diff --git a/CHANGELOG.md b/CHANGELOG.md
index 298b764ea..df14a2174 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -30,6 +30,11 @@ Code v1.141.0
   workbench storage on the remote server instead of browser storage. Use this if
   you want to share storage between multiple devices.
 
+### Fixed
+
+- The Typescript extension was trying to load as a browser extension even though
+  we build the remote server version, causing it to fail to activate.
+
 ### Changed
 
 - Update to Code 1.141.0
diff --git a/ci/build/build-vscode.sh b/ci/build/build-vscode.sh
index a7db93a1a..c38b0ae22 100755
--- a/ci/build/build-vscode.sh
+++ b/ci/build/build-vscode.sh
@@ -58,10 +58,17 @@ main() {
     exit 1
   fi
 
-  # Add the date, our name, links, enable telemetry (this just makes telemetry
-  # available; telemetry can still be disabled by flag or setting), and
-  # configure trusted extensions (since some, like github.copilot-chat, never
-  # ask to be trusted and this is the only way to get auth working).
+  # Modify the product.json:
+  # - Add the date
+  # - Set the code-server name.
+  # - Add our links
+  # - Enable telemetry (this just makes telemetry available; telemetry can still
+  #   be disabled by flag or setting)
+  # - Configure trusted extensions (since some, like github.copilot-chat, never
+  #   ask to be trusted and this is the only way to get auth working).
+  # - Make Typescript server plugins run in the workspace.  We build the remote
+  #   server version, so there is no browser distribution, and this key is not
+  #   added automatically.
   #
   # This needs to be done before building as Code will read this file and embed
   # it into the client-side code.
@@ -103,6 +110,9 @@ main() {
     ],
     "aiConfig": {
       "ariaKey": "code-server"
+    },
+    "extensionPointExtensionKind": {
+      "typescriptServerPlugins": ["workspace"]
     }
   }
 EOF
diff --git a/test/e2e/typescript.test.ts b/test/e2e/typescript.test.ts
new file mode 100644
index 000000000..78faad906
--- /dev/null
+++ b/test/e2e/typescript.test.ts
@@ -0,0 +1,17 @@
+import { promises as fs } from "fs"
+import * as path from "path"
+import { describe, test } from "./baseFixture"
+
+const args = ["--disable-workspace-trust"]
+
+describe("typescript extension", args, {}, () => {
+  test("should load as a workspace extension", async ({ codeServerPage }) => {
+    const dir = await codeServerPage.workspaceDir
+    const file = path.join(dir, "foo.ts")
+    await fs.writeFile(file, 'const n: number = "x"')
+    await codeServerPage.openFile(file)
+
+    await codeServerPage.executeCommandViaMenus("Developer: Show Running Extensions")
+    codeServerPage.page.getByLabel("typescript-language-features").getByText("localhost:").waitFor()
+  })
+})