    .context("Failed to serialize search results")
-                    .map(Into::into)
+                serde_json::to_string(&response).context("Failed to serialize search results")
            }
        });

--- a/crates/collab/Cargo.toml
+++ b/crates/collab/Cargo.toml
@@ -78,7 +78,6 @@ zed_llm_client.workspace = true
 [dev-dependencies]
 assistant = { workspace = true, features = ["test-support"] }
 assistant_context_editor.workspace = true
-assistant_settings.workspace = true
 assistant_slash_command.workspace = true
 assistant_tool.workspace = true
 async-trait.workspace = true
--- a/crates/collab/src/api/billing.rs
+++ b/crates/collab/src/api/billing.rs
@@ -71,7 +71,6 @@ struct GetBillingPreferencesParams {

 #[derive(Debug, Serialize)]
 struct BillingPreferencesResponse {
-    trial_started_at: Option<String>,
    max_monthly_llm_usage_spending_in_cents: i32,
    model_request_overages_enabled: bool,
    model_request_overages_spend_limit_in_cents: i32,
@@ -87,17 +86,9 @@ async fn get_billing_preferences(
        .await?
        .ok_or_else(|| anyhow!("user not found"))?;

-    let billing_customer = app.db.get_billing_customer_by_user_id(user.id).await?;
    let preferences = app.db.get_billing_preferences(user.id).await?;

    Ok(Json(BillingPreferencesResponse {
-        trial_started_at: billing_customer
-            .and_then(|billing_customer| billing_customer.trial_started_at)
-            .map(|trial_started_at| {
-                trial_started_at
-                    .and_utc()
-                    .to_rfc3339_opts(SecondsFormat::Millis, true)
-            }),
        max_monthly_llm_usage_spending_in_cents: preferences
            .as_ref()
            .map_or(DEFAULT_MAX_MONTHLY_SPEND.0 as i32, |preferences| {
@@ -136,8 +127,6 @@ async fn update_billing_preferences(
        .await?
        .ok_or_else(|| anyhow!("user not found"))?;

-    let billing_customer = app.db.get_billing_customer_by_user_id(user.id).await?;
-
    let max_monthly_llm_usage_spending_in_cents =
        body.max_monthly_llm_usage_spending_in_cents.max(0);
    let model_request_overages_spend_limit_in_cents =
@@ -193,13 +182,6 @@ async fn update_billing_preferences(
    rpc_server.refresh_llm_tokens_for_user(user.id).await;

    Ok(Json(BillingPreferencesResponse {
-        trial_started_at: billing_customer
-            .and_then(|billing_customer| billing_customer.trial_started_at)
-            .map(|trial_started_at| {
-                trial_started_at
-                    .and_utc()
-                    .to_rfc3339_opts(SecondsFormat::Millis, true)
-            }),
        max_monthly_llm_usage_spending_in_cents: billing_preferences
            .max_monthly_llm_usage_spending_in_cents,
        model_request_overages_enabled: billing_preferences.model_request_overages_enabled,
@@ -319,6 +301,13 @@ async fn create_billing_subscription(
            "not supported".into(),
        ))?
    };
+    let Some(llm_db) = app.llm_db.clone() else {
+        log::error!("failed to retrieve LLM database");
+        Err(Error::http(
+            StatusCode::NOT_IMPLEMENTED,
+            "not supported".into(),
+        ))?
+    };

    if app.db.has_active_billing_subscription(user.id).await? {
        return Err(Error::http(
@@ -410,10 +399,16 @@ async fn create_billing_subscription(
                .await?
        }
        None => {
-            return Err(Error::http(
-                StatusCode::BAD_REQUEST,
-                "No product selected".into(),
-            ));
+            let default_model = llm_db.model(
+                zed_llm_client::LanguageModelProvider::Anthropic,
+                "claude-3-7-sonnet",
+            )?;
+            let stripe_model = stripe_billing
+                .register_model_for_token_based_usage(default_model)
+                .await?;
+            stripe_billing
+                .checkout(customer_id, &user.github_login, &stripe_model, &success_url)
+                .await?
        }
    };

@@ -1028,6 +1023,29 @@ async fn handle_customer_subscription_event(
        .get_billing_subscription_by_stripe_subscription_id(&subscription.id)
        .await?
    {
+        let llm_db = app
+            .llm_db
+            .clone()
+            .ok_or_else(|| anyhow!("LLM DB not initialized"))?;
+
+        let new_period_start_at =
+            chrono::DateTime::from_timestamp(subscription.current_period_start, 0)
+                .ok_or_else(|| anyhow!("No subscription period start"))?;
+        let new_period_end_at =
+            chrono::DateTime::from_timestamp(subscription.current_period_end, 0)
+                .ok_or_else(|| anyhow!("No subscription period end"))?;
+
+        llm_db
+            .transfer_existing_subscription_usage(
+                billing_customer.user_id,
+                &existing_subscription,
+                subscription_kind,
+                subscription.status.into(),
+                new_period_start_at,
+                new_period_end_at,
+            )
+            .await?;
+
        app.db
            .update_billing_subscription(
                existing_subscription.id,
@@ -1386,6 +1404,81 @@ async fn find_or_create_billing_customer(
    Ok(Some(billing_customer))
 }

+const SYNC_LLM_TOKEN_USAGE_WITH_STRIPE_INTERVAL: Duration = Duration::from_secs(60);
+
+pub fn sync_llm_token_usage_with_stripe_periodically(app: Arc<AppState>) {
+    let Some(stripe_billing) = app.stripe_billing.clone() else {
+        log::warn!("failed to retrieve Stripe billing object");
+        return;
+    };
+    let Some(llm_db) = app.llm_db.clone() else {
+        log::warn!("failed to retrieve LLM database");
+        return;
+    };
+
+    let executor = app.executor.clone();
+    executor.spawn_detached({
+        let executor = executor.clone();
+        async move {
+            loop {
+                sync_token_usage_with_stripe(&app, &llm_db, &stripe_billing)
+                    .await
+                    .context("failed to sync LLM usage to Stripe")
+                    .trace_err();
+                executor
+                    .sleep(SYNC_LLM_TOKEN_USAGE_WITH_STRIPE_INTERVAL)
+                    .await;
+            }
+        }
+    });
+}
+
+async fn sync_token_usage_with_stripe(
+    app: &Arc<AppState>,
+    llm_db: &Arc<LlmDatabase>,
+    stripe_billing: &Arc<StripeBilling>,
+) -> anyhow::Result<()> {
+    let events = llm_db.get_billing_events().await?;
+    let user_ids = events
+        .iter()
+        .map(|(event, _)| event.user_id)
+        .collect::<HashSet<UserId>>();
+    let stripe_subscriptions = app.db.get_active_billing_subscriptions(user_ids).await?;
+
+    for (event, model) in events {
+        let Some((stripe_db_customer, stripe_db_subscription)) =
+            stripe_subscriptions.get(&event.user_id)
+        else {
+            tracing::warn!(
+                user_id = event.user_id.0,
+                "Registered billing event for user who is not a Stripe customer. Billing events should only be created for users who are Stripe customers, so this is a mistake on our side."
+            );
+            continue;
+        };
+        let stripe_subscription_id: stripe::SubscriptionId = stripe_db_subscription
+            .stripe_subscription_id
+            .parse()
+            .context("failed to parse stripe subscription id from db")?;
+        let stripe_customer_id: stripe::CustomerId = stripe_db_customer
+            .stripe_customer_id
+            .parse()
+            .context("failed to parse stripe customer id from db")?;
+
+        let stripe_model = stripe_billing
+            .register_model_for_token_based_usage(&model)
+            .await?;
+        stripe_billing
+            .subscribe_to_model(&stripe_subscription_id, &stripe_model)
+            .await?;
+        stripe_billing
+            .bill_model_token_usage(&stripe_customer_id, &stripe_model, &event)
+            .await?;
+        llm_db.consume_billing_event(event.id).await?;
+    }
+
+    Ok(())
+}
+
 const SYNC_LLM_REQUEST_USAGE_WITH_STRIPE_INTERVAL: Duration = Duration::from_secs(60);

 pub fn sync_llm_request_usage_with_stripe_periodically(app: Arc<AppState>) {
--- a/crates/collab/src/llm/db/queries.rs
+++ b/crates/collab/src/llm/db/queries.rs
@@ -1,5 +1,6 @@
 use super::*;

+pub mod billing_events;
 pub mod providers;
 pub mod subscription_usage_meters;
 pub mod subscription_usages;
--- a/crates/collab/src/llm/db/queries/billing_events.rs
+++ b/crates/collab/src/llm/db/queries/billing_events.rs
@@ -0,0 +1,31 @@
+use super::*;
+use crate::Result;
+use anyhow::Context as _;
+
+impl LlmDatabase {
+    pub async fn get_billing_events(&self) -> Result<Vec<(billing_event::Model, model::Model)>> {
+        self.transaction(|tx| async move {
+            let events_with_models = billing_event::Entity::find()
+                .find_also_related(model::Entity)
+                .all(&*tx)
+                .await?;
+            events_with_models
+                .into_iter()
+                .map(|(event, model)| {
+                    let model =
+                        model.context("could not find model associated with billing event")?;
+                    Ok((event, model))
+                })
+                .collect()
+        })
+        .await
+    }
+
+    pub async fn consume_billing_event(&self, id: BillingEventId) -> Result<()> {
+        self.transaction(|tx| async move {
+            billing_event::Entity::delete_by_id(id).exec(&*tx).await?;
+            Ok(())
+        })
+        .await
+    }
+}
--- a/crates/collab/src/llm/db/queries/subscription_usages.rs
+++ b/crates/collab/src/llm/db/queries/subscription_usages.rs
@@ -1,6 +1,8 @@
+use chrono::Timelike;
 use time::PrimitiveDateTime;

-use crate::db::UserId;
+use crate::db::billing_subscription::{StripeSubscriptionStatus, SubscriptionKind};
+use crate::db::{UserId, billing_subscription};

 use super::*;

@@ -24,6 +26,62 @@ pub fn convert_chrono_to_time(datetime: DateTimeUtc) -> anyhow::Result<Primitive
 }

 impl LlmDatabase {
+    pub async fn create_subscription_usage(
+        &self,
+        user_id: UserId,
+        period_start_at: DateTimeUtc,
+        period_end_at: DateTimeUtc,
+        plan: SubscriptionKind,
+        model_requests: i32,
+        edit_predictions: i32,
+    ) -> Result<subscription_usage::Model> {
+        self.transaction(|tx| async move {
+            self.create_subscription_usage_in_tx(
+                user_id,
+                period_start_at,
+                period_end_at,
+                plan,
+                model_requests,
+                edit_predictions,
+                &tx,
+            )
+            .await
+        })
+        .await
+    }
+
+    async fn create_subscription_usage_in_tx(
+        &self,
+        user_id: UserId,
+        period_start_at: DateTimeUtc,
+        period_end_at: DateTimeUtc,
+        plan: SubscriptionKind,
+        model_requests: i32,
+        edit_predictions: i32,
+        tx: &DatabaseTransaction,
+    ) -> Result<subscription_usage::Model> {
+        // Clear out the nanoseconds so that these timestamps are comparable with Unix timestamps.
+        let period_start_at = period_start_at.with_nanosecond(0).unwrap();
+        let period_end_at = period_end_at.with_nanosecond(0).unwrap();
+
+        let period_start_at = convert_chrono_to_time(period_start_at)?;
+        let period_end_at = convert_chrono_to_time(period_end_at)?;
+
+        Ok(
+            subscription_usage::Entity::insert(subscription_usage::ActiveModel {
+                id: ActiveValue::set(Uuid::now_v7()),
+                user_id: ActiveValue::set(user_id),
+                period_start_at: ActiveValue::set(period_start_at),
+                period_end_at: ActiveValue::set(period_end_at),
+                plan: ActiveValue::set(plan),
+                model_requests: ActiveValue::set(model_requests),
+                edit_predictions: ActiveValue::set(edit_predictions),
+            })
+            .exec_with_returning(tx)
+            .await?,
+        )
+    }
+
    pub async fn get_subscription_usage_for_period(
        &self,
        user_id: UserId,
@@ -56,4 +114,54 @@ impl LlmDatabase {
            .one(tx)
            .await?)
    }
+
+    pub async fn transfer_existing_subscription_usage(
+        &self,
+        user_id: UserId,
+        existing_subscription: &billing_subscription::Model,
+        new_subscription_kind: Option<SubscriptionKind>,
+        new_subscription_status: StripeSubscriptionStatus,
+        new_period_start_at: DateTimeUtc,
+        new_period_end_at: DateTimeUtc,
+    ) -> Result<Option<subscription_usage::Model>> {
+        self.transaction(|tx| async move {
+            match (existing_subscription.kind, new_subscription_status) {
+                (Some(SubscriptionKind::ZedProTrial), StripeSubscriptionStatus::Active) => {
+                    let trial_period_start_at = existing_subscription
+                        .current_period_start_at()
+                        .ok_or_else(|| anyhow!("No trial subscription period start"))?;
+                    let trial_period_end_at = existing_subscription
+                        .current_period_end_at()
+                        .ok_or_else(|| anyhow!("No trial subscription period end"))?;
+
+                    let existing_usage = self
+                        .get_subscription_usage_for_period_in_tx(
+                            user_id,
+                            trial_period_start_at,
+                            trial_period_end_at,
+                            &tx,
+                        )
+                        .await?;
+                    if let Some(existing_usage) = existing_usage {
+                        return Ok(Some(
+                            self.create_subscription_usage_in_tx(
+                                user_id,
+                                new_period_start_at,
+                                new_period_end_at,
+                                new_subscription_kind.unwrap_or(existing_usage.plan),
+                                existing_usage.model_requests,
+                                existing_usage.edit_predictions,
+                                &tx,
+                            )
+                            .await?,
+                        ));
+                    }
+                }
+                _ => {}
+            }
+
+            Ok(None)
+        })
+        .await
+    }
 }
--- a/crates/collab/src/llm/db/tables.rs
+++ b/crates/collab/src/llm/db/tables.rs
@@ -1,3 +1,4 @@
+pub mod billing_event;
 pub mod model;
 pub mod monthly_usage;
 pub mod provider;
--- a/crates/collab/src/llm/db/tables/billing_event.rs
+++ b/crates/collab/src/llm/db/tables/billing_event.rs
@@ -0,0 +1,37 @@
+use crate::{
+    db::UserId,
+    llm::db::{BillingEventId, ModelId},
+};
+use sea_orm::entity::prelude::*;
+
+#[derive(Clone, Debug, PartialEq, DeriveEntityModel)]
+#[sea_orm(table_name = "billing_events")]
+pub struct Model {
+    #[sea_orm(primary_key)]
+    pub id: BillingEventId,
+    pub idempotency_key: Uuid,
+    pub user_id: UserId,
+    pub model_id: ModelId,
+    pub input_tokens: i64,
+    pub input_cache_creation_tokens: i64,
+    pub input_cache_read_tokens: i64,
+    pub output_tokens: i64,
+}
+
+#[derive(Copy, Clone, Debug, EnumIter, DeriveRelation)]
+pub enum Relation {
+    #[sea_orm(
+        belongs_to = "super::model::Entity",
+        from = "Column::ModelId",
+        to = "super::model::Column::Id"
+    )]
+    Model,
+}
+
+impl Related<super::model::Entity> for Entity {
+    fn to() -> RelationDef {
+        Relation::Model.def()
+    }
+}
+
+impl ActiveModelBehavior for ActiveModel {}
--- a/crates/collab/src/llm/db/tables/model.rs
+++ b/crates/collab/src/llm/db/tables/model.rs
@@ -31,6 +31,8 @@ pub enum Relation {
    Provider,
    #[sea_orm(has_many = "super::usage::Entity")]
    Usages,
+    #[sea_orm(has_many = "super::billing_event::Entity")]
+    BillingEvents,
 }

 impl Related<super::provider::Entity> for Entity {
@@ -45,4 +47,10 @@ impl Related<super::usage::Entity> for Entity {
    }
 }

+impl Related<super::billing_event::Entity> for Entity {
+    fn to() -> RelationDef {
+        Relation::BillingEvents.def()
+    }
+}
+
 impl ActiveModelBehavior for ActiveModel {}
--- a/crates/collab/src/llm/db/tests.rs
+++ b/crates/collab/src/llm/db/tests.rs
@@ -1,4 +1,5 @@
 mod provider_tests;
+mod subscription_usage_tests;

 use gpui::BackgroundExecutor;
 use parking_lot::Mutex;
--- a/crates/collab/src/llm/db/tests/subscription_usage_tests.rs
+++ b/crates/collab/src/llm/db/tests/subscription_usage_tests.rs
@@ -0,0 +1,119 @@
+use chrono::{Duration, Utc};
+use pretty_assertions::assert_eq;
+
+use crate::db::billing_subscription::{StripeSubscriptionStatus, SubscriptionKind};
+use crate::db::{UserId, billing_subscription};
+use crate::llm::db::LlmDatabase;
+use crate::test_llm_db;
+
+test_llm_db!(
+    test_transfer_existing_subscription_usage,
+    test_transfer_existing_subscription_usage_postgres
+);
+
+async fn test_transfer_existing_subscription_usage(db: &mut LlmDatabase) {
+    // Test when an existing Zed Pro trial subscription is upgraded to Zed Pro.
+    {
+        let user_id = UserId(1);
+
+        let now = Utc::now();
+
+        let trial_period_start_at = now - Duration::days(14);
+        let trial_period_end_at = now;
+
+        let new_period_start_at = now;
+        let new_period_end_at = now + Duration::days(30);
+
+        let existing_subscription = billing_subscription::Model {
+            kind: Some(SubscriptionKind::ZedProTrial),
+            stripe_current_period_start: Some(trial_period_start_at.timestamp()),
+            stripe_current_period_end: Some(trial_period_end_at.timestamp()),
+            ..Default::default()
+        };
+
+        let existing_usage = db
+            .create_subscription_usage(
+                user_id,
+                trial_period_start_at,
+                trial_period_end_at,
+                SubscriptionKind::ZedProTrial,
+                25,
+                1_000,
+            )
+            .await
+            .unwrap();
+
+        let transferred_usage = db
+            .transfer_existing_subscription_usage(
+                user_id,
+                &existing_subscription,
+                Some(SubscriptionKind::ZedPro),
+                StripeSubscriptionStatus::Active,
+                new_period_start_at,
+                new_period_end_at,
+            )
+            .await
+            .unwrap();
+
+        assert!(
+            transferred_usage.is_some(),
+            "subscription usage not transferred successfully"
+        );
+        let transferred_usage = transferred_usage.unwrap();
+
+        assert_eq!(
+            transferred_usage.model_requests,
+            existing_usage.model_requests
+        );
+        assert_eq!(
+            transferred_usage.edit_predictions,
+            existing_usage.edit_predictions
+        );
+    }
+
+    // Test when an existing Zed Pro trial subscription is canceled.
+    {
+        let user_id = UserId(2);
+
+        let now = Utc::now();
+
+        let trial_period_start_at = now - Duration::days(14);
+        let trial_period_end_at = now;
+
+        let existing_subscription = billing_subscription::Model {
+            kind: Some(SubscriptionKind::ZedProTrial),
+            stripe_current_period_start: Some(trial_period_start_at.timestamp()),
+            stripe_current_period_end: Some(trial_period_end_at.timestamp()),
+            ..Default::default()
+        };
+
+        let _existing_usage = db
+            .create_subscription_usage(
+                user_id,
+                trial_period_start_at,
+                trial_period_end_at,
+                SubscriptionKind::ZedProTrial,
+                25,
+                1_000,
+            )
+            .await
+            .unwrap();
+
+        let transferred_usage = db
+            .transfer_existing_subscription_usage(
+                user_id,
+                &existing_subscription,
+                Some(SubscriptionKind::ZedPro),
+                StripeSubscriptionStatus::Canceled,
+                trial_period_start_at,
+                trial_period_end_at,
+            )
+            .await
+            .unwrap();
+
+        assert!(
+            transferred_usage.is_none(),
+            "subscription usage was transferred when it should not have been"
+        );
+    }
+}
--- a/crates/collab/src/main.rs
+++ b/crates/collab/src/main.rs
@@ -8,7 +8,9 @@ use axum::{
 };

 use collab::api::CloudflareIpCountryHeader;
-use collab::api::billing::sync_llm_request_usage_with_stripe_periodically;
+use collab::api::billing::{
+    sync_llm_request_usage_with_stripe_periodically, sync_llm_token_usage_with_stripe_periodically,
+};
 use collab::llm::db::LlmDatabase;
 use collab::migrations::run_database_migrations;
 use collab::user_backfiller::spawn_user_backfiller;
@@ -153,6 +155,7 @@ async fn main() -> Result<()> {
                    if let Some(mut llm_db) = llm_db {
                        llm_db.initialize().await?;
                        sync_llm_request_usage_with_stripe_periodically(state.clone());
+                        sync_llm_token_usage_with_stripe_periodically(state.clone());
                    }

                    app = app
--- a/crates/collab/src/stripe_billing.rs
+++ b/crates/collab/src/stripe_billing.rs
@@ -1,9 +1,9 @@
 use std::sync::Arc;

-use crate::Result;
-use crate::llm::AGENT_EXTENDED_TRIAL_FEATURE_FLAG;
+use crate::llm::{self, AGENT_EXTENDED_TRIAL_FEATURE_FLAG};
+use crate::{Cents, Result};
 use anyhow::{Context as _, anyhow};
-use chrono::Utc;
+use chrono::{Datelike, Utc};
 use collections::HashMap;
 use serde::{Deserialize, Serialize};
 use stripe::PriceId;
@@ -22,6 +22,18 @@ struct StripeBillingState {
    prices_by_lookup_key: HashMap<String, stripe::Price>,
 }

+pub struct StripeModelTokenPrices {
+    input_tokens_price: StripeBillingPrice,
+    input_cache_creation_tokens_price: StripeBillingPrice,
+    input_cache_read_tokens_price: StripeBillingPrice,
+    output_tokens_price: StripeBillingPrice,
+}
+
+struct StripeBillingPrice {
+    id: stripe::PriceId,
+    meter_event_name: String,
+}
+
 impl StripeBilling {
    pub fn new(client: Arc<stripe::Client>) -> Self {
        Self {
@@ -97,6 +109,142 @@ impl StripeBilling {
            .ok_or_else(|| crate::Error::Internal(anyhow!("no price found for {lookup_key:?}")))
    }

+    pub async fn register_model_for_token_based_usage(
+        &self,
+        model: &llm::db::model::Model,
+    ) -> Result<StripeModelTokenPrices> {
+        let input_tokens_price = self
+            .get_or_insert_token_price(
+                &format!("model_{}/input_tokens", model.id),
+                &format!("{} (Input Tokens)", model.name),
+                Cents::new(model.price_per_million_input_tokens as u32),
+            )
+            .await?;
+        let input_cache_creation_tokens_price = self
+            .get_or_insert_token_price(
+                &format!("model_{}/input_cache_creation_tokens", model.id),
+                &format!("{} (Input Cache Creation Tokens)", model.name),
+                Cents::new(model.price_per_million_cache_creation_input_tokens as u32),
+            )
+            .await?;
+        let input_cache_read_tokens_price = self
+            .get_or_insert_token_price(
+                &format!("model_{}/input_cache_read_tokens", model.id),
+                &format!("{} (Input Cache Read Tokens)", model.name),
+                Cents::new(model.price_per_million_cache_read_input_tokens as u32),
+            )
+            .await?;
+        let output_tokens_price = self
+            .get_or_insert_token_price(
+                &format!("model_{}/output_tokens", model.id),
+                &format!("{} (Output Tokens)", model.name),
+                Cents::new(model.price_per_million_output_tokens as u32),
+            )
+            .await?;
+        Ok(StripeModelTokenPrices {
+            input_tokens_price,
+            input_cache_creation_tokens_price,
+            input_cache_read_tokens_price,
+            output_tokens_price,
+        })
+    }
+
+    async fn get_or_insert_token_price(
+        &self,
+        meter_event_name: &str,
+        price_description: &str,
+        price_per_million_tokens: Cents,
+    ) -> Result<StripeBillingPrice> {
+        // Fast code path when the meter and the price already exist.
+        {
+            let state = self.state.read().await;
+            if let Some(meter) = state.meters_by_event_name.get(meter_event_name) {
+                if let Some(price_id) = state.price_ids_by_meter_id.get(&meter.id) {
+                    return Ok(StripeBillingPrice {
+                        id: price_id.clone(),
+                        meter_event_name: meter_event_name.to_string(),
+                    });
+                }
+            }
+        }
+
+        let mut state = self.state.write().await;
+        let meter = if let Some(meter) = state.meters_by_event_name.get(meter_event_name) {
+            meter.clone()
+        } else {
+            let meter = StripeMeter::create(
+                &self.client,
+                StripeCreateMeterParams {
+                    default_aggregation: DefaultAggregation { formula: "sum" },
+                    display_name: price_description.to_string(),
+                    event_name: meter_event_name,
+                },
+            )
+            .await?;
+            state
+                .meters_by_event_name
+                .insert(meter_event_name.to_string(), meter.clone());
+            meter
+        };
+
+        let price_id = if let Some(price_id) = state.price_ids_by_meter_id.get(&meter.id) {
+            price_id.clone()
+        } else {
+            let price = stripe::Price::create(
+                &self.client,
+                stripe::CreatePrice {
+                    active: Some(true),
+                    billing_scheme: Some(stripe::PriceBillingScheme::PerUnit),
+                    currency: stripe::Currency::USD,
+                    currency_options: None,
+                    custom_unit_amount: None,
+                    expand: &[],
+                    lookup_key: None,
+                    metadata: None,
+                    nickname: None,
+                    product: None,
+                    product_data: Some(stripe::CreatePriceProductData {
+                        id: None,
+                        active: Some(true),
+                        metadata: None,
+                        name: price_description.to_string(),
+                        statement_descriptor: None,
+                        tax_code: None,
+                        unit_label: None,
+                    }),
+                    recurring: Some(stripe::CreatePriceRecurring {
+                        aggregate_usage: None,
+                        interval: stripe::CreatePriceRecurringInterval::Month,
+                        interval_count: None,
+                        trial_period_days: None,
+                        usage_type: Some(stripe::CreatePriceRecurringUsageType::Metered),
+                        meter: Some(meter.id.clone()),
+                    }),
+                    tax_behavior: None,
+                    tiers: None,
+                    tiers_mode: None,
+                    transfer_lookup_key: None,
+                    transform_quantity: None,
+                    unit_amount: None,
+                    unit_amount_decimal: Some(&format!(
+                        "{:.12}",
+                        price_per_million_tokens.0 as f64 / 1_000_000f64
+                    )),
+                },
+            )
+            .await?;
+            state
+                .price_ids_by_meter_id
+                .insert(meter.id, price.id.clone());
+            price.id
+        };
+
+        Ok(StripeBillingPrice {
+            id: price_id,
+            meter_event_name: meter_event_name.to_string(),
+        })
+    }
+
    pub async fn subscribe_to_price(
        &self,
        subscription_id: &stripe::SubscriptionId,
@@ -135,6 +283,142 @@ impl StripeBilling {
        Ok(())
    }

+    pub async fn subscribe_to_model(
+        &self,
+        subscription_id: &stripe::SubscriptionId,
+        model: &StripeModelTokenPrices,
+    ) -> Result<()> {
+        let subscription =
+            stripe::Subscription::retrieve(&self.client, &subscription_id, &[]).await?;
+
+        let mut items = Vec::new();
+
+        if !subscription_contains_price(&subscription, &model.input_tokens_price.id) {
+            items.push(stripe::UpdateSubscriptionItems {
+                price: Some(model.input_tokens_price.id.to_string()),
+                ..Default::default()
+            });
+        }
+
+        if !subscription_contains_price(&subscription, &model.input_cache_creation_tokens_price.id)
+        {
+            items.push(stripe::UpdateSubscriptionItems {
+                price: Some(model.input_cache_creation_tokens_price.id.to_string()),
+                ..Default::default()
+            });
+        }
+
+        if !subscription_contains_price(&subscription, &model.input_cache_read_tokens_price.id) {
+            items.push(stripe::UpdateSubscriptionItems {
+                price: Some(model.input_cache_read_tokens_price.id.to_string()),
+                ..Default::default()
+            });
+        }
+
+        if !subscription_contains_price(&subscription, &model.output_tokens_price.id) {
+            items.push(stripe::UpdateSubscriptionItems {
+                price: Some(model.output_tokens_price.id.to_string()),
+                ..Default::default()
+            });
+        }
+
+        if !items.is_empty() {
+            items.extend(subscription.items.data.iter().map(|item| {
+                stripe::UpdateSubscriptionItems {
+                    id: Some(item.id.to_string()),
+                    ..Default::default()
+                }
+            }));
+
+            stripe::Subscription::update(
+                &self.client,
+                subscription_id,
+                stripe::UpdateSubscription {
+                    items: Some(items),
+                    ..Default::default()
+                },
+            )
+            .await?;
+        }
+
+        Ok(())
+    }
+
+    pub async fn bill_model_token_usage(
+        &self,
+        customer_id: &stripe::CustomerId,
+        model: &StripeModelTokenPrices,
+        event: &llm::db::billing_event::Model,
+    ) -> Result<()> {
+        let timestamp = Utc::now().timestamp();
+
+        if event.input_tokens > 0 {
+            StripeMeterEvent::create(
+                &self.client,
+                StripeCreateMeterEventParams {
+                    identifier: &format!("input_tokens/{}", event.idempotency_key),
+                    event_name: &model.input_tokens_price.meter_event_name,
+                    payload: StripeCreateMeterEventPayload {
+                        value: event.input_tokens as u64,
+                        stripe_customer_id: customer_id,
+                    },
+                    timestamp: Some(timestamp),
+                },
+            )
+            .await?;
+        }
+
+        if event.input_cache_creation_tokens > 0 {
+            StripeMeterEvent::create(
+                &self.client,
+                StripeCreateMeterEventParams {
+                    identifier: &format!("input_cache_creation_tokens/{}", event.idempotency_key),
+                    event_name: &model.input_cache_creation_tokens_price.meter_event_name,
+                    payload: StripeCreateMeterEventPayload {
+                        value: event.input_cache_creation_tokens as u64,
+                        stripe_customer_id: customer_id,
+                    },
+                    timestamp: Some(timestamp),
+                },
+            )
+            .await?;
+        }
+
+        if event.input_cache_read_tokens > 0 {
+            StripeMeterEvent::create(
+                &self.client,
+                StripeCreateMeterEventParams {
+                    identifier: &format!("input_cache_read_tokens/{}", event.idempotency_key),
+                    event_name: &model.input_cache_read_tokens_price.meter_event_name,
+                    payload: StripeCreateMeterEventPayload {
+                        value: event.input_cache_read_tokens as u64,
+                        stripe_customer_id: customer_id,
+                    },
+                    timestamp: Some(timestamp),
+                },
+            )
+            .await?;
+        }
+
+        if event.output_tokens > 0 {
+            StripeMeterEvent::create(
+                &self.client,
+                StripeCreateMeterEventParams {
+                    identifier: &format!("output_tokens/{}", event.idempotency_key),
+                    event_name: &model.output_tokens_price.meter_event_name,
+                    payload: StripeCreateMeterEventPayload {
+                        value: event.output_tokens as u64,
+                        stripe_customer_id: customer_id,
+                    },
+                    timestamp: Some(timestamp),
+                },
+            )
+            .await?;
+        }
+
+        Ok(())
+    }
+
    pub async fn bill_model_request_usage(
        &self,
        customer_id: &stripe::CustomerId,
@@ -161,6 +445,47 @@ impl StripeBilling {
        Ok(())
    }

+    pub async fn checkout(
+        &self,
+        customer_id: stripe::CustomerId,
+        github_login: &str,
+        model: &StripeModelTokenPrices,
+        success_url: &str,
+    ) -> Result<String> {
+        let first_of_next_month = Utc::now()
+            .checked_add_months(chrono::Months::new(1))
+            .unwrap()
+            .with_day(1)
+            .unwrap();
+
+        let mut params = stripe::CreateCheckoutSession::new();
+        params.mode = Some(stripe::CheckoutSessionMode::Subscription);
+        params.customer = Some(customer_id);
+        params.client_reference_id = Some(github_login);
+        params.subscription_data = Some(stripe::CreateCheckoutSessionSubscriptionData {
+            billing_cycle_anchor: Some(first_of_next_month.timestamp()),
+            ..Default::default()
+        });
+        params.line_items = Some(
+            [
+                &model.input_tokens_price.id,
+                &model.input_cache_creation_tokens_price.id,
+                &model.input_cache_read_tokens_price.id,
+                &model.output_tokens_price.id,
+            ]
+            .into_iter()
+            .map(|price_id| stripe::CreateCheckoutSessionLineItems {
+                price: Some(price_id.to_string()),
+                ..Default::default()
+            })
+            .collect(),
+        );
+        params.success_url = Some(success_url);
+
+        let session = stripe::CheckoutSession::create(&self.client, params).await?;
+        Ok(session.url.context("no checkout session URL")?)
+    }
+
    pub async fn checkout_with_zed_pro(
        &self,
        customer_id: stripe::CustomerId,
@@ -262,6 +587,18 @@ impl StripeBilling {
    }
 }

+#[derive(Serialize)]
+struct DefaultAggregation {
+    formula: &'static str,
+}
+
+#[derive(Serialize)]
+struct StripeCreateMeterParams<'a> {
+    default_aggregation: DefaultAggregation,
+    display_name: String,
+    event_name: &'a str,
+}
+
 #[derive(Clone, Deserialize)]
 struct StripeMeter {
    id: String,
@@ -269,6 +606,13 @@ struct StripeMeter {
 }

 impl StripeMeter {
+    pub fn create(
+        client: &stripe::Client,
+        params: StripeCreateMeterParams,
+    ) -> stripe::Response<Self> {
+        client.post_form("/billing/meters", params)
+    }
+
    pub fn list(client: &stripe::Client) -> stripe::Response<stripe::List<Self>> {
        #[derive(Serialize)]
        struct Params {
--- a/crates/collab/src/tests/test_server.rs
+++ b/crates/collab/src/tests/test_server.rs
@@ -307,7 +307,6 @@ impl TestServer {
            );
            language_model::LanguageModelRegistry::test(cx);
            assistant_context_editor::init(client.clone(), cx);
-            assistant_settings::init(cx);
        });

        client
--- a/crates/dap/Cargo.toml
+++ b/crates/dap/Cargo.toml
@@ -36,6 +36,7 @@ gpui.workspace = true
 http_client.workspace = true
 language.workspace = true
 log.workspace = true
+lsp-types.workspace = true
 node_runtime.workspace = true
 parking_lot.workspace = true
 paths.workspace = true
--- a/crates/dap/src/adapters.rs
+++ b/crates/dap/src/adapters.rs
@@ -402,6 +402,10 @@ pub async fn fetch_latest_adapter_version_from_github(
    })
 }

+pub trait InlineValueProvider {
+    fn provide(&self, variables: Vec<(String, lsp_types::Range)>) -> Vec<lsp_types::InlineValue>;
+}
+
 #[async_trait(?Send)]
 pub trait DebugAdapter: 'static + Send + Sync {
    fn name(&self) -> DebugAdapterName;
@@ -413,6 +417,10 @@ pub trait DebugAdapter: 'static + Send + Sync {
        user_installed_path: Option<PathBuf>,
        cx: &mut AsyncApp,
    ) -> Result<DebugAdapterBinary>;
+
+    fn inline_value_provider(&self) -> Option<Box<dyn InlineValueProvider>> {
+        None
+    }
 }

 #[cfg(any(test, feature = "test-support"))]
--- a/crates/dap/src/dap.rs
+++ b/crates/dap/src/dap.rs
@@ -1,7 +1,6 @@
 pub mod adapters;
 pub mod client;
 pub mod debugger_settings;
-pub mod inline_value;
 pub mod proto_conversions;
 mod registry;
 pub mod transport;
--- a/crates/dap/src/inline_value.rs
+++ b/crates/dap/src/inline_value.rs
@@ -1,277 +0,0 @@
-use std::collections::{HashMap, HashSet};
-
-#[derive(Debug, Clone, PartialEq, Eq)]
-pub enum VariableLookupKind {
-    Variable,
-    Expression,
-}
-
-#[derive(Debug, Clone, PartialEq, Eq)]
-pub enum VariableScope {
-    Local,
-    Global,
-}
-
-#[derive(Debug, Clone)]
-pub struct InlineValueLocation {
-    pub variable_name: String,
-    pub scope: VariableScope,
-    pub lookup: VariableLookupKind,
-    pub row: usize,
-    pub column: usize,
-}
-
-/// A trait for providing inline values for debugging purposes.
-///
-/// Implementors of this trait are responsible for analyzing a given node in the
-/// source code and extracting variable information, including their names,
-/// scopes, and positions. This information is used to display inline values
-/// during debugging sessions. Implementors must also handle variable scoping
-/// themselves by traversing the syntax tree upwards to determine whether a
-/// variable is local or global.
-pub trait InlineValueProvider {
-    /// Provides a list of inline value locations based on the given node and source code.
-    ///
-    /// # Parameters
-    /// - `node`: The root node of the active debug line. Implementors should traverse
-    ///   upwards from this node to gather variable information and determine their scope.
-    /// - `source`: The source code as a string slice, used to extract variable names.
-    /// - `max_row`: The maximum row to consider when collecting variables. Variables
-    ///   declared beyond this row should be ignored.
-    ///
-    /// # Returns
-    /// A vector of `InlineValueLocation` instances, each representing a variable's
-    /// name, scope, and the position of the inline value should be shown.
-    fn provide(
-        &self,
-        node: language::Node,
-        source: &str,
-        max_row: usize,
-    ) -> Vec<InlineValueLocation>;
-}
-
-pub struct RustInlineValueProvider;
-
-impl InlineValueProvider for RustInlineValueProvider {
-    fn provide(
-        &self,
-        mut node: language::Node,
-        source: &str,
-        max_row: usize,
-    ) -> Vec<InlineValueLocation> {
-        let mut variables = Vec::new();
-        let mut variable_names = HashSet::new();
-        let mut scope = VariableScope::Local;
-
-        loop {
-            let mut variable_names_in_scope = HashMap::new();
-            for child in node.named_children(&mut node.walk()) {
-                if child.start_position().row >= max_row {
-                    break;
-                }
-
-                if scope == VariableScope::Local && child.kind() == "let_declaration" {
-                    if let Some(identifier) = child.child_by_field_name("pattern") {
-                        let variable_name = source[identifier.byte_range()].to_string();
-
-                        if variable_names.contains(&variable_name) {
-                            continue;
-                        }
-
-                        if let Some(index) = variable_names_in_scope.get(&variable_name) {
-                            variables.remove(*index);
-                        }
-
-                        variable_names_in_scope.insert(variable_name.clone(), variables.len());
-                        variables.push(InlineValueLocation {
-                            variable_name,
-                            scope: VariableScope::Local,
-                            lookup: VariableLookupKind::Variable,
-                            row: identifier.end_position().row,
-                            column: identifier.end_position().column,
-                        });
-                    }
-                } else if child.kind() == "static_item" {
-                    if let Some(name) = child.child_by_field_name("name") {
-                        let variable_name = source[name.byte_range()].to_string();
-                        variables.push(InlineValueLocation {
-                            variable_name,
-                            scope: scope.clone(),
-                            lookup: VariableLookupKind::Expression,
-                            row: name.end_position().row,
-                            column: name.end_position().column,
-                        });
-                    }
-                }
-            }
-
-            variable_names.extend(variable_names_in_scope.keys().cloned());
-
-            if matches!(node.kind(), "function_item" | "closure_expression") {
-                scope = VariableScope::Global;
-            }
-
-            if let Some(parent) = node.parent() {
-                node = parent;
-            } else {
-                break;
-            }
-        }
-
-        variables
-    }
-}
-
-pub struct PythonInlineValueProvider;
-
-impl InlineValueProvider for PythonInlineValueProvider {
-    fn provide(
-        &self,
-        mut node: language::Node,
-        source: &str,
-        max_row: usize,
-    ) -> Vec<InlineValueLocation> {
-        let mut variables = Vec::new();
-        let mut variable_names = HashSet::new();
-        let mut scope = VariableScope::Local;
-
-        loop {
-            let mut variable_names_in_scope = HashMap::new();
-            for child in node.named_children(&mut node.walk()) {
-                if child.start_position().row >= max_row {
-                    break;
-                }
-
-                if scope == VariableScope::Local {
-                    match child.kind() {
-                        "expression_statement" => {
-                            if let Some(expr) = child.child(0) {
-                                if expr.kind() == "assignment" {
-                                    if let Some(param) = expr.child(0) {
-                                        let param_identifier = if param.kind() == "identifier" {
-                                            Some(param)
-                                        } else if param.kind() == "typed_parameter" {
-                                            param.child(0)
-                                        } else {
-                                            None
-                                        };
-
-                                        if let Some(identifier) = param_identifier {
-                                            if identifier.kind() == "identifier" {
-                                                let variable_name =
-                                                    source[identifier.byte_range()].to_string();
-
-                                                if variable_names.contains(&variable_name) {
-                                                    continue;
-                                                }
-
-                                                if let Some(index) =
-                                                    variable_names_in_scope.get(&variable_name)
-                                                {
-                                                    variables.remove(*index);
-                                                }
-
-                                                variable_names_in_scope
-                                                    .insert(variable_name.clone(), variables.len());
-                                                variables.push(InlineValueLocation {
-                                                    variable_name,
-                                                    scope: VariableScope::Local,
-                                                    lookup: VariableLookupKind::Variable,
-                                                    row: identifier.end_position().row,
-                                                    column: identifier.end_position().column,
-                                                });
-                                            }
-                                        }
-                                    }
-                                }
-                            }
-                        }
-                        "function_definition" => {
-                            if let Some(params) = child.child_by_field_name("parameters") {
-                                for param in params.named_children(&mut params.walk()) {
-                                    let param_identifier = if param.kind() == "identifier" {
-                                        Some(param)
-                                    } else if param.kind() == "typed_parameter" {
-                                        param.child(0)
-                                    } else {
-                                        None
-                                    };
-
-                                    if let Some(identifier) = param_identifier {
-                                        if identifier.kind() == "identifier" {
-                                            let variable_name =
-                                                source[identifier.byte_range()].to_string();
-
-                                            if variable_names.contains(&variable_name) {
-                                                continue;
-                                            }
-
-                                            if let Some(index) =
-                                                variable_names_in_scope.get(&variable_name)
-                                            {
-                                                variables.remove(*index);
-                                            }
-
-                                            variable_names_in_scope
-                                                .insert(variable_name.clone(), variables.len());
-                                            variables.push(InlineValueLocation {
-                                                variable_name,
-                                                scope: VariableScope::Local,
-                                                lookup: VariableLookupKind::Variable,
-                                                row: identifier.end_position().row,
-                                                column: identifier.end_position().column,
-                                            });
-                                        }
-                                    }
-                                }
-                            }
-                        }
-                        "for_statement" => {
-                            if let Some(target) = child.child_by_field_name("left") {
-                                if target.kind() == "identifier" {
-                                    let variable_name = source[target.byte_range()].to_string();
-
-                                    if variable_names.contains(&variable_name) {
-                                        continue;
-                                    }
-
-                                    if let Some(index) = variable_names_in_scope.get(&variable_name)
-                                    {
-                                        variables.remove(*index);
-                                    }
-
-                                    variable_names_in_scope
-                                        .insert(variable_name.clone(), variables.len());
-                                    variables.push(InlineValueLocation {
-                                        variable_name,
-                                        scope: VariableScope::Local,
-                                        lookup: VariableLookupKind::Variable,
-                                        row: target.end_position().row,
-                                        column: target.end_position().column,
-                                    });
-                                }
-                            }
-                        }
-                        _ => {}
-                    }
-                }
-            }
-
-            variable_names.extend(variable_names_in_scope.keys().cloned());
-
-            if matches!(node.kind(), "function_definition" | "module")
-                && node.range().end_point.row < max_row
-            {
-                scope = VariableScope::Global;
-            }
-
-            if let Some(parent) = node.parent() {
-                node = parent;
-            } else {
-                break;
-            }
-        }
-
-        variables
-    }
-}
--- a/crates/dap/src/registry.rs
+++ b/crates/dap/src/registry.rs
@@ -5,10 +5,7 @@ use gpui::{App, Global, SharedString};
 use parking_lot::RwLock;
 use task::{DebugRequest, DebugScenario, SpawnInTerminal, TaskTemplate};

-use crate::{
-    adapters::{DebugAdapter, DebugAdapterName},
-    inline_value::InlineValueProvider,
-};
+use crate::adapters::{DebugAdapter, DebugAdapterName};
 use std::{collections::BTreeMap, sync::Arc};

 /// Given a user build configuration, locator creates a fill-in debug target ([DebugRequest]) on behalf of the user.
@@ -25,7 +22,6 @@ pub trait DapLocator: Send + Sync {
 struct DapRegistryState {
    adapters: BTreeMap<DebugAdapterName, Arc<dyn DebugAdapter>>,
    locators: FxHashMap<SharedString, Arc<dyn DapLocator>>,
-    inline_value_providers: FxHashMap<String, Arc<dyn InlineValueProvider>>,
 }

 #[derive(Clone, Default)]
@@ -62,22 +58,6 @@ impl DapRegistry {
        );
    }

-    pub fn add_inline_value_provider(
-        &self,
-        language: String,
-        provider: Arc<dyn InlineValueProvider>,
-    ) {
-        let _previous_value = self
-            .0
-            .write()
-            .inline_value_providers
-            .insert(language, provider);
-        debug_assert!(
-            _previous_value.is_none(),
-            "Attempted to insert a new inline value provider when one is already registered"
-        );
-    }
-
    pub fn locators(&self) -> FxHashMap<SharedString, Arc<dyn DapLocator>> {
        self.0.read().locators.clone()
    }
@@ -86,10 +66,6 @@ impl DapRegistry {
        self.0.read().adapters.get(name).cloned()
    }

-    pub fn inline_value_provider(&self, language: &str) -> Option<Arc<dyn InlineValueProvider>> {
-        self.0.read().inline_value_providers.get(language).cloned()
-    }
-
    pub fn enumerate_adapters(&self) -> Vec<DebugAdapterName> {
        self.0.read().adapters.keys().cloned().collect()
    }
--- a/crates/dap_adapters/Cargo.toml
+++ b/crates/dap_adapters/Cargo.toml
@@ -27,6 +27,7 @@ dap.workspace = true
 futures.workspace = true
 gpui.workspace = true
 language.workspace = true
+lsp-types.workspace = true
 paths.workspace = true
 serde.workspace = true
 serde_json.workspace = true
--- a/crates/dap_adapters/src/codelldb.rs
+++ b/crates/dap_adapters/src/codelldb.rs
@@ -2,7 +2,7 @@ use std::{collections::HashMap, path::PathBuf, sync::OnceLock};

 use anyhow::Result;
 use async_trait::async_trait;
-use dap::adapters::{DebugTaskDefinition, latest_github_release};
+use dap::adapters::{DebugTaskDefinition, InlineValueProvider, latest_github_release};
 use futures::StreamExt;
 use gpui::AsyncApp;
 use task::DebugRequest;
@@ -159,4 +159,25 @@ impl DebugAdapter for CodeLldbDebugAdapter {
            connection: None,
        })
    }
+
+    fn inline_value_provider(&self) -> Option<Box<dyn InlineValueProvider>> {
+        Some(Box::new(CodeLldbInlineValueProvider))
+    }
+}
+
+struct CodeLldbInlineValueProvider;
+
+impl InlineValueProvider for CodeLldbInlineValueProvider {
+    fn provide(&self, variables: Vec<(String, lsp_types::Range)>) -> Vec<lsp_types::InlineValue> {
+        variables
+            .into_iter()
+            .map(|(variable, range)| {
+                lsp_types::InlineValue::VariableLookup(lsp_types::InlineValueVariableLookup {
+                    range,
+                    variable_name: Some(variable),
+                    case_sensitive_lookup: true,
+                })
+            })
+            .collect()
+    }
 }
--- a/crates/dap_adapters/src/dap_adapters.rs
+++ b/crates/dap_adapters/src/dap_adapters.rs
@@ -16,7 +16,6 @@ use dap::{
        self, AdapterVersion, DapDelegate, DebugAdapter, DebugAdapterBinary, DebugAdapterName,
        GithubRepo,
    },
-    inline_value::{PythonInlineValueProvider, RustInlineValueProvider},
 };
 use gdb::GdbDebugAdapter;
 use go::GoDebugAdapter;
@@ -35,10 +34,6 @@ pub fn init(cx: &mut App) {
        registry.add_adapter(Arc::from(JsDebugAdapter::default()));
        registry.add_adapter(Arc::from(GoDebugAdapter));
        registry.add_adapter(Arc::from(GdbDebugAdapter));
-
-        registry.add_inline_value_provider("Rust".to_string(), Arc::from(RustInlineValueProvider));
-        registry
-            .add_inline_value_provider("Python".to_string(), Arc::from(PythonInlineValueProvider));
    })
 }

--- a/crates/dap_adapters/src/python.rs
+++ b/crates/dap_adapters/src/python.rs
@@ -1,5 +1,8 @@
 use crate::*;
-use dap::{DebugRequest, StartDebuggingRequestArguments, adapters::DebugTaskDefinition};
+use dap::{
+    DebugRequest, StartDebuggingRequestArguments, adapters::DebugTaskDefinition,
+    adapters::InlineValueProvider,
+};
 use gpui::AsyncApp;
 use std::{collections::HashMap, ffi::OsStr, path::PathBuf, sync::OnceLock};
 use util::ResultExt;
@@ -179,4 +182,34 @@ impl DebugAdapter for PythonDebugAdapter {
        self.get_installed_binary(delegate, &config, user_installed_path, cx)
            .await
    }
+
+    fn inline_value_provider(&self) -> Option<Box<dyn InlineValueProvider>> {
+        Some(Box::new(PythonInlineValueProvider))
+    }
+}
+
+struct PythonInlineValueProvider;
+
+impl InlineValueProvider for PythonInlineValueProvider {
+    fn provide(&self, variables: Vec<(String, lsp_types::Range)>) -> Vec<lsp_types::InlineValue> {
+        variables
+            .into_iter()
+            .map(|(variable, range)| {
+                if variable.contains(".") || variable.contains("[") {
+                    lsp_types::InlineValue::EvaluatableExpression(
+                        lsp_types::InlineValueEvaluatableExpression {
+                            range,
+                            expression: Some(variable),
+                        },
+                    )
+                } else {
+                    lsp_types::InlineValue::VariableLookup(lsp_types::InlineValueVariableLookup {
+                        range,
+                        variable_name: Some(variable),
+                        case_sensitive_lookup: true,
+                    })
+                }
+            })
+            .collect()
+    }
 }
--- a/crates/debugger_ui/Cargo.toml
+++ b/crates/debugger_ui/Cargo.toml
@@ -15,7 +15,6 @@ doctest = false
 [features]
 test-support = [
    "dap/test-support",
-    "dap_adapters/test-support",
    "editor/test-support",
    "gpui/test-support",
    "project/test-support",
@@ -32,7 +31,6 @@ client.workspace = true
 collections.workspace = true
 command_palette_hooks.workspace = true
 dap.workspace = true
-dap_adapters = { workspace = true, optional = true }
 db.workspace = true
 editor.workspace = true
 feature_flags.workspace = true
@@ -65,7 +63,6 @@ unindent = { workspace = true, optional = true }

 [dev-dependencies]
 dap = { workspace = true, features = ["test-support"] }
-dap_adapters = { workspace = true, features = ["test-support"] }
 debugger_tools = { workspace = true, features = ["test-support"] }
 editor = { workspace = true, features = ["test-support"] }
 env_logger.workspace = true
--- a/crates/debugger_ui/src/debugger_panel.rs
+++ b/crates/debugger_ui/src/debugger_panel.rs
@@ -1,10 +1,11 @@
 use crate::persistence::DebuggerPaneItem;
-use crate::session::DebugSession;
 use crate::{
-    ClearAllBreakpoints, Continue, Detach, FocusBreakpointList, FocusConsole, FocusFrames,
-    FocusLoadedSources, FocusModules, FocusTerminal, FocusVariables, Pause, Restart, StepBack,
-    StepInto, StepOut, StepOver, Stop, ToggleIgnoreBreakpoints, persistence,
+    ClearAllBreakpoints, Continue, CreateDebuggingSession, Disconnect, FocusBreakpointList,
+    FocusConsole, FocusFrames, FocusLoadedSources, FocusModules, FocusTerminal, FocusVariables,
+    Pause, Restart, StepBack, StepInto, StepOut, StepOver, Stop, ToggleIgnoreBreakpoints,
+    persistence,
 };
+use crate::{new_session_modal::NewSessionModal, session::DebugSession};
 use anyhow::Result;
 use command_palette_hooks::CommandPaletteFilter;
 use dap::adapters::DebugAdapterName;
@@ -109,7 +110,7 @@ impl DebugPanel {

        let filter = CommandPaletteFilter::global_mut(cx);
        let debugger_action_types = [
-            TypeId::of::<Detach>(),
+            TypeId::of::<Disconnect>(),
            TypeId::of::<Stop>(),
            TypeId::of::<ToggleIgnoreBreakpoints>(),
        ];
@@ -212,6 +213,7 @@ impl DebugPanel {
        cx: &mut Context<Self>,
    ) {
        let dap_store = self.project.read(cx).dap_store();
+        let workspace = self.workspace.clone();
        let session = dap_store.update(cx, |dap_store, cx| {
            dap_store.new_session(
                scenario.label.clone(),
@@ -250,14 +252,14 @@ impl DebugPanel {

        cx.spawn(async move |_, cx| {
            if let Err(error) = task.await {
+                log::error!("{:?}", error);
+                workspace
+                    .update(cx, |workspace, cx| {
+                        workspace.show_error(&error, cx);
+                    })
+                    .ok();
                session
-                    .update(cx, |session, cx| {
-                        session
-                            .console_output(cx)
-                            .unbounded_send(format!("error: {}", error))
-                            .ok();
-                        session.shutdown(cx)
-                    })?
+                    .update(cx, |session, cx| session.shutdown(cx))?
                    .await;
            }
            anyhow::Ok(())
@@ -607,19 +609,52 @@ impl DebugPanel {
        let focus_handle = self.focus_handle.clone();
        let is_side = self.position(window, cx).axis() == gpui::Axis::Horizontal;
        let div = if is_side { v_flex() } else { h_flex() };
+        let weak_panel = cx.weak_entity();

        let new_session_button = || {
            IconButton::new("debug-new-session", IconName::Plus)
                .icon_size(IconSize::Small)
                .on_click({
-                    move |_, window, cx| window.dispatch_action(crate::Start.boxed_clone(), cx)
+                    let workspace = self.workspace.clone();
+                    let weak_panel = weak_panel.clone();
+                    let past_debug_definition = self.past_debug_definition.clone();
+                    move |_, window, cx| {
+                        let weak_panel = weak_panel.clone();
+                        let past_debug_definition = past_debug_definition.clone();
+                        let workspace = workspace.clone();
+                        window
+                            .spawn(cx, async move |cx| {
+                                let task_contexts = workspace
+                                    .update_in(cx, |workspace, window, cx| {
+                                        tasks_ui::task_contexts(workspace, window, cx)
+                                    })?
+                                    .await;
+
+                                workspace.update_in(cx, |this, window, cx| {
+                                    this.toggle_modal(window, cx, |window, cx| {
+                                        NewSessionModal::new(
+                                            past_debug_definition,
+                                            weak_panel,
+                                            workspace.clone(),
+                                            None,
+                                            task_contexts,
+                                            window,
+                                            cx,
+                                        )
+                                    });
+                                })?;
+
+                                Result::<_, anyhow::Error>::Ok(())
+                            })
+                            .detach();
+                    }
                })
                .tooltip({
                    let focus_handle = focus_handle.clone();
                    move |window, cx| {
                        Tooltip::for_action_in(
-                            "Start Debug Session",
-                            &crate::Start,
+                            "New Debug Session",
+                            &CreateDebuggingSession,
                            &focus_handle,
                            window,
                            cx,
@@ -885,28 +920,6 @@ impl DebugPanel {
                                                }
                                            }),
                                    )
-                                    .child(
-                                        IconButton::new("debug-disconnect", IconName::DebugDetach)
-                                            .icon_size(IconSize::XSmall)
-                                            .on_click(window.listener_for(
-                                                &running_session,
-                                                |this, _, _, cx| {
-                                                    this.detach_client(cx);
-                                                },
-                                            ))
-                                            .tooltip({
-                                                let focus_handle = focus_handle.clone();
-                                                move |window, cx| {
-                                                    Tooltip::for_action_in(
-                                                        "Detach",
-                                                        &Detach,
-                                                        &focus_handle,
-                                                        window,
-                                                        cx,
-                                                    )
-                                                }
-                                            }),
-                                    )
                                },
                            ),
                        )
@@ -1257,7 +1270,10 @@ impl Render for DebugPanel {
                                    Button::new("spawn-new-session-empty-state", "New Session")
                                        .size(ButtonSize::Large)
                                        .on_click(|_, window, cx| {
-                                            window.dispatch_action(crate::Start.boxed_clone(), cx);
+                                            window.dispatch_action(
+                                                CreateDebuggingSession.boxed_clone(),
+                                                cx,
+                                            );
                                        }),
                                ),
                            ),
--- a/crates/debugger_ui/src/debugger_ui.rs
+++ b/crates/debugger_ui/src/debugger_ui.rs
@@ -24,7 +24,7 @@ actions!(
    [
        Start,
        Continue,
-        Detach,
+        Disconnect,
        Pause,
        Restart,
        StepInto,
@@ -34,6 +34,7 @@ actions!(
        Stop,
        ToggleIgnoreBreakpoints,
        ClearAllBreakpoints,
+        CreateDebuggingSession,
        FocusConsole,
        FocusVariables,
        FocusBreakpointList,
@@ -146,6 +147,38 @@ pub fn init(cx: &mut App) {
                        })
                    },
                )
+                .register_action(
+                    |workspace: &mut Workspace, _: &CreateDebuggingSession, window, cx| {
+                        if let Some(debug_panel) = workspace.panel::<DebugPanel>(cx) {
+                            let weak_panel = debug_panel.downgrade();
+                            let weak_workspace = cx.weak_entity();
+
+                            cx.spawn_in(window, async move |this, cx| {
+                                let task_contexts = this
+                                    .update_in(cx, |workspace, window, cx| {
+                                        tasks_ui::task_contexts(workspace, window, cx)
+                                    })?
+                                    .await;
+                                this.update_in(cx, |workspace, window, cx| {
+                                    workspace.toggle_modal(window, cx, |window, cx| {
+                                        NewSessionModal::new(
+                                            debug_panel.read(cx).past_debug_definition.clone(),
+                                            weak_panel,
+                                            weak_workspace,
+                                            None,
+                                            task_contexts,
+                                            window,
+                                            cx,
+                                        )
+                                    });
+                                })?;
+
+                                Result::<_, anyhow::Error>::Ok(())
+                            })
+                            .detach();
+                        }
+                    },
+                )
                .register_action(|workspace: &mut Workspace, _: &Start, window, cx| {
                    if let Some(debug_panel) = workspace.panel::<DebugPanel>(cx) {
                        let weak_panel = debug_panel.downgrade();
--- a/crates/debugger_ui/src/new_session_modal.rs
+++ b/crates/debugger_ui/src/new_session_modal.rs
@@ -629,7 +629,9 @@ impl Render for NewSessionModal {
                            ),
                    )
                    .justify_between()
-                    .children(self.adapter_drop_down_menu(window, cx))
+                    .when(!matches!(self.mode, NewSessionMode::Scenario(_)), |this| {
+                        this.children(self.adapter_drop_down_menu(window, cx))
+                    })
                    .border_color(cx.theme().colors().border_variant)
                    .border_b_1(),
            )
@@ -642,15 +644,7 @@ impl Render for NewSessionModal {
                    .border_color(cx.theme().colors().border_variant)
                    .border_t_1()
                    .w_full()
-                    .child(
-                        matches!(self.mode, NewSessionMode::Scenario(_))
-                            .not()
-                            .then(|| {
-                                self.debug_config_drop_down_menu(window, cx)
-                                    .into_any_element()
-                            })
-                            .unwrap_or_else(|| v_flex().w_full().into_any_element()),
-                    )
+                    .child(self.debug_config_drop_down_menu(window, cx))
                    .child(
                        h_flex()
                            .justify_end()
--- a/crates/debugger_ui/src/session.rs
+++ b/crates/debugger_ui/src/session.rs
@@ -103,14 +103,14 @@ impl DebugSession {
    pub(crate) fn label_element(&self, cx: &App) -> AnyElement {
        let label = self.label(cx);

-        let is_terminated = self
-            .running_state
-            .read(cx)
-            .session()
-            .read(cx)
-            .is_terminated();
        let icon = {
-            if is_terminated {
+            if self
+                .running_state
+                .read(cx)
+                .session()
+                .read(cx)
+                .is_terminated()
+            {
                Some(Indicator::dot().color(Color::Error))
            } else {
                match self
@@ -131,7 +131,7 @@ impl DebugSession {
            .gap_2()
            .when_some(icon, |this, indicator| this.child(indicator))
            .justify_between()
-            .child(Label::new(label).when(is_terminated, |this| this.strikethrough()))
+            .child(Label::new(label))
            .into_any_element()
    }
 }
--- a/crates/debugger_ui/src/session/running.rs
+++ b/crates/debugger_ui/src/session/running.rs
@@ -44,10 +44,9 @@ use task::{
 use terminal_view::TerminalView;
 use ui::{
    ActiveTheme, AnyElement, App, ButtonCommon as _, Clickable as _, Context, ContextMenu,
-    Disableable, DropdownMenu, FluentBuilder, IconButton, IconName, IconSize, InteractiveElement,
-    IntoElement, Label, LabelCommon as _, ParentElement, Render, SharedString,
-    StatefulInteractiveElement, Styled, Tab, Tooltip, VisibleOnHover, VisualContext, Window, div,
-    h_flex, v_flex,
+    DropdownMenu, FluentBuilder, IconButton, IconName, IconSize, InteractiveElement, IntoElement,
+    Label, LabelCommon as _, ParentElement, Render, SharedString, StatefulInteractiveElement,
+    Styled, Tab, Tooltip, VisibleOnHover, VisualContext, Window, div, h_flex, v_flex,
 };
 use util::ResultExt;
 use variable_list::VariableList;
@@ -1421,7 +1420,11 @@ impl RunningState {
        });
    }

-    pub fn detach_client(&self, cx: &mut Context<Self>) {
+    #[expect(
+        unused,
+        reason = "Support for disconnecting a client is not wired through yet"
+    )]
+    pub fn disconnect_client(&self, cx: &mut Context<Self>) {
        self.session().update(cx, |state, cx| {
            state.disconnect_client(cx);
        });
@@ -1439,7 +1442,6 @@ impl RunningState {
        cx: &mut Context<'_, RunningState>,
    ) -> DropdownMenu {
        let state = cx.entity();
-        let session_terminated = self.session.read(cx).is_terminated();
        let threads = self.session.update(cx, |this, cx| this.threads(cx));
        let selected_thread_name = threads
            .iter()
@@ -1462,7 +1464,6 @@ impl RunningState {
                this
            }),
        )
-        .disabled(session_terminated)
    }

    fn default_pane_layout(
--- a/Show More
+++ b/Show More