feat: add support for SSE MCP servers

core/config/workspace/workspaceBlocks.ts

@@ -53,10 +53,16 @@ function getContentsForNewBlock(blockType: BlockType): ConfigYaml {
       configYaml.mcpServers = [
         {
           name: "New MCP server",
+          type: "stdio",
           command: "npx",
           args: ["-y", "<your-mcp-server>"],
           env: {},
         },
+        {
+          name: "New MCP server",
+          type: "sse",
+          url: "https://example.org/sse"
+        },
       ];
       break;
   }

core/config/yaml/loadYaml.test.ts

@@ -0,0 +1,107 @@
+import { MCPServer } from "@continuedev/config-yaml";
+import { convertYamlMcpToContinueMcp } from "./loadYaml";
+
+describe("MCP Server Configuration Tests", () => {
+  test("should convert stdio MCP server correctly", () => {
+    const stdioServer: MCPServer = {
+      name: "Test Stdio Server",
+      type: "stdio",
+      command: "uvx",
+      args: ["mcp-server-sqlite", "--db-path", "/test.db"],
+      env: { TEST_ENV: "value" },
+      connectionTimeout: 5000
+    };
+
+    const result = convertYamlMcpToContinueMcp(stdioServer);
+
+    expect(result).toEqual({
+      transport: {
+        type: "stdio",
+        command: "uvx",
+        args: ["mcp-server-sqlite", "--db-path", "/test.db"],
+        env: { TEST_ENV: "value" }
+      },
+      timeout: 5000
+    });
+  });
+
+  test("should convert SSE MCP server correctly", () => {
+    const sseServer: MCPServer = {
+      name: "Test SSE Server",
+      type: "sse",
+      url: "http://localhost:8150/cosmos/mcp/v1/sse",
+      connectionTimeout: 3000
+    };
+
+    const result = convertYamlMcpToContinueMcp(sseServer);
+
+    expect(result).toEqual({
+      transport: {
+        type: "sse",
+        url: "http://localhost:8150/cosmos/mcp/v1/sse"
+      },
+      timeout: 3000
+    });
+  });
+
+  test("should convert WebSocket MCP server correctly", () => {
+    const wsServer: MCPServer = {
+      name: "Test WebSocket Server",
+      type: "websocket",
+      url: "ws://localhost:8150/cosmos/mcp/v1/ws",
+      connectionTimeout: 10000
+    };
+
+    const result = convertYamlMcpToContinueMcp(wsServer);
+
+    expect(result).toEqual({
+      transport: {
+        type: "websocket",
+        url: "ws://localhost:8150/cosmos/mcp/v1/ws"
+      },
+      timeout: 10000
+    });
+  });
+
+  test("should handle legacy MCP server format for backward compatibility", () => {
+    // Test with old format that doesn't have a type field
+    const legacyServer = {
+      name: "Legacy Server",
+      command: "old-command",
+      args: ["--legacy"],
+      connectionTimeout: 2000
+    } as any;
+
+    const result = convertYamlMcpToContinueMcp(legacyServer);
+
+    expect(result).toEqual({
+      transport: {
+        type: "stdio",
+        command: "old-command",
+        args: ["--legacy"],
+        env: undefined
+      },
+      timeout: 2000
+    });
+  });
+
+  test("should handle missing optional fields", () => {
+    const minimalServer: MCPServer = {
+      name: "Minimal Server",
+      type: "stdio",
+      command: "minimal"
+    };
+
+    const result = convertYamlMcpToContinueMcp(minimalServer);
+
+    expect(result).toEqual({
+      transport: {
+        type: "stdio",
+        command: "minimal",
+        args: [],
+        env: undefined
+      },
+      timeout: undefined
+    });
+  });
+});

core/config/yaml/loadYaml.ts

@@ -63,17 +63,42 @@ function convertYamlRuleToContinueRule(rule: Rule): RuleWithSource {
   }
 }
 
-function convertYamlMcpToContinueMcp(
+export function convertYamlMcpToContinueMcp(
   server: MCPServer,
 ): ExperimentalMCPOptions {
+  const transportConfig = (() => {
+    switch (server.type) {
+      case "stdio":
+        return {
+          type: "stdio" as const,
+          command: server.command,
+          args: server.args ?? [],
+          env: server.env,
+        };
+      case "sse":
+        return {
+          type: "sse" as const,
+          url: server.url,
+        };
+      case "websocket":
+        return {
+          type: "websocket" as const,
+          url: server.url,
+        };
+      default:
+        // Default to stdio for backward compatibility
+        return {
+          type: "stdio" as const,
+          command: (server as any).command,
+          args: (server as any).args ?? [],
+          env: (server as any).env,
+        };
+    }
+  })();
+
   return {
-    transport: {
-      type: "stdio",
-      command: server.command,
-      args: server.args ?? [],
-      env: server.env,
-    },
-    timeout: server.connectionTimeout,
+    transport: transportConfig,
+    timeout: server.connectionTimeout
   };
 }
 
@@ -245,7 +270,7 @@ async function configYamlToContinueConfig(options: {
 
   config.mcpServers?.forEach((mcpServer) => {
     const mcpArgVariables =
-      mcpServer.args?.filter((arg) => TEMPLATE_VAR_REGEX.test(arg)) ?? [];
+      (mcpServer.type === "stdio" ? mcpServer.args?.filter((arg) => TEMPLATE_VAR_REGEX.test(arg)) : []) ?? [];
 
     if (mcpArgVariables.length === 0) {
       return;
@@ -457,7 +482,6 @@ async function configYamlToContinueConfig(options: {
       id: server.name,
       name: server.name,
       transport: {
-        type: "stdio",
         args: [],
         ...server,
       },

docs/docs/customize/deep-dives/mcp.mdx

@@ -20,11 +20,15 @@ To set up your own MCP server, read the [MCP quickstart](https://modelcontextpro
   ```yaml title="config.yaml"
   mcpServers:
     - name: My MCP Server
+      type: stdio
       command: uvx
       args:
         - mcp-server-sqlite
         - --db-path
         - /Users/NAME/test.db
+    - name: My MCP Server with SSE
+      type: sse
+      url: "https://example.com/mcp-server/sse"
   ```
   </TabItem>
   <TabItem value="json" label="JSON">
@@ -38,6 +42,12 @@ To set up your own MCP server, read the [MCP quickstart](https://modelcontextpro
             "command": "uvx",
             "args": ["mcp-server-sqlite", "--db-path", "/Users/NAME/test.db"]
           }  
+        },
+        {
+          "transport": {
+            "type": "sse",
+            "url": "https://example.com/mcp-server/sse"
+          }  
         }
       ]
     }

docs/docs/reference.md

@@ -379,21 +379,33 @@ prompts, context, and tool use. Continue supports any MCP server with the MCP co
 **Properties:**
 
 - `name` (**required**): The name of the MCP server.
+- `type"` (**required**): The type of the MCP server. Can be "stdio", "sse", or "websocket".
+
+**Stdio type**
+
 - `command` (**required**): The command used to start the server.
 - `args`: An optional array of arguments for the command.
 - `env`: An optional map of environment variables for the server process.
 - `connectionTimeout`: An optional connection timeout number to the server in milliseconds.
 
+**SSE or Websocket type**
+
+- `url` (**required**): The URL of the MCP server.
+
 **Example:**
 
 ```yaml title="config.yaml"
 mcpServers:
-  - name: My MCP Server
+  - name: My MCP Server with stdio
+    type: stdio
     command: uvx
     args:
       - mcp-server-sqlite
       - --db-path
       - /Users/NAME/test.db
+  - name: My MCP Server with SSE
+    type: sse
+    url: "https://example.com/mcp-server/sse"
 ```
 
 ### `data`

packages/config-yaml/src/converter.ts

@@ -128,14 +128,48 @@ function convertCustomCommand(
 
 function convertMcp(mcp: any): NonNullable<ConfigYaml["mcpServers"]>[number] {
   const { transport } = mcp;
-  const { command, args, env, server_name } = transport;
+  const { type } = transport;
 
-  return {
-    command,
-    args,
-    env,
-    name: server_name || "MCP Server",
+  // Common properties for all server types
+  const baseServer: any = {
+    name: mcp.name,
+    type: type,
   };
+
+  if (mcp.faviconUrl) {
+    baseServer.faviconUrl = mcp.faviconUrl
+  }
+  if (mcp.connectionTimeout) {
+    baseServer.connectionTimeout = mcp.connectionTimeout
+  }
+
+  // Type-specific properties
+  switch (type) {
+    case "stdio":
+      const stdioServer = {
+        ...baseServer,
+        command: transport.command,
+      };
+
+      if (transport.args) {
+        stdioServer.args = transport.args
+      }
+      if (transport.env) {
+        stdioServer.env = transport.env
+      }
+
+      return stdioServer;
+
+    case "sse":
+    case "websocket":
+      return {
+        ...baseServer,
+        url: transport.url
+      };
+
+    default:
+      throw new Error(`Unknown MCP server type: ${type}`);
+  }
 }
 
 function convertDoc(

packages/config-yaml/src/schemas/index.ts

@@ -9,14 +9,31 @@ export const contextSchema = z.object({
   params: z.any().optional(),
 });
 
-const mcpServerSchema = z.object({
-  name: z.string(),
-  command: z.string(),
-  faviconUrl: z.string().optional(),
-  args: z.array(z.string()).optional(),
-  env: z.record(z.string()).optional(),
-  connectionTimeout: z.number().gt(0).optional()
-});
+const mcpServerSchema = z.discriminatedUnion("type", [
+  z.object({
+    name: z.string(),
+    type: z.literal("stdio"),
+    command: z.string(),
+    faviconUrl: z.string().optional(),
+    args: z.array(z.string()).optional(),
+    env: z.record(z.string()).optional(),
+    connectionTimeout: z.number().gt(0).optional()
+  }),
+  z.object({
+    name: z.string(),
+    type: z.literal("sse"),
+    url: z.string(),
+    faviconUrl: z.string().optional(),
+    connectionTimeout: z.number().gt(0).optional()
+  }),
+  z.object({
+    name: z.string(),
+    type: z.literal("websocket"),
+    url: z.string(),
+    faviconUrl: z.string().optional(),
+    connectionTimeout: z.number().gt(0).optional()
+  })
+]);
 
 export type MCPServer = z.infer<typeof mcpServerSchema>;
 
@@ -61,7 +78,17 @@ export const blockItemWrapperSchema = <T extends z.AnyZodObject>(
 export const blockOrSchema = <T extends z.AnyZodObject>(
   schema: T,
   usesSchema: z.ZodTypeAny = defaultUsesSchema,
-) => z.union([schema, blockItemWrapperSchema(schema, usesSchema)]);
+  isDiscriminatedUnion?: boolean,
+) => {
+  if (isDiscriminatedUnion) {
+    return z.union([schema, z.object({
+      uses: usesSchema,
+      with: z.record(z.string()).optional(),
+      override: z.any().optional(),
+    })]);
+  }
+  return z.union([schema, blockItemWrapperSchema(schema, usesSchema)]);
+};
 
 export const commonMetadataSchema = z.object({
   tags: z.string().optional(),
@@ -98,7 +125,7 @@ export const configYamlSchema = baseConfigYamlSchema.extend({
     .optional(),
   context: z.array(blockOrSchema(contextSchema)).optional(),
   data: z.array(blockOrSchema(dataSchema)).optional(),
-  mcpServers: z.array(blockOrSchema(mcpServerSchema)).optional(),
+  mcpServers: z.array(blockOrSchema(mcpServerSchema as any, defaultUsesSchema, true)).optional(),
   rules: z
     .array(
       z.union([
@@ -223,4 +250,4 @@ export const configSchema = z.object({
   api_key: z.string().optional(),
 });
 
-export type Config = z.infer<typeof configSchema>;
+export type Config = z.infer<typeof configSchema>;