diff --git a/package-lock.json b/package-lock.json
index b61aa4d..101756b 100644
--- a/package-lock.json
+++ b/package-lock.json
@@ -1,12 +1,15 @@
 {
   "name": "copilot-bridge",
-  "version": "0.1.0",
+  "version": "0.1.2",
   "lockfileVersion": 3,
   "requires": true,
   "packages": {
     "": {
       "name": "copilot-bridge",
-      "version": "0.1.0",
+      "version": "0.1.2",
+      "dependencies": {
+        "polka": "^0.5.2"
+      },
       "devDependencies": {
         "@types/node": "^20.10.0",
         "@types/vscode": "^1.90.0",
@@ -17,6 +20,15 @@
         "vscode": "^1.90.0"
       }
     },
+    "node_modules/@arr/every": {
+      "version": "1.0.1",
+      "resolved": "https://registry.npmjs.org/@arr/every/-/every-1.0.1.tgz",
+      "integrity": "sha512-UQFQ6SgyJ6LX42W8rHCs8KVc0JS0tzVL9ct4XYedJukskYVWTo49tNiMEK9C2HTyarbNiT/RVIRSY82vH+6sTg==",
+      "license": "MIT",
+      "engines": {
+        "node": ">=4"
+      }
+    },
     "node_modules/@azu/format-text": {
       "version": "1.0.2",
       "resolved": "https://registry.npmjs.org/@azu/format-text/-/format-text-1.0.2.tgz",
@@ -332,6 +344,12 @@
         "node": ">= 8"
       }
     },
+    "node_modules/@polka/url": {
+      "version": "0.5.0",
+      "resolved": "https://registry.npmjs.org/@polka/url/-/url-0.5.0.tgz",
+      "integrity": "sha512-oZLYFEAzUKyi3SKnXvj32ZCEGH6RDnao7COuCVhDydMS9NrCSVXhM79VaKyP5+Zc33m0QXEd2DN3UkU7OsHcfw==",
+      "license": "MIT"
+    },
     "node_modules/@secretlint/config-creator": {
       "version": "10.2.2",
       "resolved": "https://registry.npmjs.org/@secretlint/config-creator/-/config-creator-10.2.2.tgz",
@@ -2518,6 +2536,18 @@
       "dev": true,
       "license": "Python-2.0"
     },
+    "node_modules/matchit": {
+      "version": "1.1.0",
+      "resolved": "https://registry.npmjs.org/matchit/-/matchit-1.1.0.tgz",
+      "integrity": "sha512-+nGYoOlfHmxe5BW5tE0EMJppXEwdSf8uBA1GTZC7Q77kbT35+VKLYJMzVNWCHSsga1ps1tPYFtFyvxvKzWVmMA==",
+      "license": "MIT",
+      "dependencies": {
+        "@arr/every": "^1.0.0"
+      },
+      "engines": {
+        "node": ">=6"
+      }
+    },
     "node_modules/math-intrinsics": {
       "version": "1.1.0",
       "resolved": "https://registry.npmjs.org/math-intrinsics/-/math-intrinsics-1.1.0.tgz",
@@ -2998,6 +3028,16 @@
         "node": ">=4"
       }
     },
+    "node_modules/polka": {
+      "version": "0.5.2",
+      "resolved": "https://registry.npmjs.org/polka/-/polka-0.5.2.tgz",
+      "integrity": "sha512-FVg3vDmCqP80tOrs+OeNlgXYmFppTXdjD5E7I4ET1NjvtNmQrb1/mJibybKkb/d4NA7YWAr1ojxuhpL3FHqdlw==",
+      "license": "MIT",
+      "dependencies": {
+        "@polka/url": "^0.5.0",
+        "trouter": "^2.0.1"
+      }
+    },
     "node_modules/prebuild-install": {
       "version": "7.1.3",
       "resolved": "https://registry.npmjs.org/prebuild-install/-/prebuild-install-7.1.3.tgz",
@@ -3874,6 +3914,18 @@
         "node": ">=8.0"
       }
     },
+    "node_modules/trouter": {
+      "version": "2.0.1",
+      "resolved": "https://registry.npmjs.org/trouter/-/trouter-2.0.1.tgz",
+      "integrity": "sha512-kr8SKKw94OI+xTGOkfsvwZQ8mWoikZDd2n8XZHjJVZUARZT+4/VV6cacRS6CLsH9bNm+HFIPU1Zx4CnNnb4qlQ==",
+      "license": "MIT",
+      "dependencies": {
+        "matchit": "^1.0.0"
+      },
+      "engines": {
+        "node": ">=6"
+      }
+    },
     "node_modules/tslib": {
       "version": "2.8.1",
       "resolved": "https://registry.npmjs.org/tslib/-/tslib-2.8.1.tgz",
diff --git a/package.json b/package.json
index eff190a..a233397 100644
--- a/package.json
+++ b/package.json
@@ -83,6 +83,9 @@
     "watch": "tsc -w -p .",
     "vscode:prepublish": "npm run compile"
   },
+  "dependencies": {
+    "polka": "^0.5.2"
+  },
   "devDependencies": {
     "@types/node": "^20.10.0",
     "@types/vscode": "^1.90.0",
diff --git a/src/config.ts b/src/config.ts
new file mode 100644
index 0000000..b0cf558
--- /dev/null
+++ b/src/config.ts
@@ -0,0 +1,24 @@
+import * as vscode from 'vscode';
+
+export interface BridgeConfig {
+  readonly enabled: boolean;
+  readonly host: string;
+  readonly port: number;
+  readonly token: string;
+  readonly historyWindow: number;
+  readonly verbose: boolean;
+  readonly maxConcurrent: number;
+}
+
+export const getBridgeConfig = (): BridgeConfig => {
+  const cfg = vscode.workspace.getConfiguration('bridge');
+  return {
+    enabled: cfg.get<boolean>('enabled') ?? false,
+    host: cfg.get<string>('host') ?? '127.0.0.1',
+    port: cfg.get<number>('port') ?? 0,
+    token: (cfg.get<string>('token') ?? '').trim(),
+    historyWindow: cfg.get<number>('historyWindow') ?? 3,
+    verbose: cfg.get<boolean>('verbose') ?? false,
+    maxConcurrent: cfg.get<number>('maxConcurrent') ?? 1,
+  };
+};
diff --git a/src/extension.ts b/src/extension.ts
index b8e13fe..695e652 100644
--- a/src/extension.ts
+++ b/src/extension.ts
@@ -1,119 +1,17 @@
 import * as vscode from 'vscode';
-import * as http from 'http';
-import { AddressInfo } from 'net';
-
-// Type definitions
-interface ChatMessage {
-  readonly role: 'system' | 'user' | 'assistant';
-  readonly content: string | MessageContent[];
-}
-
-interface MessageContent {
-  readonly type: string;
-  readonly text?: string;
-  readonly [key: string]: unknown;
-}
-
-interface ChatCompletionRequest {
-  readonly model?: string;
-  readonly messages: ChatMessage[];
-  readonly stream?: boolean;
-  readonly [key: string]: unknown;
-}
-
-interface BridgeConfig {
-  readonly enabled: boolean;
-  readonly host: string;
-  readonly port: number;
-  readonly token: string;
-  readonly historyWindow: number;
-  readonly verbose: boolean;
-  readonly maxConcurrent: number;
-}
-
-interface ErrorResponse {
-  readonly error: {
-    readonly message: string;
-    readonly type: string;
-    readonly code: string;
-    readonly reason?: string;
-  };
-}
-
-interface LanguageModelAPI {
-  readonly selectChatModels: (selector?: { vendor?: string; family?: string }) => Promise<LanguageModel[]>;
-}
-
-interface LanguageModel {
-  readonly family?: string;
-  readonly modelFamily?: string;
-  readonly name?: string;
-  readonly sendRequest: (messages: unknown[], options: unknown, token: vscode.CancellationToken) => Promise<LanguageModelResponse>;
-}
-
-interface LanguageModelResponse {
-  readonly text: AsyncIterable<string>;
-}
-
-// Module state
-interface BridgeState {
-  server?: http.Server;
-  modelCache?: LanguageModel;
-  statusItem?: vscode.StatusBarItem;
-  output?: vscode.OutputChannel;
-  running: boolean;
-  activeRequests: number;
-  lastReason?: string;
-}
-
-const state: BridgeState = {
-  running: false,
-  activeRequests: 0,
-};
-
-// Type guards
-const isValidRole = (role: unknown): role is 'system' | 'user' | 'assistant' =>
-  typeof role === 'string' && ['system', 'user', 'assistant'].includes(role);
-
-const isChatMessage = (msg: unknown): msg is ChatMessage =>
-  typeof msg === 'object' && 
-  msg !== null && 
-  'role' in msg && 
-  'content' in msg &&
-  isValidRole((msg as any).role) &&
-  ((msg as any).content !== undefined && (msg as any).content !== null);
-
-const isChatCompletionRequest = (body: unknown): body is ChatCompletionRequest =>
-  typeof body === 'object' && 
-  body !== null && 
-  'messages' in body &&
-  Array.isArray((body as any).messages) &&
-  (body as any).messages.length > 0 &&
-  (body as any).messages.every(isChatMessage);
-
-const hasLanguageModelAPI = (): boolean =>
-  !!(vscode as any).lm && typeof (vscode as any).lm.selectChatModels === 'function';
-
-// Configuration helpers
-const getBridgeConfig = (): BridgeConfig => {
-  const cfg = vscode.workspace.getConfiguration('bridge');
-  return {
-    enabled: cfg.get<boolean>('enabled') ?? false,
-    host: cfg.get<string>('host') ?? '127.0.0.1',
-    port: cfg.get<number>('port') ?? 0,
-    token: (cfg.get<string>('token') ?? '').trim(),
-    historyWindow: cfg.get<number>('historyWindow') ?? 3,
-    verbose: cfg.get<boolean>('verbose') ?? false,
-    maxConcurrent: cfg.get<number>('maxConcurrent') ?? 1,
-  };
-};
+import { getBridgeConfig } from './config';
+import { state } from './state';
+import { ensureOutput, verbose } from './log';
+import { ensureStatusBar } from './status';
+import { startServer, stopServer } from './http/server';
+import { getModel } from './models';
 
 export async function activate(ctx: vscode.ExtensionContext): Promise<void> {
-  state.output = vscode.window.createOutputChannel('Copilot Bridge');
-  state.statusItem = vscode.window.createStatusBarItem(vscode.StatusBarAlignment.Left, 100);
-  state.statusItem.text = 'Copilot Bridge: Disabled';
-  state.statusItem.show();
-  ctx.subscriptions.push(state.statusItem, state.output);
+  ensureOutput();
+  ensureStatusBar();
+  state.statusItem!.text = 'Copilot Bridge: Disabled';
+  state.statusItem!.show();
+  ctx.subscriptions.push(state.statusItem!, state.output!);
 
   ctx.subscriptions.push(vscode.commands.registerCommand('bridge.enable', async () => {
     await startBridge();
@@ -126,7 +24,7 @@ export async function activate(ctx: vscode.ExtensionContext): Promise<void> {
   
   ctx.subscriptions.push(vscode.commands.registerCommand('bridge.status', async () => {
     const info = state.server?.address();
-    const bound = info && typeof info === 'object' ? `${info.address}:${info.port}` : 'n/a';
+    const bound = info && typeof info === 'object' ? `${(info as any).address}:${(info as any).port}` : 'n/a';
     const config = getBridgeConfig();
     const hasToken = config.token.length > 0;
     vscode.window.showInformationMessage(
@@ -147,526 +45,27 @@ export async function deactivate(): Promise<void> {
 async function startBridge(): Promise<void> {
   if (state.running) return;
   state.running = true;
-
-  const config = getBridgeConfig();
-
   try {
-    state.server = http.createServer(async (req: http.IncomingMessage, res: http.ServerResponse) => {
-      try {
-        if (config.verbose) state.output?.appendLine(`HTTP ${req.method} ${req.url}`);
-        
-        if (!isAuthorized(req, config.token)) {
-          writeErrorResponse(res, 401, 'unauthorized', 'invalid_request_error', 'unauthorized');
-          return;
-        }
-        
-        if (req.method === 'POST' && req.url?.startsWith('/v1/chat/completions')) {
-          if (state.activeRequests >= config.maxConcurrent) {
-            res.writeHead(429, { 'Content-Type': 'application/json', 'Retry-After': '1' });
-            res.end(JSON.stringify({ 
-              error: { 
-                message: 'too many requests', 
-                type: 'rate_limit_error', 
-                code: 'rate_limit_exceeded' 
-              } 
-            }));
-            if (config.verbose) {
-              state.output?.appendLine(`429 throttled (active=${state.activeRequests}, max=${config.maxConcurrent})`);
-            }
-            return;
-          }
-        }
-
-        if (req.method === 'GET' && req.url === '/healthz') {
-          await handleHealthCheck(res, config.verbose);
-          return;
-        }
-
-        if (req.method === 'GET' && req.url === '/v1/models') {
-          await handleModelsRequest(res);
-          return;
-        }
-
-        if (req.method === 'POST' && req.url?.startsWith('/v1/chat/completions')) {
-          await handleChatCompletion(req, res, config);
-          return;
-        }
-
-        res.writeHead(404).end();
-      } catch (error) {
-        handleServerError(error, res);
-      }
-    });
-
-    await startServer(state.server, config);
-    updateStatusAfterStart(config);
-  } catch (error) {
-    handleStartupError(error, config);
-  }
-}
-
-// Helper functions
-const isAuthorized = (req: http.IncomingMessage, token: string): boolean =>
-  !token || req.headers.authorization === `Bearer ${token}`;
-
-const writeErrorResponse = (
-  res: http.ServerResponse, 
-  status: number, 
-  message: string, 
-  type: string, 
-  code: string,
-  reason?: string
-): void => {
-  writeJson(res, status, { 
-    error: { message, type, code, ...(reason && { reason }) } 
-  });
-};
-
-const handleServerError = (error: unknown, res: http.ServerResponse): void => {
-  const errorMessage = error instanceof Error ? error.message : String(error);
-  const errorStack = error instanceof Error ? error.stack : undefined;
-  
-  state.output?.appendLine(`Error: ${errorStack || errorMessage}`);
-  state.modelCache = undefined;
-  writeErrorResponse(res, 500, errorMessage || 'internal_error', 'server_error', 'internal_error');
-};
-
-const handleStartupError = (error: unknown, config: BridgeConfig): never => {
-  state.running = false;
-  const errorMessage = error instanceof Error ? error.message : String(error);
-  const errorStack = error instanceof Error ? error.stack : undefined;
-  
-  state.output?.appendLine(`Failed to start: ${errorStack || errorMessage}`);
-  if (state.statusItem) {
-    state.statusItem.text = 'Copilot Bridge: Error';
-  }
-  throw error;
-};
-
-const startServer = async (server: http.Server, config: BridgeConfig): Promise<void> => {
-  await new Promise<void>((resolve, reject) => {
-    server.once('error', reject);
-    server.listen(config.port, config.host, () => resolve());
-  });
-};
-
-const updateStatusAfterStart = (config: BridgeConfig): void => {
-  const addr = state.server?.address() as AddressInfo | null;
-  const shown = addr ? `${addr.address}:${addr.port}` : `${config.host}:${config.port}`;
-  
-  if (state.statusItem) {
-    state.statusItem.text = `Copilot Bridge: ${state.modelCache ? 'OK' : 'Unavailable'} @ ${shown}`;
-  }
-  
-  state.output?.appendLine(`Started at http://${shown} | Copilot: ${state.modelCache ? 'ok' : 'unavailable'}`);
-  
-  if (config.verbose) {
-    const tokenStatus = config.token ? 'set' : 'unset';
-    state.output?.appendLine(
-      `Config: host=${config.host} port=${addr?.port ?? config.port} hist=${config.historyWindow} maxConcurrent=${config.maxConcurrent} token=${tokenStatus}`
-    );
-  }
-};
-
-const handleHealthCheck = async (res: http.ServerResponse, verbose: boolean): Promise<void> => {
-  const hasLM = hasLanguageModelAPI();
-  if (!state.modelCache && verbose) {
-    state.output?.appendLine(`Healthz: model=${state.modelCache ? 'present' : 'missing'} lmApi=${hasLM ? 'ok' : 'missing'}`);
-    await getModel();
-  }
-  
-  const unavailableReason = state.modelCache 
-    ? undefined 
-    : (!hasLM ? 'missing_language_model_api' : (state.lastReason || 'copilot_model_unavailable'));
-    
-  writeJson(res, 200, { 
-    ok: true, 
-    copilot: state.modelCache ? 'ok' : 'unavailable', 
-    reason: unavailableReason, 
-    version: vscode.version 
-  });
-};
-
-const handleModelsRequest = async (res: http.ServerResponse): Promise<void> => {
-  try {
-    const models = await listCopilotModels();
-    writeJson(res, 200, { 
-      data: models.map((id: string) => ({ 
-        id, 
-        object: 'model', 
-        owned_by: 'vscode-bridge' 
-      })) 
-    });
-  } catch {
-    writeJson(res, 200, { 
-      data: [{ 
-        id: 'copilot', 
-        object: 'model', 
-        owned_by: 'vscode-bridge' 
-      }] 
-    });
-  }
-};
-
-const handleChatCompletion = async (
-  req: http.IncomingMessage, 
-  res: http.ServerResponse, 
-  config: BridgeConfig
-): Promise<void> => {
-  state.activeRequests++;
-  if (config.verbose) {
-    state.output?.appendLine(`Request started (active=${state.activeRequests})`);
-  }
-  
-  try {
-    const body = await readJson(req);
-    if (!isChatCompletionRequest(body)) {
-      writeErrorResponse(res, 400, 'invalid request', 'invalid_request_error', 'invalid_payload');
-      return;
-    }
-
-    const { model: requestedModel, stream = true } = body;
-    const familyOverride = extractModelFamily(requestedModel);
-    
-    const model = await getModel(false, familyOverride);
-    if (!model) {
-      const hasLM = hasLanguageModelAPI();
-      if (familyOverride && hasLM) {
-        state.lastReason = 'not_found';
-        writeErrorResponse(res, 404, 'model not found', 'invalid_request_error', 'model_not_found', 'not_found');
-        return;
-      }
-      
-      const reason = !hasLM ? 'missing_language_model_api' : (state.lastReason || 'copilot_model_unavailable');
-      writeErrorResponse(res, 503, 'Copilot unavailable', 'server_error', 'copilot_unavailable', reason);
-      return;
-    }
-
-    const lmMessages = normalizeMessagesLM(body.messages, config.historyWindow);
-    
-    if (config.verbose) {
-      state.output?.appendLine(`Sending request to Copilot via Language Model API... ${model.family || model.modelFamily || model.name || 'unknown'}`);
-    }
-    
-    const cts = new vscode.CancellationTokenSource();
-    const response = await model.sendRequest(lmMessages, {}, cts.token);
-
-    if (stream) {
-      await handleStreamResponse(res, response, config.verbose);
-    } else {
-      await handleNonStreamResponse(res, response, config.verbose);
-    }
-  } finally {
-    state.activeRequests--;
-    if (config.verbose) {
-      state.output?.appendLine(`Request complete (active=${state.activeRequests})`);
-    }
-  }
-};
-
-const extractModelFamily = (requestedModel?: string): string | undefined => {
-  if (!requestedModel) return undefined;
-  
-  if (/-copilot$/i.test(requestedModel)) {
-    return requestedModel.replace(/-copilot$/i, '');
-  }
-  
-  if (requestedModel.toLowerCase() === 'copilot') {
-    return undefined;
-  }
-  
-  return undefined;
-};
-
-const handleStreamResponse = async (
-  res: http.ServerResponse, 
-  response: LanguageModelResponse, 
-  verbose: boolean
-): Promise<void> => {
-  res.writeHead(200, {
-    'Content-Type': 'text/event-stream',
-    'Cache-Control': 'no-cache',
-    'Connection': 'keep-alive'
-  });
-  
-  const id = `cmp_${Math.random().toString(36).slice(2)}`;
-  if (verbose) {
-    state.output?.appendLine(`SSE start id=${id}`);
-  }
-  
-  try {
-    for await (const fragment of response.text) {
-      const payload = {
-        id,
-        object: 'chat.completion.chunk',
-        choices: [{ index: 0, delta: { content: fragment } }]
-      };
-      res.write(`data: ${JSON.stringify(payload)}\n\n`);
-    }
-    
-    if (verbose) {
-      state.output?.appendLine(`SSE end id=${id}`);
-    }
-    
-    res.write('data: [DONE]\n\n');
-    res.end();
-  } catch (error) {
+    await startServer();
+  } catch (error: any) {
+    state.running = false;
+    state.statusItem!.text = 'Copilot Bridge: Error';
+    verbose(error?.stack || String(error));
     throw error;
   }
-};
-
-const handleNonStreamResponse = async (
-  res: http.ServerResponse, 
-  response: LanguageModelResponse, 
-  verbose: boolean
-): Promise<void> => {
-  let content = '';
-  for await (const fragment of response.text) {
-    content += fragment;
-  }
-  
-  if (verbose) {
-    state.output?.appendLine(`Non-stream complete len=${content.length}`);
-  }
-  
-  writeJson(res, 200, {
-    id: `cmpl_${Math.random().toString(36).slice(2)}`,
-    object: 'chat.completion',
-    choices: [{ 
-      index: 0, 
-      message: { role: 'assistant', content }, 
-      finish_reason: 'stop' 
-    }]
-  });
-};
+}
 
 async function stopBridge(): Promise<void> {
   if (!state.running) return;
   state.running = false;
-  
   try {
-    await new Promise<void>((resolve) => {
-      if (!state.server) return resolve();
-      state.server.close(() => resolve());
-    });
+    await stopServer();
   } finally {
     state.server = undefined;
     state.modelCache = undefined;
     if (state.statusItem) {
       state.statusItem.text = 'Copilot Bridge: Disabled';
     }
-    state.output?.appendLine('Stopped');
+    verbose('Stopped');
   }
 }
-
-// Text conversion utility
-const toText = (content: unknown): string => {
-  if (typeof content === 'string') return content;
-  if (Array.isArray(content)) return content.map(toText).join('\n');
-  if (content && typeof content === 'object' && 'text' in content && typeof (content as any).text === 'string') {
-    return (content as any).text;
-  }
-  try { 
-    return JSON.stringify(content); 
-  } catch { 
-    return String(content); 
-  }
-};
-
-const normalizeMessagesLM = (messages: ChatMessage[], histWindow: number): unknown[] => {
-  const systemMessages = messages.filter((m) => m.role === 'system');
-  const systemMessage = systemMessages[systemMessages.length - 1]; // Take the last system message
-  const conversationMessages = messages
-    .filter((m) => m.role === 'user' || m.role === 'assistant')
-    .slice(-histWindow * 2);
-
-  const vsCode = vscode as any;
-  const User = vsCode.LanguageModelChatMessage?.User;
-  const Assistant = vsCode.LanguageModelChatMessage?.Assistant;
-
-  const result: unknown[] = [];
-  let firstUserSeen = false;
-
-  for (const message of conversationMessages) {
-    if (message.role === 'user') {
-      let text = toText(message.content);
-      if (!firstUserSeen && systemMessage) {
-        text = `[SYSTEM]\n${toText(systemMessage.content)}\n\n[DIALOG]\nuser: ${text}`;
-        firstUserSeen = true;
-      }
-      result.push(User ? User(text) : { role: 'user', content: text });
-    } else if (message.role === 'assistant') {
-      const text = toText(message.content);
-      result.push(Assistant ? Assistant(text) : { role: 'assistant', content: text });
-    }
-  }
-
-  if (!firstUserSeen && systemMessage) {
-    const text = `[SYSTEM]\n${toText(systemMessage.content)}`;
-    result.unshift(User ? User(text) : { role: 'user', content: text });
-  }
-
-  if (result.length === 0) {
-    result.push(User ? User('') : { role: 'user', content: '' });
-  }
-
-  return result;
-};
-
-async function getModel(force = false, family?: string): Promise<LanguageModel | undefined> {
-  if (!force && state.modelCache && !family) return state.modelCache;
-  
-  const config = getBridgeConfig();
-  const hasLM = hasLanguageModelAPI();
-  
-  if (!hasLM) {
-    if (!family) state.modelCache = undefined;
-    state.lastReason = 'missing_language_model_api';
-    updateStatusWithError();
-    if (config.verbose) {
-      state.output?.appendLine('VS Code Language Model API not available; update VS Code or enable proposed API (Insiders/F5/--enable-proposed-api).');
-    }
-    return undefined;
-  }
-
-  try {
-    const models = await selectChatModels(family);
-    if (!models || models.length === 0) {
-      if (!family) state.modelCache = undefined;
-      state.lastReason = family ? 'not_found' : 'copilot_model_unavailable';
-      updateStatusWithError();
-      if (config.verbose) {
-        const message = family 
-          ? `No Copilot language models available for family="${family}".`
-          : 'No Copilot language models available.';
-        state.output?.appendLine(message);
-      }
-      return undefined;
-    }
-    
-    const chosen = models[0];
-    if (!family) state.modelCache = chosen;
-    state.lastReason = undefined;
-    updateStatusWithSuccess();
-    if (config.verbose) {
-      const familyInfo = family ? ` (family=${family})` : '';
-      state.output?.appendLine(`Copilot model selected${familyInfo}.`);
-    }
-    return chosen;
-  } catch (error) {
-    if (!family) state.modelCache = undefined;
-    updateStatusWithError();
-    handleModelSelectionError(error, family, config.verbose);
-    return undefined;
-  }
-}
-
-const selectChatModels = async (family?: string): Promise<LanguageModel[]> => {
-  const lm = (vscode as any).lm;
-  if (family) {
-    return await lm.selectChatModels({ vendor: 'copilot', family });
-  } else {
-    // Try gpt-4o first, fallback to any copilot model
-    let models = await lm.selectChatModels({ vendor: 'copilot', family: 'gpt-4o' });
-    state.output?.appendLine(`Fallback to gpt-4o. Family requested was: ${family}.`);
-
-    if (!models || models.length === 0) {
-      models = await lm.selectChatModels({ vendor: 'copilot' });
-    }
-    return models;
-  }
-};
-
-const updateStatusWithError = (): void => {
-  const info = state.server?.address() as AddressInfo | null;
-  const bound = info ? `${info.address}:${info.port}` : '';
-  if (state.statusItem) {
-    state.statusItem.text = `Copilot Bridge: Unavailable ${bound ? `@ ${bound}` : ''}`;
-  }
-};
-
-const updateStatusWithSuccess = (): void => {
-  const info = state.server?.address() as AddressInfo | null;
-  const bound = info ? `${info.address}:${info.port}` : '';
-  if (state.statusItem) {
-    state.statusItem.text = `Copilot Bridge: OK ${bound ? `@ ${bound}` : ''}`;
-  }
-};
-
-const handleModelSelectionError = (error: unknown, family: string | undefined, verbose: boolean): void => {
-  const vsCode = vscode as any;
-  
-  if (vsCode.LanguageModelError && error instanceof vsCode.LanguageModelError) {
-    const code = (error as any).code || '';
-    const errorMessage = error instanceof Error ? error.message : String(error);
-    
-    if (/consent/i.test(errorMessage) || code === 'UserNotSignedIn') {
-      state.lastReason = 'consent_required';
-    } else if (code === 'RateLimited') {
-      state.lastReason = 'rate_limited';
-    } else if (code === 'NotFound') {
-      state.lastReason = 'not_found';
-    } else {
-      state.lastReason = 'copilot_unavailable';
-    }
-    
-    if (verbose) {
-      const familyInfo = family ? ` family=${family}` : '';
-      state.output?.appendLine(`LM select error: ${errorMessage} code=${code}${familyInfo}`);
-    }
-  } else {
-    state.lastReason = 'copilot_unavailable';
-    if (verbose) {
-      const errorMessage = error instanceof Error ? error.message : String(error);
-      const familyInfo = family ? ` family=${family}` : '';
-      state.output?.appendLine(`LM select error: ${errorMessage}${familyInfo}`);
-    }
-  }
-};
-
-async function listCopilotModels(): Promise<string[]> {
-  const hasLM = hasLanguageModelAPI();
-  if (!hasLM) return ['copilot'];
-  
-  try {
-    const models: LanguageModel[] = await (vscode as any).lm.selectChatModels({ vendor: 'copilot' });
-    if (!models || models.length === 0) return ['copilot'];
-    
-    const ids = models.map((model, index) => {
-      const family = model.family || model.modelFamily || model.name || '';
-      const normalized = typeof family === 'string' && family.trim() 
-        ? family.trim().toLowerCase() 
-        : `copilot-${index + 1}`;
-      return normalized.endsWith('-copilot') ? normalized : `${normalized}-copilot`;
-    });
-    
-    return Array.from(new Set(ids));
-  } catch {
-    return ['copilot'];
-  }
-}
-
-const readJson = (req: http.IncomingMessage): Promise<unknown> => {
-  return new Promise((resolve, reject) => {
-    let data = '';
-    req.on('data', (chunk: any) => { 
-      data += chunk.toString(); 
-    });
-    req.on('end', () => {
-      if (!data) return resolve({});
-      try {
-        resolve(JSON.parse(data));
-      } catch (error) {
-        const snippet = data.length > 200 ? data.slice(0, 200) + '...' : data;
-        const errorMessage = error instanceof Error ? error.message : String(error);
-        reject(new Error(`Failed to parse JSON: ${errorMessage}. Data: "${snippet}"`));
-      }
-    });
-    req.on('error', reject);
-  });
-};
-
-const writeJson = (res: http.ServerResponse, status: number, obj: unknown): void => {
-  res.writeHead(status, { 'Content-Type': 'application/json' });
-  res.end(JSON.stringify(obj));
-};
diff --git a/src/http/auth.ts b/src/http/auth.ts
new file mode 100644
index 0000000..cb45dfa
--- /dev/null
+++ b/src/http/auth.ts
@@ -0,0 +1,4 @@
+import type { IncomingMessage } from 'http';
+
+export const isAuthorized = (req: IncomingMessage, token: string): boolean =>
+  !token || req.headers.authorization === `Bearer ${token}`;
diff --git a/src/http/routes/chat.ts b/src/http/routes/chat.ts
new file mode 100644
index 0000000..0f494a3
--- /dev/null
+++ b/src/http/routes/chat.ts
@@ -0,0 +1,87 @@
+import * as vscode from 'vscode';
+import type { IncomingMessage, ServerResponse } from 'http';
+import { state } from '../../state';
+import { getBridgeConfig } from '../../config';
+import { extractModelFamily, isChatCompletionRequest, normalizeMessagesLM } from '../../messages';
+import { getModel, hasLMApi } from '../../models';
+import { readJson, writeErrorResponse, writeJson } from '../utils';
+import { verbose } from '../../log';
+
+export const handleChatCompletion = async (req: IncomingMessage, res: ServerResponse): Promise<void> => {
+  const config = getBridgeConfig();
+  state.activeRequests++;
+  verbose(`Request started (active=${state.activeRequests})`);
+  try {
+    const body = await readJson(req);
+    if (!isChatCompletionRequest(body)) {
+      writeErrorResponse(res, 400, 'invalid request', 'invalid_request_error', 'invalid_payload');
+      return;
+    }
+    const { model: requestedModel, stream = true } = body;
+    const familyOverride = extractModelFamily(requestedModel);
+    const model = await getModel(false, familyOverride);
+    if (!model) {
+      const hasLM = hasLMApi();
+      if (familyOverride && hasLM) {
+        state.lastReason = 'not_found';
+        writeErrorResponse(res, 404, 'model not found', 'invalid_request_error', 'model_not_found', 'not_found');
+        return;
+      }
+      const reason = !hasLM ? 'missing_language_model_api' : (state.lastReason || 'copilot_model_unavailable');
+      writeErrorResponse(res, 503, 'Copilot unavailable', 'server_error', 'copilot_unavailable', reason);
+      return;
+    }
+    const lmMessages = normalizeMessagesLM(body.messages, config.historyWindow);
+    verbose(`Sending request to Copilot via Language Model API... ${model.family || model.modelFamily || model.name || 'unknown'}`);
+    const cts = new vscode.CancellationTokenSource();
+    const response = await model.sendRequest(lmMessages, {}, cts.token);
+    if (stream) {
+      await handleStreamResponse(res, response);
+    } else {
+      await handleNonStreamResponse(res, response);
+    }
+  } finally {
+    state.activeRequests--;
+    verbose(`Request complete (active=${state.activeRequests})`);
+  }
+};
+
+const handleStreamResponse = async (res: ServerResponse, response: any): Promise<void> => {
+  res.writeHead(200, {
+    'Content-Type': 'text/event-stream',
+    'Cache-Control': 'no-cache',
+    'Connection': 'keep-alive',
+  });
+  const id = `cmp_${Math.random().toString(36).slice(2)}`;
+  verbose(`SSE start id=${id}`);
+  for await (const fragment of response.text) {
+    const payload = {
+      id,
+      object: 'chat.completion.chunk',
+      choices: [{ index: 0, delta: { content: fragment } }],
+    };
+    res.write(`data: ${JSON.stringify(payload)}\n\n`);
+  }
+  verbose(`SSE end id=${id}`);
+  res.write('data: [DONE]\n\n');
+  res.end();
+};
+
+const handleNonStreamResponse = async (res: ServerResponse, response: any): Promise<void> => {
+  let content = '';
+  for await (const fragment of response.text) {
+    content += fragment;
+  }
+  verbose(`Non-stream complete len=${content.length}`);
+  writeJson(res, 200, {
+    id: `cmpl_${Math.random().toString(36).slice(2)}`,
+    object: 'chat.completion',
+    choices: [
+      {
+        index: 0,
+        message: { role: 'assistant', content },
+        finish_reason: 'stop',
+      },
+    ],
+  });
+};
diff --git a/src/http/routes/health.ts b/src/http/routes/health.ts
new file mode 100644
index 0000000..87eb9a8
--- /dev/null
+++ b/src/http/routes/health.ts
@@ -0,0 +1,23 @@
+import * as vscode from 'vscode';
+import type { ServerResponse } from 'http';
+import { writeJson } from '../utils';
+import { hasLMApi, getModel } from '../../models';
+import { state } from '../../state';
+import { verbose } from '../../log';
+
+export const handleHealthCheck = async (res: ServerResponse, v: boolean): Promise<void> => {
+  const hasLM = hasLMApi();
+  if (!state.modelCache && v) {
+    verbose(`Healthz: model=${state.modelCache ? 'present' : 'missing'} lmApi=${hasLM ? 'ok' : 'missing'}`);
+    await getModel();
+  }
+  const unavailableReason = state.modelCache
+    ? undefined
+    : (!hasLM ? 'missing_language_model_api' : (state.lastReason || 'copilot_model_unavailable'));
+  writeJson(res, 200, {
+    ok: true,
+    copilot: state.modelCache ? 'ok' : 'unavailable',
+    reason: unavailableReason,
+    version: vscode.version,
+  });
+};
diff --git a/src/http/routes/models.ts b/src/http/routes/models.ts
new file mode 100644
index 0000000..fdd89ff
--- /dev/null
+++ b/src/http/routes/models.ts
@@ -0,0 +1,25 @@
+import { writeJson } from '../utils';
+import { listCopilotModels } from '../../models';
+
+export const handleModelsRequest = async (res: any): Promise<void> => {
+  try {
+    const models = await listCopilotModels();
+    writeJson(res, 200, {
+      data: models.map((id: string) => ({
+        id,
+        object: 'model',
+        owned_by: 'vscode-bridge',
+      })),
+    });
+  } catch {
+    writeJson(res, 200, {
+      data: [
+        {
+          id: 'copilot',
+          object: 'model',
+          owned_by: 'vscode-bridge',
+        },
+      ],
+    });
+  }
+};
diff --git a/src/http/server.ts b/src/http/server.ts
new file mode 100644
index 0000000..0ae8b1e
--- /dev/null
+++ b/src/http/server.ts
@@ -0,0 +1,78 @@
+const polka = require('polka');
+import type { Server } from 'http';
+import { getBridgeConfig } from '../config';
+import { state } from '../state';
+import { isAuthorized } from './auth';
+import { handleHealthCheck } from './routes/health';
+import { handleModelsRequest } from './routes/models';
+import { handleChatCompletion } from './routes/chat';
+import { writeErrorResponse } from './utils';
+import { ensureOutput, verbose } from '../log';
+import { updateStatusAfterStart } from '../status';
+
+export const startServer = async (): Promise<void> => {
+  if (state.server) return;
+  const config = getBridgeConfig();
+  ensureOutput();
+
+  const app = polka();
+
+  app.use((req: any, res: any, next: any) => {
+    verbose(`HTTP ${req.method} ${req.url}`);
+    if (!isAuthorized(req, config.token)) {
+      writeErrorResponse(res, 401, 'unauthorized', 'invalid_request_error', 'unauthorized');
+      return;
+    }
+    next();
+  });
+
+  app.get('/healthz', async (_req: any, res: any) => {
+    await handleHealthCheck(res, config.verbose);
+  });
+
+  app.get('/v1/models', async (_req: any, res: any) => {
+    await handleModelsRequest(res);
+  });
+
+  app.post('/v1/chat/completions', async (req: any, res: any) => {
+    if (state.activeRequests >= config.maxConcurrent) {
+      res.writeHead(429, { 'Content-Type': 'application/json', 'Retry-After': '1' });
+      res.end(JSON.stringify({
+        error: {
+          message: 'too many requests',
+          type: 'rate_limit_error',
+          code: 'rate_limit_exceeded',
+        },
+      }));
+      verbose(`429 throttled (active=${state.activeRequests}, max=${config.maxConcurrent})`);
+      return;
+    }
+    try {
+      await handleChatCompletion(req, res);
+    } catch (e: any) {
+      const msg = e instanceof Error ? e.message : String(e);
+      writeErrorResponse(res, 500, msg || 'internal_error', 'server_error', 'internal_error');
+    }
+  });
+
+  await new Promise<void>((resolve, reject) => {
+    const srv: Server = app.listen(config.port, config.host, (err?: any) => {
+      if (err) {
+        reject(err);
+      } else {
+        state.server = srv;
+        updateStatusAfterStart();
+        resolve();
+      }
+    });
+    srv.on('error', reject);
+  });
+};
+
+export const stopServer = async (): Promise<void> => {
+  await new Promise<void>((resolve) => {
+    if (!state.server) return resolve();
+    state.server.close(() => resolve());
+  });
+  state.server = undefined;
+};
diff --git a/src/http/utils.ts b/src/http/utils.ts
new file mode 100644
index 0000000..ba87ef3
--- /dev/null
+++ b/src/http/utils.ts
@@ -0,0 +1,42 @@
+import type { ServerResponse, IncomingMessage } from 'http';
+
+export interface ErrorResponse {
+  readonly error: {
+    readonly message: string;
+    readonly type: string;
+    readonly code: string;
+    readonly reason?: string;
+  };
+}
+
+export const writeJson = (res: ServerResponse, status: number, body: any): void => {
+  res.writeHead(status, { 'Content-Type': 'application/json' });
+  res.end(JSON.stringify(body));
+};
+
+export const writeErrorResponse = (
+  res: ServerResponse,
+  status: number,
+  message: string,
+  type: string,
+  code: string,
+  reason?: string
+): void => {
+  writeJson(res, status, {
+    error: { message, type, code, ...(reason && { reason }) },
+  });
+};
+
+export const readJson = (req: IncomingMessage): Promise<any> =>
+  new Promise((resolve, reject) => {
+    let data = '';
+    req.on('data', (c) => (data += c));
+    req.on('end', () => {
+      try {
+        resolve(data ? JSON.parse(data) : {});
+      } catch (e) {
+        reject(e);
+      }
+    });
+    req.on('error', reject);
+  });
diff --git a/src/log.ts b/src/log.ts
new file mode 100644
index 0000000..0e5b276
--- /dev/null
+++ b/src/log.ts
@@ -0,0 +1,26 @@
+import * as vscode from 'vscode';
+import { state } from './state';
+import { getBridgeConfig } from './config';
+
+export const ensureOutput = (): void => {
+  if (!state.output) {
+    state.output = vscode.window.createOutputChannel('Copilot Bridge');
+  }
+};
+
+export const info = (msg: string): void => {
+  ensureOutput();
+  state.output?.appendLine(msg);
+};
+
+export const verbose = (msg: string): void => {
+  const cfg = getBridgeConfig();
+  if (!cfg.verbose) return;
+  ensureOutput();
+  state.output?.appendLine(msg);
+};
+
+export const error = (msg: string): void => {
+  ensureOutput();
+  state.output?.appendLine(msg);
+};
diff --git a/src/messages.ts b/src/messages.ts
new file mode 100644
index 0000000..733039e
--- /dev/null
+++ b/src/messages.ts
@@ -0,0 +1,101 @@
+import * as vscode from 'vscode';
+
+export interface ChatMessage {
+  readonly role: 'system' | 'user' | 'assistant';
+  readonly content: string | MessageContent[];
+}
+
+export interface MessageContent {
+  readonly type: string;
+  readonly text?: string;
+  readonly [key: string]: unknown;
+}
+
+export interface ChatCompletionRequest {
+  readonly model?: string;
+  readonly messages: ChatMessage[];
+  readonly stream?: boolean;
+  readonly [key: string]: unknown;
+}
+
+const isValidRole = (role: unknown): role is 'system' | 'user' | 'assistant' =>
+  typeof role === 'string' && ['system', 'user', 'assistant'].includes(role);
+
+export const isChatMessage = (msg: unknown): msg is ChatMessage =>
+  typeof msg === 'object' &&
+  msg !== null &&
+  'role' in msg &&
+  'content' in msg &&
+  isValidRole((msg as any).role) &&
+  ((msg as any).content !== undefined && (msg as any).content !== null);
+
+export const isChatCompletionRequest = (body: unknown): body is ChatCompletionRequest =>
+  typeof body === 'object' &&
+  body !== null &&
+  'messages' in body &&
+  Array.isArray((body as any).messages) &&
+  (body as any).messages.length > 0 &&
+  (body as any).messages.every(isChatMessage);
+
+const toText = (content: unknown): string => {
+  if (typeof content === 'string') return content;
+  if (Array.isArray(content)) return content.map(toText).join('\n');
+  if (content && typeof content === 'object' && 'text' in content && typeof (content as any).text === 'string') {
+    return (content as any).text;
+  }
+  try {
+    return JSON.stringify(content);
+  } catch {
+    return String(content);
+  }
+};
+
+export const normalizeMessagesLM = (messages: ChatMessage[], histWindow: number): unknown[] => {
+  const systemMessages = messages.filter((m) => m.role === 'system');
+  const systemMessage = systemMessages[systemMessages.length - 1];
+  const conversationMessages = messages
+    .filter((m) => m.role === 'user' || m.role === 'assistant')
+    .slice(-histWindow * 2);
+
+  const User = (vscode as any).LanguageModelChatMessage?.User;
+  const Assistant = (vscode as any).LanguageModelChatMessage?.Assistant;
+
+  const result: unknown[] = [];
+  let firstUserSeen = false;
+
+  for (const message of conversationMessages) {
+    if (message.role === 'user') {
+      let text = toText(message.content);
+      if (!firstUserSeen && systemMessage) {
+        text = `[SYSTEM]\n${toText(systemMessage.content)}\n\n[DIALOG]\nuser: ${text}`;
+        firstUserSeen = true;
+      }
+      result.push(User ? User(text) : { role: 'user', content: text });
+    } else if (message.role === 'assistant') {
+      const text = toText(message.content);
+      result.push(Assistant ? Assistant(text) : { role: 'assistant', content: text });
+    }
+  }
+
+  if (!firstUserSeen && systemMessage) {
+    const text = `[SYSTEM]\n${toText(systemMessage.content)}`;
+    result.unshift(User ? User(text) : { role: 'user', content: text });
+  }
+
+  if (result.length === 0) {
+    result.push(User ? User('') : { role: 'user', content: '' });
+  }
+
+  return result;
+};
+
+export const extractModelFamily = (requestedModel?: string): string | undefined => {
+  if (!requestedModel) return undefined;
+  if (/-copilot$/i.test(requestedModel)) {
+    return requestedModel.replace(/-copilot$/i, '');
+  }
+  if (requestedModel.toLowerCase() === 'copilot') {
+    return undefined;
+  }
+  return undefined;
+};
diff --git a/src/models.ts b/src/models.ts
new file mode 100644
index 0000000..aaa68a9
--- /dev/null
+++ b/src/models.ts
@@ -0,0 +1,76 @@
+import * as vscode from 'vscode';
+import { state, LanguageModel } from './state';
+import { updateStatusWithError, updateStatusWithSuccess } from './status';
+import { verbose } from './log';
+
+const hasLanguageModelAPI = (): boolean =>
+  !!(vscode as any).lm && typeof (vscode as any).lm.selectChatModels === 'function';
+
+export const selectChatModels = async (family?: string): Promise<LanguageModel[]> => {
+  const lm = (vscode as any).lm;
+  const selector = family ? { family } : undefined;
+  const models = await lm.selectChatModels(selector);
+  return models as unknown as LanguageModel[];
+};
+
+export const getModel = async (force = false, family?: string): Promise<LanguageModel | undefined> => {
+  if (!force && state.modelCache && !family) return state.modelCache;
+
+  const hasLM = hasLanguageModelAPI();
+
+  if (!hasLM) {
+    if (!family) state.modelCache = undefined;
+    state.lastReason = 'missing_language_model_api';
+    updateStatusWithError();
+    verbose('VS Code Language Model API not available; update VS Code or enable proposed API (Insiders/F5/--enable-proposed-api).');
+    return undefined;
+  }
+
+  try {
+    const models = await selectChatModels(family);
+    if (!models || models.length === 0) {
+      if (!family) state.modelCache = undefined;
+      state.lastReason = family ? 'not_found' : 'copilot_model_unavailable';
+      updateStatusWithError();
+      const m = family ? `no models for family ${family}` : 'no copilot models available';
+      verbose(m);
+      return undefined;
+    }
+    state.modelCache = models[0];
+    state.lastReason = undefined;
+    updateStatusWithSuccess();
+    return state.modelCache;
+  } catch (e: any) {
+    handleModelSelectionError(e, family);
+    return undefined;
+  }
+};
+
+export const handleModelSelectionError = (error: unknown, family?: string): void => {
+  const msg = error instanceof Error ? error.message : String(error);
+  if (/not found/i.test(msg) || /Unknown model family/i.test(msg)) {
+    state.lastReason = 'not_found';
+  } else if (/No chat models/i.test(msg)) {
+    state.lastReason = 'copilot_model_unavailable';
+  } else {
+    state.lastReason = 'copilot_model_unavailable';
+  }
+  updateStatusWithError();
+  const fam = family ? ` family=${family}` : '';
+  verbose(`Model selection failed: ${msg}${fam}`);
+};
+
+export const listCopilotModels = async (): Promise<string[]> => {
+  try {
+    const models = await selectChatModels();
+    const ids = models.map((m: any) => {
+      const normalized = m.family || m.modelFamily || m.name || 'copilot';
+      return `${normalized}-copilot`;
+    });
+    return ids.length ? ids : ['copilot'];
+  } catch {
+    return ['copilot'];
+  }
+};
+
+export const hasLMApi = hasLanguageModelAPI;
diff --git a/src/state.ts b/src/state.ts
new file mode 100644
index 0000000..b356fba
--- /dev/null
+++ b/src/state.ts
@@ -0,0 +1,28 @@
+import * as vscode from 'vscode';
+import type { Server } from 'http';
+
+export interface LanguageModel {
+  readonly family?: string;
+  readonly modelFamily?: string;
+  readonly name?: string;
+  readonly sendRequest: (messages: unknown[], options: unknown, token: vscode.CancellationToken) => Promise<LanguageModelResponse>;
+}
+
+export interface LanguageModelResponse {
+  readonly text: AsyncIterable<string>;
+}
+
+export interface BridgeState {
+  server?: Server;
+  modelCache?: LanguageModel;
+  statusItem?: vscode.StatusBarItem;
+  output?: vscode.OutputChannel;
+  running: boolean;
+  activeRequests: number;
+  lastReason?: string;
+}
+
+export const state: BridgeState = {
+  running: false,
+  activeRequests: 0,
+};
diff --git a/src/status.ts b/src/status.ts
new file mode 100644
index 0000000..67bb58b
--- /dev/null
+++ b/src/status.ts
@@ -0,0 +1,41 @@
+import * as vscode from 'vscode';
+import { AddressInfo } from 'net';
+import { state } from './state';
+import { getBridgeConfig } from './config';
+import { info } from './log';
+
+export const ensureStatusBar = (): void => {
+  if (!state.statusItem) {
+    state.statusItem = vscode.window.createStatusBarItem(vscode.StatusBarAlignment.Left, 100);
+    state.statusItem.text = 'Copilot Bridge: Disabled';
+    state.statusItem.show();
+  }
+};
+
+export const updateStatusAfterStart = (): void => {
+  const cfg = getBridgeConfig();
+  const addr = state.server?.address() as AddressInfo | null;
+  const shown = addr ? `${addr.address}:${addr.port}` : `${cfg.host}:${cfg.port}`;
+  if (state.statusItem) {
+    state.statusItem.text = `Copilot Bridge: ${state.modelCache ? 'OK' : 'Unavailable'} @ ${shown}`;
+  }
+  info(`Started at http://${shown} | Copilot: ${state.modelCache ? 'ok' : 'unavailable'}`);
+};
+
+export const updateStatusWithError = (): void => {
+  const cfg = getBridgeConfig();
+  const addr = state.server?.address() as AddressInfo | null;
+  const shown = addr ? `${addr.address}:${addr.port}` : `${cfg.host}:${cfg.port}`;
+  if (state.statusItem) {
+    state.statusItem.text = `Copilot Bridge: Unavailable @ ${shown}`;
+  }
+};
+
+export const updateStatusWithSuccess = (): void => {
+  const cfg = getBridgeConfig();
+  const addr = state.server?.address() as AddressInfo | null;
+  const shown = addr ? `${addr.address}:${addr.port}` : `${cfg.host}:${cfg.port}`;
+  if (state.statusItem) {
+    state.statusItem.text = `Copilot Bridge: OK @ ${shown}`;
+  }
+};
diff --git a/src/types/polka.d.ts b/src/types/polka.d.ts
new file mode 100644
index 0000000..5a3bccc
--- /dev/null
+++ b/src/types/polka.d.ts
@@ -0,0 +1,2 @@
+declare function polka(...args: any[]): any;
+export = polka;