Code Editor Setup Guide

What Is a Code Editor?

A code editor is a specialized text editor designed for working with code. Think of it like Microsoft Word, but built for files that contain instructions rather than documents. Your editor gives you a file browser, a place to read and write code, and a built-in terminal — all in one window.

For AI development, your editor becomes your main workspace. You’ll open projects, read files that AI tools create or modify, and run terminal commands without switching windows. Many editors now have AI built in or support AI extensions that let your coding assistant read and edit files alongside you.

This guide covers popular options — Cursor, VS Code, Windsurf, and others — and walks through installing AI coding extensions for whichever platforms you use.

Choose Your Editor

Both options work well:

Editor	Best For	Cost
Cursor	Built-in AI editing	Free tier available
VS Code	Familiar editor + extensions	Free

Option 1: Cursor

Cursor is VS Code with AI capabilities built in.

Install Cursor

Go to cursor.com
Download for your operating system
Run the installer
Launch Cursor

New to Cursor? The Cursor Documentation covers the interface layout, settings, and keyboard shortcuts.

Option 2: VS Code

Install VS Code

Go to code.visualstudio.com
Download for your operating system
Run the installer
Launch VS Code

New to VS Code? The Getting Started guide covers the interface layout, settings, and keyboard shortcuts.

Verify Installation

Open your editor (Cursor or VS Code)
Go to File → Open Folder and select any folder on your computer (e.g., your Desktop)
Confirm you see the folder’s contents in the sidebar (left panel) — you should see files and subfolders listed
Try clicking a file in the sidebar to open it in the editor

If the sidebar shows your files, your editor is working correctly.

Open the Terminal in Your Editor

Once your editor is installed, you can use the terminal directly inside it. This is where you’ll spend most of your time — running commands without switching windows.

The steps are the same for both Cursor and VS Code:

Open Cursor or VS Code
Press Ctrl + ` (the backtick key, to the left of 1 on most keyboards)
A terminal panel opens at the bottom of the editor

You can also open it from the menu: Terminal > New Terminal.

Install AI Extensions

After installing your editor, add AI coding extensions (small add-ons that give your editor new capabilities) for the platforms you have a paid subscription to. You don’t need all of these — just install the one(s) that match your accounts.

Claude Code

Requires a Claude Pro, Max, or Team subscription. The Claude Code extension connects your editor to Claude’s AI capabilities.

Open the Extensions panel (Cmd/Ctrl + Shift + X)
Search for Claude Code
Click Install
Follow any sign-in prompts

The Claude Code extension also includes an integrated terminal panel. See Getting Started with Claude for Claude Code CLI setup.

OpenAI Codex

Requires a ChatGPT Plus or Team subscription. OpenAI’s coding assistant extension for VS Code and Cursor.

Open the Extensions panel (Cmd/Ctrl + Shift + X)
Search for Codex (by OpenAI)
Click Install
Sign in with your OpenAI account when prompted

See OpenAI Codex documentation for details.

Gemini Code Assist

Requires a Gemini Advanced (Google One AI Premium) subscription or Google Workspace with Gemini enabled. Google’s AI coding assistant extension.

Open the Extensions panel (Cmd/Ctrl + Shift + X)
Search for Gemini Code Assist
Click Install
Sign in with your Google account when prompted

See Gemini Code Assist documentation for details.

Troubleshooting

Editor won’t open after installation?

Restart your computer and try again
Re-download the installer from the official site and reinstall
On Mac, you may need to allow the app in System Settings → Privacy & Security

Extension not appearing after install?

Make sure you clicked Install (not just searched for it)
Check the Installed tab in the Extensions panel to confirm it’s listed
Try reloading the editor window: open the Command Palette (Cmd/Ctrl + Shift + P) and type Developer: Reload Window

Extension installed but not working?

Check if the extension requires sign-in — look for a notification or status bar icon
Some extensions need an API key or subscription (e.g., Claude Code requires a Claude Pro/Max/Team plan)
Disable other AI extensions temporarily to rule out conflicts

Ask AI for help

If you’re stuck, paste this into ChatGPT, Claude, or Gemini:

I’m setting up [Cursor / VS Code] on [Mac / Windows] and running into this issue: [describe what’s happening]. I followed the installation steps from the official site. What should I try next?

## Next Steps

Set up Git (see Git Installation Guide)
Set up your AI platform (see Platforms)