VS Code begat Eclipse Theia, and Theia begat Arduino IDE 2.0.
I'll definitely take that over the old one (calling that pitiful thing "IDE" was really stretching it)*.
I'm not too familiar with Theia, I hope the Eclipse Foundation will not make it as bloated and hideous as Eclipse.
* Rather, I would take it if I used Arduino (though probably I'd stay on VS Code + some extension).