Unable to install Dev Containers extension while connected to remote with dev tunnel

[alexweininger]

• VSCode Version: 1.96.0-insider
• Local OS Version: Chrome browser
• Remote OS Version: CBL-Mariner/Linux 2.0.20240829
• Remote Extension/Connection Type: Server

• Logs:

Steps to Reproduce:

1. Connect to a remote machine using dev tunnels
2. Try to install the Dev Containers extension

Met with error:

I am connected to a remote that should support installing this extension, why can't it be installed?

Does this issue occur when you try this locally?: No. When I connect to the remote using desktop vscode I'm able to install the extension. It seems to work fine. So maybe just an issue where vscode web doesn't allow installing it to the remote.
Does this issue occur when you try this locally and all extensions are disabled?: n/a