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Previously Volar team introduced [TypeScript Vue Plugin (Volar)](https://marketplace.visualstudio.com/items?itemName=vue.vscode-typescript-vue-plugin), A TS server plugin to make TS server know `*.vue` files. This plugin was crucial for ensuring that TypeScript could recognize and work with Vue Single File Components (SFCs) seamlessly. It acted as a bridge between the TypeScript server and Vue files, allowing for proper handling of imports and TypeScript features within Vue SFCs.
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However, with the introduction of Volar Takeover Mode, there is a shift in approach. Instead of relying on a separate TypeScript language service instance for Vue files, Volar now consolidates the support for both Vue and TypeScript under a single TypeScript language service instance. This consolidation eliminates the need for a dedicated TypeScript Vue Plugin, simplifying the setup and improving overall performance.
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Both of Volar/Nuxt team recommends activating [Volar Takeover Mode](https://vuejs.org/guide/typescript/overview.html#volar-takeover-mode) over using TypeScript Vue Plugin.To activate Takeover Mode, follow these steps:
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- Launch VSCode command palette with Ctrl + Shift + P (macOS: Cmd + Shift + P).
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- Search for `Extensions: Show Built-in Extensions` command.
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- Extensions sidebar view will get activated with `@builtin` in search bar. Do not remove it, type `typescript` after it.
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-**TypeScript and JavaScript Language Features** should show up as one of the search result. Click on the gear box and choose **Disable (Workspace)**.
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- Reload the workspace. Takeover mode should will work properly.
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More on Takeover Mode and steps [here (Vue.js Official Documentation)](https://vuejs.org/guide/typescript/overview.html#volar-takeover-mode).
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