Does this issue occur when all extensions are disabled?: NA

• VS Code Version: Version: 1.108.0-insider (Universal) Commit: 5dab780
• OS Version: Mac 14.7.6

Issue:

There appears to be an issue with uvx MCP servers in VScode (stable and insiders), when they get installed the resulting config is wrong.

I installed the PagerDuty MCP from the GitHub/Microsoft registry and the server cannot start with the default config

It appears to be that when installed via MCP extensions, VScode writes the starting args as

"args": [
    "pagerduty-mcp==0.2.1",
    "--enable-write-tools"
],

with a Python style == where as the MCP stuff appears to need an @ instead.
i.e.

"args": [
    "pagerduty-mcp@0.2.1",
    "--enable-write-tools"
],

With the == config the server fails to start with:

2025-12-15 12:04:46.149 [warning] [server stderr] error: Not a valid package or extra name: "pagerduty-mcp==0.2.1". Names must start and end with a letter or digit and may only contain -, _, ., and alphanumeric characters.
2025-12-15 12:04:46.151 [info] Connection state: Error Process exited with code 2

Steps to Reproduce:

1. Open extensions pannel and search @mcp pagerduty
2. Install the Pager Duty MCP server
3. Open mcp.json and see that the server does not start
4. amend the arg to "pagerduty-mcp@0.2.1" (replacing the == with @)
5. save and restart the server
6. it now loads

With ==

With @