Summary
The Coder VS Code extension should respect VS Code's built-in proxy settings, including http.proxy, http.proxyStrictSSL, and http.noProxy.

Current Behavior
When VS Code's proxy settings are configured in settings.json:

{
  "http.proxy": "http://corporate-proxy:8080",
  "http.proxyStrictSSL": false,
  "http.noProxy": ["*.internal.company.com", "localhost", "127.0.0.1"]
}

✅ VS Code itself routes traffic through the proxy and bypasses for domains in http.noProxy
✅ Most extensions respect these settings
❌ Coder extension does not appear to use these proxy settings

Result: Extension fails to connect to internal Coder deployments that should bypass the proxy according to http.noProxy configuration.

Expected Behavior
The extension should automatically use VS Code's configured proxy settings when making HTTP/HTTPS requests:

• Route through proxy specified in http.proxy
• Bypass proxy for domains matching patterns in http.noProxy
• Honor http.proxyStrictSSL for certificate validation

This matches the behavior of VS Code core and other extensions.

Impact
Blocks enterprise deployments in corporate networks:

• Corporate networks require proxy configuration for external connections
• Internal services (like internal Coder deployments) need to bypass the proxy
• VS Code's http.proxy and http.noProxy are the standard way to configure this
• Coder extension ignores these settings, making it unusable

Real-world scenario:

• Customer has http.proxy configured (required for external traffic)
• Customer has http.noProxy: ["coder.internal.company.com"] to bypass proxy for internal Coder
• Extension either fails to connect OR attempts to route through proxy when it shouldn't
• Must choose between: working external access OR working Coder connection

Why This Matters
Respecting VS Code's native proxy settings is standard behavior for extensions. VS Code already provides the infrastructure for proxy configuration with bypass rules - the extension just needs to use it.

Implementation Notes
VS Code exposes proxy configuration through its settings API:

const config = vscode.workspace.getConfiguration('http');
const proxy = config.get<string>('proxy');
const proxyStrictSSL = config.get<boolean>('proxyStrictSSL');
const noProxy = config.get<string[]>('noProxy', []);

// Check if target should bypass proxy
function shouldBypassProxy(targetUrl: string): boolean {
  const hostname = new URL(targetUrl).hostname;
  return noProxy.some(pattern => {
    if (pattern === hostname) return true;
    if (pattern.startsWith('*.') && hostname.endsWith(pattern.slice(1))) return true;
    // Additional pattern matching as needed
  });
}

Most HTTP client libraries (axios, node-fetch, etc.) can be configured to use these settings when making requests.