[BUG]: Debug Mojo File fails in VS Code with `Connection shut down by remote side while waiting for reply to initial handshake packet`

[rabainu]

Bug description

VS Code can no longer debug Mojo with the max 24.5 SDK installed with Magic CLI. Trying to run Debug Mojo File ends with the error message Connection shut down by remote side while waiting for reply to initial handshake packet. On the command line the debugger seems to work normally.

Steps to reproduce

% magic init project --format mojoproject
% cd project 
% magic shell
% mojo -v
mojo 24.5.0 (e8aacb95)
% code (to launch VS Code)

• Install Mojo extension in VS Code (v24.5.0)
• Open up a Mojo file in VS Code
• Debug Mojo File (or F5)

• Connection shut down by remote side while waiting for reply to initial handshake packet

System information

- What OS did you do install MAX on ?

macOS 14.6.1 (23G93)

- Provide version information for MAX by pasting the output of max -v`

max 24.5.0 (e8aacb95)
Modular version 24.5.0

- Provide version information for Mojo by pasting the output of mojo -v`

mojo 24.5.0 (e8aacb95)

- Provide Modular CLI version by pasting the output of `modular -v`

zsh: command not found: modular