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The latter, a language server that serves up language-specific "smarts" for IDEs and code editors such as jump-to-definition, find all references and so on, is improved in the July 2022 update by ...
"Today, we're excited to announce that the Python extension's default language support is now powered by Pylance, said Savannah Ostrowski, program manager for Python and its VS Code language server.
Setting up Visual Studio Code for Python development Click on the Extensions icon in the Activity Bar on the side of the window (it looks like four squares). In the search bar, type “Python”.