diff --git a/e2e-tests/snapshots/context_manage.spec.ts_manage-context---smart-context---auto-includes-only-1.txt b/e2e-tests/snapshots/context_manage.spec.ts_manage-context---smart-context---auto-includes-only-1.txt
index e144756..32e11ab 100644
--- a/e2e-tests/snapshots/context_manage.spec.ts_manage-context---smart-context---auto-includes-only-1.txt
+++ b/e2e-tests/snapshots/context_manage.spec.ts_manage-context---smart-context---auto-includes-only-1.txt
@@ -16,7 +16,8 @@
     "stream": true,
     "thinking": {
       "type": "enabled",
-      "include_thoughts": true
+      "include_thoughts": true,
+      "budget_tokens": 4000
     },
     "dyad_options": {
       "files": [
diff --git a/e2e-tests/snapshots/context_manage.spec.ts_manage-context---smart-context-1.txt b/e2e-tests/snapshots/context_manage.spec.ts_manage-context---smart-context-1.txt
index fd5650c..e2d70f3 100644
--- a/e2e-tests/snapshots/context_manage.spec.ts_manage-context---smart-context-1.txt
+++ b/e2e-tests/snapshots/context_manage.spec.ts_manage-context---smart-context-1.txt
@@ -16,7 +16,8 @@
     "stream": true,
     "thinking": {
       "type": "enabled",
-      "include_thoughts": true
+      "include_thoughts": true,
+      "budget_tokens": 4000
     },
     "dyad_options": {
       "files": [
diff --git a/e2e-tests/snapshots/context_manage.spec.ts_manage-context---smart-context-3.txt b/e2e-tests/snapshots/context_manage.spec.ts_manage-context---smart-context-3.txt
index 74ab41b..081c964 100644
--- a/e2e-tests/snapshots/context_manage.spec.ts_manage-context---smart-context-3.txt
+++ b/e2e-tests/snapshots/context_manage.spec.ts_manage-context---smart-context-3.txt
@@ -24,7 +24,8 @@
     "stream": true,
     "thinking": {
       "type": "enabled",
-      "include_thoughts": true
+      "include_thoughts": true,
+      "budget_tokens": 4000
     },
     "dyad_options": {
       "files": [
diff --git a/e2e-tests/snapshots/context_manage.spec.ts_manage-context---smart-context-4.txt b/e2e-tests/snapshots/context_manage.spec.ts_manage-context---smart-context-4.txt
index fba0955..505c0f0 100644
--- a/e2e-tests/snapshots/context_manage.spec.ts_manage-context---smart-context-4.txt
+++ b/e2e-tests/snapshots/context_manage.spec.ts_manage-context---smart-context-4.txt
@@ -32,7 +32,8 @@
     "stream": true,
     "thinking": {
       "type": "enabled",
-      "include_thoughts": true
+      "include_thoughts": true,
+      "budget_tokens": 4000
     },
     "dyad_options": {
       "files": [
diff --git a/e2e-tests/snapshots/engine.spec.ts_regular-auto-should-send-message-to-engine-1.txt b/e2e-tests/snapshots/engine.spec.ts_regular-auto-should-send-message-to-engine-1.txt
index 4917551..797fb4b 100644
--- a/e2e-tests/snapshots/engine.spec.ts_regular-auto-should-send-message-to-engine-1.txt
+++ b/e2e-tests/snapshots/engine.spec.ts_regular-auto-should-send-message-to-engine-1.txt
@@ -16,7 +16,8 @@
     "stream": true,
     "thinking": {
       "type": "enabled",
-      "include_thoughts": true
+      "include_thoughts": true,
+      "budget_tokens": 4000
     },
     "dyad_options": {
       "files": [
diff --git a/e2e-tests/snapshots/engine.spec.ts_send-message-to-engine-1.txt b/e2e-tests/snapshots/engine.spec.ts_send-message-to-engine-1.txt
index ac2eec7..45c2062 100644
--- a/e2e-tests/snapshots/engine.spec.ts_send-message-to-engine-1.txt
+++ b/e2e-tests/snapshots/engine.spec.ts_send-message-to-engine-1.txt
@@ -16,7 +16,8 @@
     "stream": true,
     "thinking": {
       "type": "enabled",
-      "include_thoughts": true
+      "include_thoughts": true,
+      "budget_tokens": 4000
     },
     "dyad_options": {
       "files": [
diff --git a/e2e-tests/snapshots/engine.spec.ts_smart-auto-should-send-message-to-engine-1.txt b/e2e-tests/snapshots/engine.spec.ts_smart-auto-should-send-message-to-engine-1.txt
index 9b7d0a6..7b76a11 100644
--- a/e2e-tests/snapshots/engine.spec.ts_smart-auto-should-send-message-to-engine-1.txt
+++ b/e2e-tests/snapshots/engine.spec.ts_smart-auto-should-send-message-to-engine-1.txt
@@ -16,7 +16,8 @@
     "stream": true,
     "thinking": {
       "type": "enabled",
-      "include_thoughts": true
+      "include_thoughts": true,
+      "budget_tokens": 4000
     },
     "dyad_options": {
       "files": [
diff --git a/e2e-tests/snapshots/thinking_budget.spec.ts_thinking-budget-1.txt b/e2e-tests/snapshots/thinking_budget.spec.ts_thinking-budget-1.txt
new file mode 100644
index 0000000..1b01e1d
--- /dev/null
+++ b/e2e-tests/snapshots/thinking_budget.spec.ts_thinking-budget-1.txt
@@ -0,0 +1,25 @@
+{
+  "selectedModel": {
+    "name": "gemini-2.5-pro",
+    "provider": "google"
+  },
+  "providerSettings": {
+    "auto": {
+      "apiKey": {
+        "value": "testdyadkey",
+        "encryptionType": "plaintext"
+      }
+    }
+  },
+  "telemetryConsent": "unset",
+  "telemetryUserId": "[UUID]",
+  "hasRunBefore": true,
+  "enableDyadPro": true,
+  "experiments": {},
+  "lastShownReleaseNotesVersion": "[scrubbed]",
+  "thinkingBudget": "low",
+  "enableProLazyEditsMode": true,
+  "enableProSmartFilesContextMode": true,
+  "selectedChatMode": "build",
+  "isTestMode": true
+}
\ No newline at end of file
diff --git a/e2e-tests/snapshots/thinking_budget.spec.ts_thinking-budget-2.txt b/e2e-tests/snapshots/thinking_budget.spec.ts_thinking-budget-2.txt
new file mode 100644
index 0000000..1b01573
--- /dev/null
+++ b/e2e-tests/snapshots/thinking_budget.spec.ts_thinking-budget-2.txt
@@ -0,0 +1,385 @@
+{
+  "body": {
+    "model": "gemini/gemini-2.5-pro",
+    "max_tokens": 65535,
+    "temperature": 0,
+    "messages": [
+      {
+        "role": "system",
+        "content": "[[SYSTEM_MESSAGE]]"
+      },
+      {
+        "role": "user",
+        "content": "tc=1"
+      },
+      {
+        "role": "assistant",
+        "content": "Error: Test case file not found: 1.md"
+      },
+      {
+        "role": "user",
+        "content": "[dump] hi"
+      }
+    ],
+    "stream": true,
+    "thinking": {
+      "type": "enabled",
+      "include_thoughts": true,
+      "budget_tokens": 1000
+    },
+    "dyad_options": {
+      "files": [
+        {
+          "path": "AI_RULES.md",
+          "content": "# Tech Stack\n\n- You are building a React application.\n- Use TypeScript.\n- Use React Router. KEEP the routes in src/App.tsx\n- Always put source code in the src folder.\n- Put pages into src/pages/\n- Put components into src/components/\n- The main page (default page) is src/pages/Index.tsx\n- UPDATE the main page to include the new components. OTHERWISE, the user can NOT see any components!\n- ALWAYS try to use the shadcn/ui library.\n- Tailwind CSS: always use Tailwind CSS for styling components. Utilize Tailwind classes extensively for layout, spacing, colors, and other design aspects.\n\nAvailable packages and libraries:\n\n- The lucide-react package is installed for icons.\n- You ALREADY have ALL the shadcn/ui components and their dependencies installed. So you don't need to install them again.\n- You have ALL the necessary Radix UI components installed.\n- Use prebuilt components from the shadcn/ui library after importing them. Note that these files shouldn't be edited, so make new components if you need to change them.\n",
+          "force": false
+        },
+        {
+          "path": "eslint.config.js",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "index.html",
+          "content": "<!doctype html>\n<html lang=\"en\">\n  <head>\n    <meta charset=\"UTF-8\" />\n    <meta name=\"viewport\" content=\"width=device-width, initial-scale=1.0\" />\n    <title>dyad-generated-app</title>\n  </head>\n\n  <body>\n    <div id=\"root\"></div>\n    <script type=\"module\" src=\"/src/main.tsx\"></script>\n  </body>\n</html>\n",
+          "force": false
+        },
+        {
+          "path": "package.json",
+          "content": "{\n  \"dependencies\": {\n    \"@hookform/resolvers\": \"^3.9.0\",\n    \"@radix-ui/react-accordion\": \"^1.2.0\",\n    \"@radix-ui/react-alert-dialog\": \"^1.1.1\",\n    \"@radix-ui/react-aspect-ratio\": \"^1.1.0\",\n    \"@radix-ui/react-avatar\": \"^1.1.0\",\n    \"@radix-ui/react-checkbox\": \"^1.1.1\",\n    \"@radix-ui/react-collapsible\": \"^1.1.0\",\n    \"@radix-ui/react-context-menu\": \"^2.2.1\",\n    \"@radix-ui/react-dialog\": \"^1.1.2\",\n    \"@radix-ui/react-dropdown-menu\": \"^2.1.1\",\n    \"@radix-ui/react-hover-card\": \"^1.1.1\",\n    \"@radix-ui/react-label\": \"^2.1.0\",\n    \"@radix-ui/react-menubar\": \"^1.1.1\",\n    \"@radix-ui/react-navigation-menu\": \"^1.2.0\",\n    \"@radix-ui/react-popover\": \"^1.1.1\",\n    \"@radix-ui/react-progress\": \"^1.1.0\",\n    \"@radix-ui/react-radio-group\": \"^1.2.0\",\n    \"@radix-ui/react-scroll-area\": \"^1.1.0\",\n    \"@radix-ui/react-select\": \"^2.1.1\",\n    \"@radix-ui/react-separator\": \"^1.1.0\",\n    \"@radix-ui/react-slider\": \"^1.2.0\",\n    \"@radix-ui/react-slot\": \"^1.1.0\",\n    \"@radix-ui/react-switch\": \"^1.1.0\",\n    \"@radix-ui/react-tabs\": \"^1.1.0\",\n    \"@radix-ui/react-toast\": \"^1.2.1\",\n    \"@radix-ui/react-toggle\": \"^1.1.0\",\n    \"@radix-ui/react-toggle-group\": \"^1.1.0\",\n    \"@radix-ui/react-tooltip\": \"^1.1.4\",\n    \"@tanstack/react-query\": \"^5.56.2\",\n    \"class-variance-authority\": \"^0.7.1\",\n    \"clsx\": \"^2.1.1\",\n    \"cmdk\": \"^1.0.0\",\n    \"date-fns\": \"^3.6.0\",\n    \"embla-carousel-react\": \"^8.3.0\",\n    \"input-otp\": \"^1.2.4\",\n    \"lucide-react\": \"^0.462.0\",\n    \"next-themes\": \"^0.3.0\",\n    \"react\": \"^18.3.1\",\n    \"react-day-picker\": \"^8.10.1\",\n    \"react-dom\": \"^18.3.1\",\n    \"react-hook-form\": \"^7.53.0\",\n    \"react-resizable-panels\": \"^2.1.3\",\n    \"react-router-dom\": \"^6.26.2\",\n    \"recharts\": \"^2.12.7\",\n    \"sonner\": \"^1.5.0\",\n    \"tailwind-merge\": \"^2.5.2\",\n    \"tailwindcss-animate\": \"^1.0.7\",\n    \"vaul\": \"^0.9.3\",\n    \"zod\": \"^3.23.8\"\n  },\n  \"devDependencies\": {\n    \"@dyad-sh/react-vite-component-tagger\": \"^0.8.0\",\n    \"@eslint/js\": \"^9.9.0\",\n    \"@tailwindcss/typography\": \"^0.5.15\",\n    \"@types/node\": \"^22.5.5\",\n    \"@types/react\": \"^18.3.3\",\n    \"@types/react-dom\": \"^18.3.0\",\n    \"@vitejs/plugin-react-swc\": \"^3.9.0\",\n    \"autoprefixer\": \"^10.4.20\",\n    \"eslint\": \"^9.9.0\",\n    \"eslint-plugin-react-hooks\": \"^5.1.0-rc.0\",\n    \"eslint-plugin-react-refresh\": \"^0.4.9\",\n    \"globals\": \"^15.9.0\",\n    \"postcss\": \"^8.4.47\",\n    \"tailwindcss\": \"^3.4.11\",\n    \"typescript\": \"^5.5.3\",\n    \"typescript-eslint\": \"^8.0.1\",\n    \"vite\": \"^6.3.4\"\n  }\n}",
+          "force": false
+        },
+        {
+          "path": "postcss.config.js",
+          "content": "export default {\n  plugins: {\n    tailwindcss: {},\n    autoprefixer: {},\n  },\n};\n",
+          "force": false
+        },
+        {
+          "path": "README.md",
+          "content": "# Welcome to your Dyad app\n",
+          "force": false
+        },
+        {
+          "path": "src/App.css",
+          "content": "#root {\n  max-width: 1280px;\n  margin: 0 auto;\n  padding: 2rem;\n  text-align: center;\n}\n\n.logo {\n  height: 6em;\n  padding: 1.5em;\n  will-change: filter;\n  transition: filter 300ms;\n}\n.logo:hover {\n  filter: drop-shadow(0 0 2em #646cffaa);\n}\n.logo.react:hover {\n  filter: drop-shadow(0 0 2em #61dafbaa);\n}\n\n@keyframes logo-spin {\n  from {\n    transform: rotate(0deg);\n  }\n  to {\n    transform: rotate(360deg);\n  }\n}\n\n@media (prefers-reduced-motion: no-preference) {\n  a:nth-of-type(2) .logo {\n    animation: logo-spin infinite 20s linear;\n  }\n}\n\n.card {\n  padding: 2em;\n}\n\n.read-the-docs {\n  color: #888;\n}\n",
+          "force": false
+        },
+        {
+          "path": "src/App.tsx",
+          "content": "import { Toaster } from \"@/components/ui/toaster\";\nimport { Toaster as Sonner } from \"@/components/ui/sonner\";\nimport { TooltipProvider } from \"@/components/ui/tooltip\";\nimport { QueryClient, QueryClientProvider } from \"@tanstack/react-query\";\nimport { BrowserRouter, Routes, Route } from \"react-router-dom\";\nimport Index from \"./pages/Index\";\nimport NotFound from \"./pages/NotFound\";\n\nconst queryClient = new QueryClient();\n\nconst App = () => (\n  <QueryClientProvider client={queryClient}>\n    <TooltipProvider>\n      <Toaster />\n      <Sonner />\n      <BrowserRouter>\n        <Routes>\n          <Route path=\"/\" element={<Index />} />\n          {/* ADD ALL CUSTOM ROUTES ABOVE THE CATCH-ALL \"*\" ROUTE */}\n          <Route path=\"*\" element={<NotFound />} />\n        </Routes>\n      </BrowserRouter>\n    </TooltipProvider>\n  </QueryClientProvider>\n);\n\nexport default App;\n",
+          "force": false
+        },
+        {
+          "path": "src/components/made-with-dyad.tsx",
+          "content": "export const MadeWithDyad = () => {\n  return (\n    <div className=\"p-4 text-center\">\n      <a\n        href=\"https://www.dyad.sh/\"\n        target=\"_blank\"\n        rel=\"noopener noreferrer\"\n        className=\"text-sm text-gray-500 hover:text-gray-700 dark:text-gray-400 dark:hover:text-gray-200\"\n      >\n        Made with Dyad\n      </a>\n    </div>\n  );\n};\n",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/accordion.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/alert-dialog.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/alert.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/aspect-ratio.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/avatar.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/badge.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/breadcrumb.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/button.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/calendar.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/card.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/carousel.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/chart.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/checkbox.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/collapsible.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/command.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/context-menu.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/dialog.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/drawer.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/dropdown-menu.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/form.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/hover-card.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/input-otp.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/input.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/label.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/menubar.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/navigation-menu.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/pagination.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/popover.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/progress.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/radio-group.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/resizable.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/scroll-area.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/select.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/separator.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/sheet.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/sidebar.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/skeleton.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/slider.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/sonner.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/switch.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/table.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/tabs.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/textarea.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/toast.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/toaster.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/toggle-group.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/toggle.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/tooltip.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/use-toast.ts",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/globals.css",
+          "content": "@tailwind base;\n@tailwind components;\n@tailwind utilities;\n\n@layer base {\n  :root {\n    --background: 0 0% 100%;\n    --foreground: 222.2 84% 4.9%;\n\n    --card: 0 0% 100%;\n    --card-foreground: 222.2 84% 4.9%;\n\n    --popover: 0 0% 100%;\n    --popover-foreground: 222.2 84% 4.9%;\n\n    --primary: 222.2 47.4% 11.2%;\n    --primary-foreground: 210 40% 98%;\n\n    --secondary: 210 40% 96.1%;\n    --secondary-foreground: 222.2 47.4% 11.2%;\n\n    --muted: 210 40% 96.1%;\n    --muted-foreground: 215.4 16.3% 46.9%;\n\n    --accent: 210 40% 96.1%;\n    --accent-foreground: 222.2 47.4% 11.2%;\n\n    --destructive: 0 84.2% 60.2%;\n    --destructive-foreground: 210 40% 98%;\n\n    --border: 214.3 31.8% 91.4%;\n    --input: 214.3 31.8% 91.4%;\n    --ring: 222.2 84% 4.9%;\n\n    --radius: 0.5rem;\n\n    --sidebar-background: 0 0% 98%;\n\n    --sidebar-foreground: 240 5.3% 26.1%;\n\n    --sidebar-primary: 240 5.9% 10%;\n\n    --sidebar-primary-foreground: 0 0% 98%;\n\n    --sidebar-accent: 240 4.8% 95.9%;\n\n    --sidebar-accent-foreground: 240 5.9% 10%;\n\n    --sidebar-border: 220 13% 91%;\n\n    --sidebar-ring: 217.2 91.2% 59.8%;\n  }\n\n  .dark {\n    --background: 222.2 84% 4.9%;\n    --foreground: 210 40% 98%;\n\n    --card: 222.2 84% 4.9%;\n    --card-foreground: 210 40% 98%;\n\n    --popover: 222.2 84% 4.9%;\n    --popover-foreground: 210 40% 98%;\n\n    --primary: 210 40% 98%;\n    --primary-foreground: 222.2 47.4% 11.2%;\n\n    --secondary: 217.2 32.6% 17.5%;\n    --secondary-foreground: 210 40% 98%;\n\n    --muted: 217.2 32.6% 17.5%;\n    --muted-foreground: 215 20.2% 65.1%;\n\n    --accent: 217.2 32.6% 17.5%;\n    --accent-foreground: 210 40% 98%;\n\n    --destructive: 0 62.8% 30.6%;\n    --destructive-foreground: 210 40% 98%;\n\n    --border: 217.2 32.6% 17.5%;\n    --input: 217.2 32.6% 17.5%;\n    --ring: 212.7 26.8% 83.9%;\n    --sidebar-background: 240 5.9% 10%;\n    --sidebar-foreground: 240 4.8% 95.9%;\n    --sidebar-primary: 224.3 76.3% 48%;\n    --sidebar-primary-foreground: 0 0% 100%;\n    --sidebar-accent: 240 3.7% 15.9%;\n    --sidebar-accent-foreground: 240 4.8% 95.9%;\n    --sidebar-border: 240 3.7% 15.9%;\n    --sidebar-ring: 217.2 91.2% 59.8%;\n  }\n}\n\n@layer base {\n  * {\n    @apply border-border;\n  }\n\n  body {\n    @apply bg-background text-foreground;\n  }\n}\n",
+          "force": false
+        },
+        {
+          "path": "src/hooks/use-mobile.tsx",
+          "content": "import * as React from \"react\";\n\nconst MOBILE_BREAKPOINT = 768;\n\nexport function useIsMobile() {\n  const [isMobile, setIsMobile] = React.useState<boolean | undefined>(\n    undefined,\n  );\n\n  React.useEffect(() => {\n    const mql = window.matchMedia(`(max-width: ${MOBILE_BREAKPOINT - 1}px)`);\n    const onChange = () => {\n      setIsMobile(window.innerWidth < MOBILE_BREAKPOINT);\n    };\n    mql.addEventListener(\"change\", onChange);\n    setIsMobile(window.innerWidth < MOBILE_BREAKPOINT);\n    return () => mql.removeEventListener(\"change\", onChange);\n  }, []);\n\n  return !!isMobile;\n}\n",
+          "force": false
+        },
+        {
+          "path": "src/hooks/use-toast.ts",
+          "content": "import * as React from \"react\";\n\nimport type { ToastActionElement, ToastProps } from \"@/components/ui/toast\";\n\nconst TOAST_LIMIT = 1;\nconst TOAST_REMOVE_DELAY = 1000000;\n\ntype ToasterToast = ToastProps & {\n  id: string;\n  title?: React.ReactNode;\n  description?: React.ReactNode;\n  action?: ToastActionElement;\n};\n\nconst _actionTypes = {\n  ADD_TOAST: \"ADD_TOAST\",\n  UPDATE_TOAST: \"UPDATE_TOAST\",\n  DISMISS_TOAST: \"DISMISS_TOAST\",\n  REMOVE_TOAST: \"REMOVE_TOAST\",\n} as const;\n\nlet count = 0;\n\nfunction genId() {\n  count = (count + 1) % Number.MAX_SAFE_INTEGER;\n  return count.toString();\n}\n\ntype ActionType = typeof _actionTypes;\n\ntype Action =\n  | {\n      type: ActionType[\"ADD_TOAST\"];\n      toast: ToasterToast;\n    }\n  | {\n      type: ActionType[\"UPDATE_TOAST\"];\n      toast: Partial<ToasterToast>;\n    }\n  | {\n      type: ActionType[\"DISMISS_TOAST\"];\n      toastId?: ToasterToast[\"id\"];\n    }\n  | {\n      type: ActionType[\"REMOVE_TOAST\"];\n      toastId?: ToasterToast[\"id\"];\n    };\n\ninterface State {\n  toasts: ToasterToast[];\n}\n\nconst toastTimeouts = new Map<string, ReturnType<typeof setTimeout>>();\n\nconst addToRemoveQueue = (toastId: string) => {\n  if (toastTimeouts.has(toastId)) {\n    return;\n  }\n\n  const timeout = setTimeout(() => {\n    toastTimeouts.delete(toastId);\n    dispatch({\n      type: \"REMOVE_TOAST\",\n      toastId: toastId,\n    });\n  }, TOAST_REMOVE_DELAY);\n\n  toastTimeouts.set(toastId, timeout);\n};\n\nexport const reducer = (state: State, action: Action): State => {\n  switch (action.type) {\n    case \"ADD_TOAST\":\n      return {\n        ...state,\n        toasts: [action.toast, ...state.toasts].slice(0, TOAST_LIMIT),\n      };\n\n    case \"UPDATE_TOAST\":\n      return {\n        ...state,\n        toasts: state.toasts.map((t) =>\n          t.id === action.toast.id ? { ...t, ...action.toast } : t,\n        ),\n      };\n\n    case \"DISMISS_TOAST\": {\n      const { toastId } = action;\n\n      // ! Side effects ! - This could be extracted into a dismissToast() action,\n      // but I'll keep it here for simplicity\n      if (toastId) {\n        addToRemoveQueue(toastId);\n      } else {\n        state.toasts.forEach((toast) => {\n          addToRemoveQueue(toast.id);\n        });\n      }\n\n      return {\n        ...state,\n        toasts: state.toasts.map((t) =>\n          t.id === toastId || toastId === undefined\n            ? {\n                ...t,\n                open: false,\n              }\n            : t,\n        ),\n      };\n    }\n    case \"REMOVE_TOAST\":\n      if (action.toastId === undefined) {\n        return {\n          ...state,\n          toasts: [],\n        };\n      }\n      return {\n        ...state,\n        toasts: state.toasts.filter((t) => t.id !== action.toastId),\n      };\n  }\n};\n\nconst listeners: Array<(state: State) => void> = [];\n\nlet memoryState: State = { toasts: [] };\n\nfunction dispatch(action: Action) {\n  memoryState = reducer(memoryState, action);\n  listeners.forEach((listener) => {\n    listener(memoryState);\n  });\n}\n\ntype Toast = Omit<ToasterToast, \"id\">;\n\nfunction toast({ ...props }: Toast) {\n  const id = genId();\n\n  const update = (props: ToasterToast) =>\n    dispatch({\n      type: \"UPDATE_TOAST\",\n      toast: { ...props, id },\n    });\n  const dismiss = () => dispatch({ type: \"DISMISS_TOAST\", toastId: id });\n\n  dispatch({\n    type: \"ADD_TOAST\",\n    toast: {\n      ...props,\n      id,\n      open: true,\n      onOpenChange: (open) => {\n        if (!open) dismiss();\n      },\n    },\n  });\n\n  return {\n    id: id,\n    dismiss,\n    update,\n  };\n}\n\nfunction useToast() {\n  const [state, setState] = React.useState<State>(memoryState);\n\n  React.useEffect(() => {\n    listeners.push(setState);\n    return () => {\n      const index = listeners.indexOf(setState);\n      if (index > -1) {\n        listeners.splice(index, 1);\n      }\n    };\n  }, [state]);\n\n  return {\n    ...state,\n    toast,\n    dismiss: (toastId?: string) => dispatch({ type: \"DISMISS_TOAST\", toastId }),\n  };\n}\n\nexport { useToast, toast };\n",
+          "force": false
+        },
+        {
+          "path": "src/lib/utils.ts",
+          "content": "import { clsx, type ClassValue } from \"clsx\";\nimport { twMerge } from \"tailwind-merge\";\n\nexport function cn(...inputs: ClassValue[]) {\n  return twMerge(clsx(inputs));\n}\n",
+          "force": false
+        },
+        {
+          "path": "src/main.tsx",
+          "content": "import { createRoot } from \"react-dom/client\";\nimport App from \"./App.tsx\";\nimport \"./globals.css\";\n\ncreateRoot(document.getElementById(\"root\")!).render(<App />);\n",
+          "force": false
+        },
+        {
+          "path": "src/pages/Index.tsx",
+          "content": "// Update this page (the content is just a fallback if you fail to update the page)\n\nimport { MadeWithDyad } from \"@/components/made-with-dyad\";\n\nconst Index = () => {\n  return (\n    <div className=\"min-h-screen flex items-center justify-center bg-gray-100\">\n      <div className=\"text-center\">\n        <h1 className=\"text-4xl font-bold mb-4\">Welcome to Your Blank App</h1>\n        <p className=\"text-xl text-gray-600\">\n          Start building your amazing project here!\n        </p>\n      </div>\n      <MadeWithDyad />\n    </div>\n  );\n};\n\nexport default Index;\n",
+          "force": false
+        },
+        {
+          "path": "src/pages/NotFound.tsx",
+          "content": "import { useLocation } from \"react-router-dom\";\nimport { useEffect } from \"react\";\n\nconst NotFound = () => {\n  const location = useLocation();\n\n  useEffect(() => {\n    console.error(\n      \"404 Error: User attempted to access non-existent route:\",\n      location.pathname,\n    );\n  }, [location.pathname]);\n\n  return (\n    <div className=\"min-h-screen flex items-center justify-center bg-gray-100\">\n      <div className=\"text-center\">\n        <h1 className=\"text-4xl font-bold mb-4\">404</h1>\n        <p className=\"text-xl text-gray-600 mb-4\">Oops! Page not found</p>\n        <a href=\"/\" className=\"text-blue-500 hover:text-blue-700 underline\">\n          Return to Home\n        </a>\n      </div>\n    </div>\n  );\n};\n\nexport default NotFound;\n",
+          "force": false
+        },
+        {
+          "path": "src/utils/toast.ts",
+          "content": "import { toast } from \"sonner\";\n\nexport const showSuccess = (message: string) => {\n  toast.success(message);\n};\n\nexport const showError = (message: string) => {\n  toast.error(message);\n};\n\nexport const showLoading = (message: string) => {\n  return toast.loading(message);\n};\n\nexport const dismissToast = (toastId: string) => {\n  toast.dismiss(toastId);\n};\n",
+          "force": false
+        },
+        {
+          "path": "src/vite-env.d.ts",
+          "content": "/// <reference types=\"vite/client\" />\n",
+          "force": false
+        },
+        {
+          "path": "tailwind.config.ts",
+          "content": "import type { Config } from \"tailwindcss\";\n\nexport default {\n  darkMode: [\"class\"],\n  content: [\n    \"./pages/**/*.{ts,tsx}\",\n    \"./components/**/*.{ts,tsx}\",\n    \"./app/**/*.{ts,tsx}\",\n    \"./src/**/*.{ts,tsx}\",\n  ],\n  prefix: \"\",\n  theme: {\n    container: {\n      center: true,\n      padding: \"2rem\",\n      screens: {\n        \"2xl\": \"1400px\",\n      },\n    },\n    extend: {\n      colors: {\n        border: \"hsl(var(--border))\",\n        input: \"hsl(var(--input))\",\n        ring: \"hsl(var(--ring))\",\n        background: \"hsl(var(--background))\",\n        foreground: \"hsl(var(--foreground))\",\n        primary: {\n          DEFAULT: \"hsl(var(--primary))\",\n          foreground: \"hsl(var(--primary-foreground))\",\n        },\n        secondary: {\n          DEFAULT: \"hsl(var(--secondary))\",\n          foreground: \"hsl(var(--secondary-foreground))\",\n        },\n        destructive: {\n          DEFAULT: \"hsl(var(--destructive))\",\n          foreground: \"hsl(var(--destructive-foreground))\",\n        },\n        muted: {\n          DEFAULT: \"hsl(var(--muted))\",\n          foreground: \"hsl(var(--muted-foreground))\",\n        },\n        accent: {\n          DEFAULT: \"hsl(var(--accent))\",\n          foreground: \"hsl(var(--accent-foreground))\",\n        },\n        popover: {\n          DEFAULT: \"hsl(var(--popover))\",\n          foreground: \"hsl(var(--popover-foreground))\",\n        },\n        card: {\n          DEFAULT: \"hsl(var(--card))\",\n          foreground: \"hsl(var(--card-foreground))\",\n        },\n        sidebar: {\n          DEFAULT: \"hsl(var(--sidebar-background))\",\n          foreground: \"hsl(var(--sidebar-foreground))\",\n          primary: \"hsl(var(--sidebar-primary))\",\n          \"primary-foreground\": \"hsl(var(--sidebar-primary-foreground))\",\n          accent: \"hsl(var(--sidebar-accent))\",\n          \"accent-foreground\": \"hsl(var(--sidebar-accent-foreground))\",\n          border: \"hsl(var(--sidebar-border))\",\n          ring: \"hsl(var(--sidebar-ring))\",\n        },\n      },\n      borderRadius: {\n        lg: \"var(--radius)\",\n        md: \"calc(var(--radius) - 2px)\",\n        sm: \"calc(var(--radius) - 4px)\",\n      },\n      keyframes: {\n        \"accordion-down\": {\n          from: {\n            height: \"0\",\n          },\n          to: {\n            height: \"var(--radix-accordion-content-height)\",\n          },\n        },\n        \"accordion-up\": {\n          from: {\n            height: \"var(--radix-accordion-content-height)\",\n          },\n          to: {\n            height: \"0\",\n          },\n        },\n      },\n      animation: {\n        \"accordion-down\": \"accordion-down 0.2s ease-out\",\n        \"accordion-up\": \"accordion-up 0.2s ease-out\",\n      },\n    },\n  },\n  plugins: [require(\"tailwindcss-animate\")],\n} satisfies Config;\n",
+          "force": false
+        },
+        {
+          "path": "vite.config.ts",
+          "content": "import { defineConfig } from \"vite\";\nimport dyadComponentTagger from \"@dyad-sh/react-vite-component-tagger\";\nimport react from \"@vitejs/plugin-react-swc\";\nimport path from \"path\";\n\nexport default defineConfig(() => ({\n  server: {\n    host: \"::\",\n    port: 8080,\n  },\n  plugins: [dyadComponentTagger(), react()],\n  resolve: {\n    alias: {\n      \"@\": path.resolve(__dirname, \"./src\"),\n    },\n  },\n}));\n",
+          "force": false
+        }
+      ],
+      "enable_lazy_edits": true,
+      "enable_smart_files_context": true
+    }
+  },
+  "headers": {
+    "authorization": "Bearer testdyadkey"
+  }
+}
\ No newline at end of file
diff --git a/e2e-tests/snapshots/thinking_budget.spec.ts_thinking-budget-3.txt b/e2e-tests/snapshots/thinking_budget.spec.ts_thinking-budget-3.txt
new file mode 100644
index 0000000..16ea61d
--- /dev/null
+++ b/e2e-tests/snapshots/thinking_budget.spec.ts_thinking-budget-3.txt
@@ -0,0 +1,25 @@
+{
+  "selectedModel": {
+    "name": "gemini-2.5-pro",
+    "provider": "google"
+  },
+  "providerSettings": {
+    "auto": {
+      "apiKey": {
+        "value": "testdyadkey",
+        "encryptionType": "plaintext"
+      }
+    }
+  },
+  "telemetryConsent": "unset",
+  "telemetryUserId": "[UUID]",
+  "hasRunBefore": true,
+  "enableDyadPro": true,
+  "experiments": {},
+  "lastShownReleaseNotesVersion": "[scrubbed]",
+  "thinkingBudget": "medium",
+  "enableProLazyEditsMode": true,
+  "enableProSmartFilesContextMode": true,
+  "selectedChatMode": "build",
+  "isTestMode": true
+}
\ No newline at end of file
diff --git a/e2e-tests/snapshots/thinking_budget.spec.ts_thinking-budget-4.txt b/e2e-tests/snapshots/thinking_budget.spec.ts_thinking-budget-4.txt
new file mode 100644
index 0000000..a9bd207
--- /dev/null
+++ b/e2e-tests/snapshots/thinking_budget.spec.ts_thinking-budget-4.txt
@@ -0,0 +1,393 @@
+{
+  "body": {
+    "model": "gemini/gemini-2.5-pro",
+    "max_tokens": 65535,
+    "temperature": 0,
+    "messages": [
+      {
+        "role": "system",
+        "content": "[[SYSTEM_MESSAGE]]"
+      },
+      {
+        "role": "user",
+        "content": "tc=1"
+      },
+      {
+        "role": "assistant",
+        "content": "Error: Test case file not found: 1.md"
+      },
+      {
+        "role": "user",
+        "content": "[dump] hi"
+      },
+      {
+        "role": "assistant",
+        "content": "[[dyad-dump-path=*]]"
+      },
+      {
+        "role": "user",
+        "content": "[dump] hi"
+      }
+    ],
+    "stream": true,
+    "thinking": {
+      "type": "enabled",
+      "include_thoughts": true,
+      "budget_tokens": 4000
+    },
+    "dyad_options": {
+      "files": [
+        {
+          "path": "AI_RULES.md",
+          "content": "# Tech Stack\n\n- You are building a React application.\n- Use TypeScript.\n- Use React Router. KEEP the routes in src/App.tsx\n- Always put source code in the src folder.\n- Put pages into src/pages/\n- Put components into src/components/\n- The main page (default page) is src/pages/Index.tsx\n- UPDATE the main page to include the new components. OTHERWISE, the user can NOT see any components!\n- ALWAYS try to use the shadcn/ui library.\n- Tailwind CSS: always use Tailwind CSS for styling components. Utilize Tailwind classes extensively for layout, spacing, colors, and other design aspects.\n\nAvailable packages and libraries:\n\n- The lucide-react package is installed for icons.\n- You ALREADY have ALL the shadcn/ui components and their dependencies installed. So you don't need to install them again.\n- You have ALL the necessary Radix UI components installed.\n- Use prebuilt components from the shadcn/ui library after importing them. Note that these files shouldn't be edited, so make new components if you need to change them.\n",
+          "force": false
+        },
+        {
+          "path": "eslint.config.js",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "index.html",
+          "content": "<!doctype html>\n<html lang=\"en\">\n  <head>\n    <meta charset=\"UTF-8\" />\n    <meta name=\"viewport\" content=\"width=device-width, initial-scale=1.0\" />\n    <title>dyad-generated-app</title>\n  </head>\n\n  <body>\n    <div id=\"root\"></div>\n    <script type=\"module\" src=\"/src/main.tsx\"></script>\n  </body>\n</html>\n",
+          "force": false
+        },
+        {
+          "path": "package.json",
+          "content": "{\n  \"dependencies\": {\n    \"@hookform/resolvers\": \"^3.9.0\",\n    \"@radix-ui/react-accordion\": \"^1.2.0\",\n    \"@radix-ui/react-alert-dialog\": \"^1.1.1\",\n    \"@radix-ui/react-aspect-ratio\": \"^1.1.0\",\n    \"@radix-ui/react-avatar\": \"^1.1.0\",\n    \"@radix-ui/react-checkbox\": \"^1.1.1\",\n    \"@radix-ui/react-collapsible\": \"^1.1.0\",\n    \"@radix-ui/react-context-menu\": \"^2.2.1\",\n    \"@radix-ui/react-dialog\": \"^1.1.2\",\n    \"@radix-ui/react-dropdown-menu\": \"^2.1.1\",\n    \"@radix-ui/react-hover-card\": \"^1.1.1\",\n    \"@radix-ui/react-label\": \"^2.1.0\",\n    \"@radix-ui/react-menubar\": \"^1.1.1\",\n    \"@radix-ui/react-navigation-menu\": \"^1.2.0\",\n    \"@radix-ui/react-popover\": \"^1.1.1\",\n    \"@radix-ui/react-progress\": \"^1.1.0\",\n    \"@radix-ui/react-radio-group\": \"^1.2.0\",\n    \"@radix-ui/react-scroll-area\": \"^1.1.0\",\n    \"@radix-ui/react-select\": \"^2.1.1\",\n    \"@radix-ui/react-separator\": \"^1.1.0\",\n    \"@radix-ui/react-slider\": \"^1.2.0\",\n    \"@radix-ui/react-slot\": \"^1.1.0\",\n    \"@radix-ui/react-switch\": \"^1.1.0\",\n    \"@radix-ui/react-tabs\": \"^1.1.0\",\n    \"@radix-ui/react-toast\": \"^1.2.1\",\n    \"@radix-ui/react-toggle\": \"^1.1.0\",\n    \"@radix-ui/react-toggle-group\": \"^1.1.0\",\n    \"@radix-ui/react-tooltip\": \"^1.1.4\",\n    \"@tanstack/react-query\": \"^5.56.2\",\n    \"class-variance-authority\": \"^0.7.1\",\n    \"clsx\": \"^2.1.1\",\n    \"cmdk\": \"^1.0.0\",\n    \"date-fns\": \"^3.6.0\",\n    \"embla-carousel-react\": \"^8.3.0\",\n    \"input-otp\": \"^1.2.4\",\n    \"lucide-react\": \"^0.462.0\",\n    \"next-themes\": \"^0.3.0\",\n    \"react\": \"^18.3.1\",\n    \"react-day-picker\": \"^8.10.1\",\n    \"react-dom\": \"^18.3.1\",\n    \"react-hook-form\": \"^7.53.0\",\n    \"react-resizable-panels\": \"^2.1.3\",\n    \"react-router-dom\": \"^6.26.2\",\n    \"recharts\": \"^2.12.7\",\n    \"sonner\": \"^1.5.0\",\n    \"tailwind-merge\": \"^2.5.2\",\n    \"tailwindcss-animate\": \"^1.0.7\",\n    \"vaul\": \"^0.9.3\",\n    \"zod\": \"^3.23.8\"\n  },\n  \"devDependencies\": {\n    \"@dyad-sh/react-vite-component-tagger\": \"^0.8.0\",\n    \"@eslint/js\": \"^9.9.0\",\n    \"@tailwindcss/typography\": \"^0.5.15\",\n    \"@types/node\": \"^22.5.5\",\n    \"@types/react\": \"^18.3.3\",\n    \"@types/react-dom\": \"^18.3.0\",\n    \"@vitejs/plugin-react-swc\": \"^3.9.0\",\n    \"autoprefixer\": \"^10.4.20\",\n    \"eslint\": \"^9.9.0\",\n    \"eslint-plugin-react-hooks\": \"^5.1.0-rc.0\",\n    \"eslint-plugin-react-refresh\": \"^0.4.9\",\n    \"globals\": \"^15.9.0\",\n    \"postcss\": \"^8.4.47\",\n    \"tailwindcss\": \"^3.4.11\",\n    \"typescript\": \"^5.5.3\",\n    \"typescript-eslint\": \"^8.0.1\",\n    \"vite\": \"^6.3.4\"\n  }\n}",
+          "force": false
+        },
+        {
+          "path": "postcss.config.js",
+          "content": "export default {\n  plugins: {\n    tailwindcss: {},\n    autoprefixer: {},\n  },\n};\n",
+          "force": false
+        },
+        {
+          "path": "README.md",
+          "content": "# Welcome to your Dyad app\n",
+          "force": false
+        },
+        {
+          "path": "src/App.css",
+          "content": "#root {\n  max-width: 1280px;\n  margin: 0 auto;\n  padding: 2rem;\n  text-align: center;\n}\n\n.logo {\n  height: 6em;\n  padding: 1.5em;\n  will-change: filter;\n  transition: filter 300ms;\n}\n.logo:hover {\n  filter: drop-shadow(0 0 2em #646cffaa);\n}\n.logo.react:hover {\n  filter: drop-shadow(0 0 2em #61dafbaa);\n}\n\n@keyframes logo-spin {\n  from {\n    transform: rotate(0deg);\n  }\n  to {\n    transform: rotate(360deg);\n  }\n}\n\n@media (prefers-reduced-motion: no-preference) {\n  a:nth-of-type(2) .logo {\n    animation: logo-spin infinite 20s linear;\n  }\n}\n\n.card {\n  padding: 2em;\n}\n\n.read-the-docs {\n  color: #888;\n}\n",
+          "force": false
+        },
+        {
+          "path": "src/App.tsx",
+          "content": "import { Toaster } from \"@/components/ui/toaster\";\nimport { Toaster as Sonner } from \"@/components/ui/sonner\";\nimport { TooltipProvider } from \"@/components/ui/tooltip\";\nimport { QueryClient, QueryClientProvider } from \"@tanstack/react-query\";\nimport { BrowserRouter, Routes, Route } from \"react-router-dom\";\nimport Index from \"./pages/Index\";\nimport NotFound from \"./pages/NotFound\";\n\nconst queryClient = new QueryClient();\n\nconst App = () => (\n  <QueryClientProvider client={queryClient}>\n    <TooltipProvider>\n      <Toaster />\n      <Sonner />\n      <BrowserRouter>\n        <Routes>\n          <Route path=\"/\" element={<Index />} />\n          {/* ADD ALL CUSTOM ROUTES ABOVE THE CATCH-ALL \"*\" ROUTE */}\n          <Route path=\"*\" element={<NotFound />} />\n        </Routes>\n      </BrowserRouter>\n    </TooltipProvider>\n  </QueryClientProvider>\n);\n\nexport default App;\n",
+          "force": false
+        },
+        {
+          "path": "src/components/made-with-dyad.tsx",
+          "content": "export const MadeWithDyad = () => {\n  return (\n    <div className=\"p-4 text-center\">\n      <a\n        href=\"https://www.dyad.sh/\"\n        target=\"_blank\"\n        rel=\"noopener noreferrer\"\n        className=\"text-sm text-gray-500 hover:text-gray-700 dark:text-gray-400 dark:hover:text-gray-200\"\n      >\n        Made with Dyad\n      </a>\n    </div>\n  );\n};\n",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/accordion.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/alert-dialog.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/alert.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/aspect-ratio.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/avatar.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/badge.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/breadcrumb.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/button.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/calendar.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/card.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/carousel.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/chart.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/checkbox.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/collapsible.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/command.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/context-menu.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/dialog.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/drawer.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/dropdown-menu.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/form.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/hover-card.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/input-otp.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/input.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/label.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/menubar.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/navigation-menu.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/pagination.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/popover.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/progress.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/radio-group.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/resizable.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/scroll-area.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/select.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/separator.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/sheet.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/sidebar.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/skeleton.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/slider.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/sonner.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/switch.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/table.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/tabs.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/textarea.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/toast.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/toaster.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/toggle-group.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/toggle.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/tooltip.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/use-toast.ts",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/globals.css",
+          "content": "@tailwind base;\n@tailwind components;\n@tailwind utilities;\n\n@layer base {\n  :root {\n    --background: 0 0% 100%;\n    --foreground: 222.2 84% 4.9%;\n\n    --card: 0 0% 100%;\n    --card-foreground: 222.2 84% 4.9%;\n\n    --popover: 0 0% 100%;\n    --popover-foreground: 222.2 84% 4.9%;\n\n    --primary: 222.2 47.4% 11.2%;\n    --primary-foreground: 210 40% 98%;\n\n    --secondary: 210 40% 96.1%;\n    --secondary-foreground: 222.2 47.4% 11.2%;\n\n    --muted: 210 40% 96.1%;\n    --muted-foreground: 215.4 16.3% 46.9%;\n\n    --accent: 210 40% 96.1%;\n    --accent-foreground: 222.2 47.4% 11.2%;\n\n    --destructive: 0 84.2% 60.2%;\n    --destructive-foreground: 210 40% 98%;\n\n    --border: 214.3 31.8% 91.4%;\n    --input: 214.3 31.8% 91.4%;\n    --ring: 222.2 84% 4.9%;\n\n    --radius: 0.5rem;\n\n    --sidebar-background: 0 0% 98%;\n\n    --sidebar-foreground: 240 5.3% 26.1%;\n\n    --sidebar-primary: 240 5.9% 10%;\n\n    --sidebar-primary-foreground: 0 0% 98%;\n\n    --sidebar-accent: 240 4.8% 95.9%;\n\n    --sidebar-accent-foreground: 240 5.9% 10%;\n\n    --sidebar-border: 220 13% 91%;\n\n    --sidebar-ring: 217.2 91.2% 59.8%;\n  }\n\n  .dark {\n    --background: 222.2 84% 4.9%;\n    --foreground: 210 40% 98%;\n\n    --card: 222.2 84% 4.9%;\n    --card-foreground: 210 40% 98%;\n\n    --popover: 222.2 84% 4.9%;\n    --popover-foreground: 210 40% 98%;\n\n    --primary: 210 40% 98%;\n    --primary-foreground: 222.2 47.4% 11.2%;\n\n    --secondary: 217.2 32.6% 17.5%;\n    --secondary-foreground: 210 40% 98%;\n\n    --muted: 217.2 32.6% 17.5%;\n    --muted-foreground: 215 20.2% 65.1%;\n\n    --accent: 217.2 32.6% 17.5%;\n    --accent-foreground: 210 40% 98%;\n\n    --destructive: 0 62.8% 30.6%;\n    --destructive-foreground: 210 40% 98%;\n\n    --border: 217.2 32.6% 17.5%;\n    --input: 217.2 32.6% 17.5%;\n    --ring: 212.7 26.8% 83.9%;\n    --sidebar-background: 240 5.9% 10%;\n    --sidebar-foreground: 240 4.8% 95.9%;\n    --sidebar-primary: 224.3 76.3% 48%;\n    --sidebar-primary-foreground: 0 0% 100%;\n    --sidebar-accent: 240 3.7% 15.9%;\n    --sidebar-accent-foreground: 240 4.8% 95.9%;\n    --sidebar-border: 240 3.7% 15.9%;\n    --sidebar-ring: 217.2 91.2% 59.8%;\n  }\n}\n\n@layer base {\n  * {\n    @apply border-border;\n  }\n\n  body {\n    @apply bg-background text-foreground;\n  }\n}\n",
+          "force": false
+        },
+        {
+          "path": "src/hooks/use-mobile.tsx",
+          "content": "import * as React from \"react\";\n\nconst MOBILE_BREAKPOINT = 768;\n\nexport function useIsMobile() {\n  const [isMobile, setIsMobile] = React.useState<boolean | undefined>(\n    undefined,\n  );\n\n  React.useEffect(() => {\n    const mql = window.matchMedia(`(max-width: ${MOBILE_BREAKPOINT - 1}px)`);\n    const onChange = () => {\n      setIsMobile(window.innerWidth < MOBILE_BREAKPOINT);\n    };\n    mql.addEventListener(\"change\", onChange);\n    setIsMobile(window.innerWidth < MOBILE_BREAKPOINT);\n    return () => mql.removeEventListener(\"change\", onChange);\n  }, []);\n\n  return !!isMobile;\n}\n",
+          "force": false
+        },
+        {
+          "path": "src/hooks/use-toast.ts",
+          "content": "import * as React from \"react\";\n\nimport type { ToastActionElement, ToastProps } from \"@/components/ui/toast\";\n\nconst TOAST_LIMIT = 1;\nconst TOAST_REMOVE_DELAY = 1000000;\n\ntype ToasterToast = ToastProps & {\n  id: string;\n  title?: React.ReactNode;\n  description?: React.ReactNode;\n  action?: ToastActionElement;\n};\n\nconst _actionTypes = {\n  ADD_TOAST: \"ADD_TOAST\",\n  UPDATE_TOAST: \"UPDATE_TOAST\",\n  DISMISS_TOAST: \"DISMISS_TOAST\",\n  REMOVE_TOAST: \"REMOVE_TOAST\",\n} as const;\n\nlet count = 0;\n\nfunction genId() {\n  count = (count + 1) % Number.MAX_SAFE_INTEGER;\n  return count.toString();\n}\n\ntype ActionType = typeof _actionTypes;\n\ntype Action =\n  | {\n      type: ActionType[\"ADD_TOAST\"];\n      toast: ToasterToast;\n    }\n  | {\n      type: ActionType[\"UPDATE_TOAST\"];\n      toast: Partial<ToasterToast>;\n    }\n  | {\n      type: ActionType[\"DISMISS_TOAST\"];\n      toastId?: ToasterToast[\"id\"];\n    }\n  | {\n      type: ActionType[\"REMOVE_TOAST\"];\n      toastId?: ToasterToast[\"id\"];\n    };\n\ninterface State {\n  toasts: ToasterToast[];\n}\n\nconst toastTimeouts = new Map<string, ReturnType<typeof setTimeout>>();\n\nconst addToRemoveQueue = (toastId: string) => {\n  if (toastTimeouts.has(toastId)) {\n    return;\n  }\n\n  const timeout = setTimeout(() => {\n    toastTimeouts.delete(toastId);\n    dispatch({\n      type: \"REMOVE_TOAST\",\n      toastId: toastId,\n    });\n  }, TOAST_REMOVE_DELAY);\n\n  toastTimeouts.set(toastId, timeout);\n};\n\nexport const reducer = (state: State, action: Action): State => {\n  switch (action.type) {\n    case \"ADD_TOAST\":\n      return {\n        ...state,\n        toasts: [action.toast, ...state.toasts].slice(0, TOAST_LIMIT),\n      };\n\n    case \"UPDATE_TOAST\":\n      return {\n        ...state,\n        toasts: state.toasts.map((t) =>\n          t.id === action.toast.id ? { ...t, ...action.toast } : t,\n        ),\n      };\n\n    case \"DISMISS_TOAST\": {\n      const { toastId } = action;\n\n      // ! Side effects ! - This could be extracted into a dismissToast() action,\n      // but I'll keep it here for simplicity\n      if (toastId) {\n        addToRemoveQueue(toastId);\n      } else {\n        state.toasts.forEach((toast) => {\n          addToRemoveQueue(toast.id);\n        });\n      }\n\n      return {\n        ...state,\n        toasts: state.toasts.map((t) =>\n          t.id === toastId || toastId === undefined\n            ? {\n                ...t,\n                open: false,\n              }\n            : t,\n        ),\n      };\n    }\n    case \"REMOVE_TOAST\":\n      if (action.toastId === undefined) {\n        return {\n          ...state,\n          toasts: [],\n        };\n      }\n      return {\n        ...state,\n        toasts: state.toasts.filter((t) => t.id !== action.toastId),\n      };\n  }\n};\n\nconst listeners: Array<(state: State) => void> = [];\n\nlet memoryState: State = { toasts: [] };\n\nfunction dispatch(action: Action) {\n  memoryState = reducer(memoryState, action);\n  listeners.forEach((listener) => {\n    listener(memoryState);\n  });\n}\n\ntype Toast = Omit<ToasterToast, \"id\">;\n\nfunction toast({ ...props }: Toast) {\n  const id = genId();\n\n  const update = (props: ToasterToast) =>\n    dispatch({\n      type: \"UPDATE_TOAST\",\n      toast: { ...props, id },\n    });\n  const dismiss = () => dispatch({ type: \"DISMISS_TOAST\", toastId: id });\n\n  dispatch({\n    type: \"ADD_TOAST\",\n    toast: {\n      ...props,\n      id,\n      open: true,\n      onOpenChange: (open) => {\n        if (!open) dismiss();\n      },\n    },\n  });\n\n  return {\n    id: id,\n    dismiss,\n    update,\n  };\n}\n\nfunction useToast() {\n  const [state, setState] = React.useState<State>(memoryState);\n\n  React.useEffect(() => {\n    listeners.push(setState);\n    return () => {\n      const index = listeners.indexOf(setState);\n      if (index > -1) {\n        listeners.splice(index, 1);\n      }\n    };\n  }, [state]);\n\n  return {\n    ...state,\n    toast,\n    dismiss: (toastId?: string) => dispatch({ type: \"DISMISS_TOAST\", toastId }),\n  };\n}\n\nexport { useToast, toast };\n",
+          "force": false
+        },
+        {
+          "path": "src/lib/utils.ts",
+          "content": "import { clsx, type ClassValue } from \"clsx\";\nimport { twMerge } from \"tailwind-merge\";\n\nexport function cn(...inputs: ClassValue[]) {\n  return twMerge(clsx(inputs));\n}\n",
+          "force": false
+        },
+        {
+          "path": "src/main.tsx",
+          "content": "import { createRoot } from \"react-dom/client\";\nimport App from \"./App.tsx\";\nimport \"./globals.css\";\n\ncreateRoot(document.getElementById(\"root\")!).render(<App />);\n",
+          "force": false
+        },
+        {
+          "path": "src/pages/Index.tsx",
+          "content": "// Update this page (the content is just a fallback if you fail to update the page)\n\nimport { MadeWithDyad } from \"@/components/made-with-dyad\";\n\nconst Index = () => {\n  return (\n    <div className=\"min-h-screen flex items-center justify-center bg-gray-100\">\n      <div className=\"text-center\">\n        <h1 className=\"text-4xl font-bold mb-4\">Welcome to Your Blank App</h1>\n        <p className=\"text-xl text-gray-600\">\n          Start building your amazing project here!\n        </p>\n      </div>\n      <MadeWithDyad />\n    </div>\n  );\n};\n\nexport default Index;\n",
+          "force": false
+        },
+        {
+          "path": "src/pages/NotFound.tsx",
+          "content": "import { useLocation } from \"react-router-dom\";\nimport { useEffect } from \"react\";\n\nconst NotFound = () => {\n  const location = useLocation();\n\n  useEffect(() => {\n    console.error(\n      \"404 Error: User attempted to access non-existent route:\",\n      location.pathname,\n    );\n  }, [location.pathname]);\n\n  return (\n    <div className=\"min-h-screen flex items-center justify-center bg-gray-100\">\n      <div className=\"text-center\">\n        <h1 className=\"text-4xl font-bold mb-4\">404</h1>\n        <p className=\"text-xl text-gray-600 mb-4\">Oops! Page not found</p>\n        <a href=\"/\" className=\"text-blue-500 hover:text-blue-700 underline\">\n          Return to Home\n        </a>\n      </div>\n    </div>\n  );\n};\n\nexport default NotFound;\n",
+          "force": false
+        },
+        {
+          "path": "src/utils/toast.ts",
+          "content": "import { toast } from \"sonner\";\n\nexport const showSuccess = (message: string) => {\n  toast.success(message);\n};\n\nexport const showError = (message: string) => {\n  toast.error(message);\n};\n\nexport const showLoading = (message: string) => {\n  return toast.loading(message);\n};\n\nexport const dismissToast = (toastId: string) => {\n  toast.dismiss(toastId);\n};\n",
+          "force": false
+        },
+        {
+          "path": "src/vite-env.d.ts",
+          "content": "/// <reference types=\"vite/client\" />\n",
+          "force": false
+        },
+        {
+          "path": "tailwind.config.ts",
+          "content": "import type { Config } from \"tailwindcss\";\n\nexport default {\n  darkMode: [\"class\"],\n  content: [\n    \"./pages/**/*.{ts,tsx}\",\n    \"./components/**/*.{ts,tsx}\",\n    \"./app/**/*.{ts,tsx}\",\n    \"./src/**/*.{ts,tsx}\",\n  ],\n  prefix: \"\",\n  theme: {\n    container: {\n      center: true,\n      padding: \"2rem\",\n      screens: {\n        \"2xl\": \"1400px\",\n      },\n    },\n    extend: {\n      colors: {\n        border: \"hsl(var(--border))\",\n        input: \"hsl(var(--input))\",\n        ring: \"hsl(var(--ring))\",\n        background: \"hsl(var(--background))\",\n        foreground: \"hsl(var(--foreground))\",\n        primary: {\n          DEFAULT: \"hsl(var(--primary))\",\n          foreground: \"hsl(var(--primary-foreground))\",\n        },\n        secondary: {\n          DEFAULT: \"hsl(var(--secondary))\",\n          foreground: \"hsl(var(--secondary-foreground))\",\n        },\n        destructive: {\n          DEFAULT: \"hsl(var(--destructive))\",\n          foreground: \"hsl(var(--destructive-foreground))\",\n        },\n        muted: {\n          DEFAULT: \"hsl(var(--muted))\",\n          foreground: \"hsl(var(--muted-foreground))\",\n        },\n        accent: {\n          DEFAULT: \"hsl(var(--accent))\",\n          foreground: \"hsl(var(--accent-foreground))\",\n        },\n        popover: {\n          DEFAULT: \"hsl(var(--popover))\",\n          foreground: \"hsl(var(--popover-foreground))\",\n        },\n        card: {\n          DEFAULT: \"hsl(var(--card))\",\n          foreground: \"hsl(var(--card-foreground))\",\n        },\n        sidebar: {\n          DEFAULT: \"hsl(var(--sidebar-background))\",\n          foreground: \"hsl(var(--sidebar-foreground))\",\n          primary: \"hsl(var(--sidebar-primary))\",\n          \"primary-foreground\": \"hsl(var(--sidebar-primary-foreground))\",\n          accent: \"hsl(var(--sidebar-accent))\",\n          \"accent-foreground\": \"hsl(var(--sidebar-accent-foreground))\",\n          border: \"hsl(var(--sidebar-border))\",\n          ring: \"hsl(var(--sidebar-ring))\",\n        },\n      },\n      borderRadius: {\n        lg: \"var(--radius)\",\n        md: \"calc(var(--radius) - 2px)\",\n        sm: \"calc(var(--radius) - 4px)\",\n      },\n      keyframes: {\n        \"accordion-down\": {\n          from: {\n            height: \"0\",\n          },\n          to: {\n            height: \"var(--radix-accordion-content-height)\",\n          },\n        },\n        \"accordion-up\": {\n          from: {\n            height: \"var(--radix-accordion-content-height)\",\n          },\n          to: {\n            height: \"0\",\n          },\n        },\n      },\n      animation: {\n        \"accordion-down\": \"accordion-down 0.2s ease-out\",\n        \"accordion-up\": \"accordion-up 0.2s ease-out\",\n      },\n    },\n  },\n  plugins: [require(\"tailwindcss-animate\")],\n} satisfies Config;\n",
+          "force": false
+        },
+        {
+          "path": "vite.config.ts",
+          "content": "import { defineConfig } from \"vite\";\nimport dyadComponentTagger from \"@dyad-sh/react-vite-component-tagger\";\nimport react from \"@vitejs/plugin-react-swc\";\nimport path from \"path\";\n\nexport default defineConfig(() => ({\n  server: {\n    host: \"::\",\n    port: 8080,\n  },\n  plugins: [dyadComponentTagger(), react()],\n  resolve: {\n    alias: {\n      \"@\": path.resolve(__dirname, \"./src\"),\n    },\n  },\n}));\n",
+          "force": false
+        }
+      ],
+      "enable_lazy_edits": true,
+      "enable_smart_files_context": true
+    }
+  },
+  "headers": {
+    "authorization": "Bearer testdyadkey"
+  }
+}
\ No newline at end of file
diff --git a/e2e-tests/snapshots/thinking_budget.spec.ts_thinking-budget-5.txt b/e2e-tests/snapshots/thinking_budget.spec.ts_thinking-budget-5.txt
new file mode 100644
index 0000000..331cdb3
--- /dev/null
+++ b/e2e-tests/snapshots/thinking_budget.spec.ts_thinking-budget-5.txt
@@ -0,0 +1,25 @@
+{
+  "selectedModel": {
+    "name": "gemini-2.5-pro",
+    "provider": "google"
+  },
+  "providerSettings": {
+    "auto": {
+      "apiKey": {
+        "value": "testdyadkey",
+        "encryptionType": "plaintext"
+      }
+    }
+  },
+  "telemetryConsent": "unset",
+  "telemetryUserId": "[UUID]",
+  "hasRunBefore": true,
+  "enableDyadPro": true,
+  "experiments": {},
+  "lastShownReleaseNotesVersion": "[scrubbed]",
+  "thinkingBudget": "high",
+  "enableProLazyEditsMode": true,
+  "enableProSmartFilesContextMode": true,
+  "selectedChatMode": "build",
+  "isTestMode": true
+}
\ No newline at end of file
diff --git a/e2e-tests/snapshots/thinking_budget.spec.ts_thinking-budget-6.txt b/e2e-tests/snapshots/thinking_budget.spec.ts_thinking-budget-6.txt
new file mode 100644
index 0000000..cb7140d
--- /dev/null
+++ b/e2e-tests/snapshots/thinking_budget.spec.ts_thinking-budget-6.txt
@@ -0,0 +1,401 @@
+{
+  "body": {
+    "model": "gemini/gemini-2.5-pro",
+    "max_tokens": 65535,
+    "temperature": 0,
+    "messages": [
+      {
+        "role": "system",
+        "content": "[[SYSTEM_MESSAGE]]"
+      },
+      {
+        "role": "user",
+        "content": "tc=1"
+      },
+      {
+        "role": "assistant",
+        "content": "Error: Test case file not found: 1.md"
+      },
+      {
+        "role": "user",
+        "content": "[dump] hi"
+      },
+      {
+        "role": "assistant",
+        "content": "[[dyad-dump-path=*]]"
+      },
+      {
+        "role": "user",
+        "content": "[dump] hi"
+      },
+      {
+        "role": "assistant",
+        "content": "[[dyad-dump-path=*]]"
+      },
+      {
+        "role": "user",
+        "content": "[dump] hi"
+      }
+    ],
+    "stream": true,
+    "thinking": {
+      "type": "enabled",
+      "include_thoughts": true,
+      "budget_tokens": -1
+    },
+    "dyad_options": {
+      "files": [
+        {
+          "path": "AI_RULES.md",
+          "content": "# Tech Stack\n\n- You are building a React application.\n- Use TypeScript.\n- Use React Router. KEEP the routes in src/App.tsx\n- Always put source code in the src folder.\n- Put pages into src/pages/\n- Put components into src/components/\n- The main page (default page) is src/pages/Index.tsx\n- UPDATE the main page to include the new components. OTHERWISE, the user can NOT see any components!\n- ALWAYS try to use the shadcn/ui library.\n- Tailwind CSS: always use Tailwind CSS for styling components. Utilize Tailwind classes extensively for layout, spacing, colors, and other design aspects.\n\nAvailable packages and libraries:\n\n- The lucide-react package is installed for icons.\n- You ALREADY have ALL the shadcn/ui components and their dependencies installed. So you don't need to install them again.\n- You have ALL the necessary Radix UI components installed.\n- Use prebuilt components from the shadcn/ui library after importing them. Note that these files shouldn't be edited, so make new components if you need to change them.\n",
+          "force": false
+        },
+        {
+          "path": "eslint.config.js",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "index.html",
+          "content": "<!doctype html>\n<html lang=\"en\">\n  <head>\n    <meta charset=\"UTF-8\" />\n    <meta name=\"viewport\" content=\"width=device-width, initial-scale=1.0\" />\n    <title>dyad-generated-app</title>\n  </head>\n\n  <body>\n    <div id=\"root\"></div>\n    <script type=\"module\" src=\"/src/main.tsx\"></script>\n  </body>\n</html>\n",
+          "force": false
+        },
+        {
+          "path": "package.json",
+          "content": "{\n  \"dependencies\": {\n    \"@hookform/resolvers\": \"^3.9.0\",\n    \"@radix-ui/react-accordion\": \"^1.2.0\",\n    \"@radix-ui/react-alert-dialog\": \"^1.1.1\",\n    \"@radix-ui/react-aspect-ratio\": \"^1.1.0\",\n    \"@radix-ui/react-avatar\": \"^1.1.0\",\n    \"@radix-ui/react-checkbox\": \"^1.1.1\",\n    \"@radix-ui/react-collapsible\": \"^1.1.0\",\n    \"@radix-ui/react-context-menu\": \"^2.2.1\",\n    \"@radix-ui/react-dialog\": \"^1.1.2\",\n    \"@radix-ui/react-dropdown-menu\": \"^2.1.1\",\n    \"@radix-ui/react-hover-card\": \"^1.1.1\",\n    \"@radix-ui/react-label\": \"^2.1.0\",\n    \"@radix-ui/react-menubar\": \"^1.1.1\",\n    \"@radix-ui/react-navigation-menu\": \"^1.2.0\",\n    \"@radix-ui/react-popover\": \"^1.1.1\",\n    \"@radix-ui/react-progress\": \"^1.1.0\",\n    \"@radix-ui/react-radio-group\": \"^1.2.0\",\n    \"@radix-ui/react-scroll-area\": \"^1.1.0\",\n    \"@radix-ui/react-select\": \"^2.1.1\",\n    \"@radix-ui/react-separator\": \"^1.1.0\",\n    \"@radix-ui/react-slider\": \"^1.2.0\",\n    \"@radix-ui/react-slot\": \"^1.1.0\",\n    \"@radix-ui/react-switch\": \"^1.1.0\",\n    \"@radix-ui/react-tabs\": \"^1.1.0\",\n    \"@radix-ui/react-toast\": \"^1.2.1\",\n    \"@radix-ui/react-toggle\": \"^1.1.0\",\n    \"@radix-ui/react-toggle-group\": \"^1.1.0\",\n    \"@radix-ui/react-tooltip\": \"^1.1.4\",\n    \"@tanstack/react-query\": \"^5.56.2\",\n    \"class-variance-authority\": \"^0.7.1\",\n    \"clsx\": \"^2.1.1\",\n    \"cmdk\": \"^1.0.0\",\n    \"date-fns\": \"^3.6.0\",\n    \"embla-carousel-react\": \"^8.3.0\",\n    \"input-otp\": \"^1.2.4\",\n    \"lucide-react\": \"^0.462.0\",\n    \"next-themes\": \"^0.3.0\",\n    \"react\": \"^18.3.1\",\n    \"react-day-picker\": \"^8.10.1\",\n    \"react-dom\": \"^18.3.1\",\n    \"react-hook-form\": \"^7.53.0\",\n    \"react-resizable-panels\": \"^2.1.3\",\n    \"react-router-dom\": \"^6.26.2\",\n    \"recharts\": \"^2.12.7\",\n    \"sonner\": \"^1.5.0\",\n    \"tailwind-merge\": \"^2.5.2\",\n    \"tailwindcss-animate\": \"^1.0.7\",\n    \"vaul\": \"^0.9.3\",\n    \"zod\": \"^3.23.8\"\n  },\n  \"devDependencies\": {\n    \"@dyad-sh/react-vite-component-tagger\": \"^0.8.0\",\n    \"@eslint/js\": \"^9.9.0\",\n    \"@tailwindcss/typography\": \"^0.5.15\",\n    \"@types/node\": \"^22.5.5\",\n    \"@types/react\": \"^18.3.3\",\n    \"@types/react-dom\": \"^18.3.0\",\n    \"@vitejs/plugin-react-swc\": \"^3.9.0\",\n    \"autoprefixer\": \"^10.4.20\",\n    \"eslint\": \"^9.9.0\",\n    \"eslint-plugin-react-hooks\": \"^5.1.0-rc.0\",\n    \"eslint-plugin-react-refresh\": \"^0.4.9\",\n    \"globals\": \"^15.9.0\",\n    \"postcss\": \"^8.4.47\",\n    \"tailwindcss\": \"^3.4.11\",\n    \"typescript\": \"^5.5.3\",\n    \"typescript-eslint\": \"^8.0.1\",\n    \"vite\": \"^6.3.4\"\n  }\n}",
+          "force": false
+        },
+        {
+          "path": "postcss.config.js",
+          "content": "export default {\n  plugins: {\n    tailwindcss: {},\n    autoprefixer: {},\n  },\n};\n",
+          "force": false
+        },
+        {
+          "path": "README.md",
+          "content": "# Welcome to your Dyad app\n",
+          "force": false
+        },
+        {
+          "path": "src/App.css",
+          "content": "#root {\n  max-width: 1280px;\n  margin: 0 auto;\n  padding: 2rem;\n  text-align: center;\n}\n\n.logo {\n  height: 6em;\n  padding: 1.5em;\n  will-change: filter;\n  transition: filter 300ms;\n}\n.logo:hover {\n  filter: drop-shadow(0 0 2em #646cffaa);\n}\n.logo.react:hover {\n  filter: drop-shadow(0 0 2em #61dafbaa);\n}\n\n@keyframes logo-spin {\n  from {\n    transform: rotate(0deg);\n  }\n  to {\n    transform: rotate(360deg);\n  }\n}\n\n@media (prefers-reduced-motion: no-preference) {\n  a:nth-of-type(2) .logo {\n    animation: logo-spin infinite 20s linear;\n  }\n}\n\n.card {\n  padding: 2em;\n}\n\n.read-the-docs {\n  color: #888;\n}\n",
+          "force": false
+        },
+        {
+          "path": "src/App.tsx",
+          "content": "import { Toaster } from \"@/components/ui/toaster\";\nimport { Toaster as Sonner } from \"@/components/ui/sonner\";\nimport { TooltipProvider } from \"@/components/ui/tooltip\";\nimport { QueryClient, QueryClientProvider } from \"@tanstack/react-query\";\nimport { BrowserRouter, Routes, Route } from \"react-router-dom\";\nimport Index from \"./pages/Index\";\nimport NotFound from \"./pages/NotFound\";\n\nconst queryClient = new QueryClient();\n\nconst App = () => (\n  <QueryClientProvider client={queryClient}>\n    <TooltipProvider>\n      <Toaster />\n      <Sonner />\n      <BrowserRouter>\n        <Routes>\n          <Route path=\"/\" element={<Index />} />\n          {/* ADD ALL CUSTOM ROUTES ABOVE THE CATCH-ALL \"*\" ROUTE */}\n          <Route path=\"*\" element={<NotFound />} />\n        </Routes>\n      </BrowserRouter>\n    </TooltipProvider>\n  </QueryClientProvider>\n);\n\nexport default App;\n",
+          "force": false
+        },
+        {
+          "path": "src/components/made-with-dyad.tsx",
+          "content": "export const MadeWithDyad = () => {\n  return (\n    <div className=\"p-4 text-center\">\n      <a\n        href=\"https://www.dyad.sh/\"\n        target=\"_blank\"\n        rel=\"noopener noreferrer\"\n        className=\"text-sm text-gray-500 hover:text-gray-700 dark:text-gray-400 dark:hover:text-gray-200\"\n      >\n        Made with Dyad\n      </a>\n    </div>\n  );\n};\n",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/accordion.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/alert-dialog.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/alert.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/aspect-ratio.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/avatar.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/badge.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/breadcrumb.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/button.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/calendar.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/card.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/carousel.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/chart.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/checkbox.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/collapsible.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/command.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/context-menu.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/dialog.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/drawer.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/dropdown-menu.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/form.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/hover-card.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/input-otp.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/input.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/label.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/menubar.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/navigation-menu.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/pagination.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/popover.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/progress.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/radio-group.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/resizable.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/scroll-area.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/select.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/separator.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/sheet.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/sidebar.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/skeleton.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/slider.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/sonner.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/switch.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/table.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/tabs.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/textarea.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/toast.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/toaster.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/toggle-group.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/toggle.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/tooltip.tsx",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/components/ui/use-toast.ts",
+          "content": "// Contents omitted for brevity",
+          "force": false
+        },
+        {
+          "path": "src/globals.css",
+          "content": "@tailwind base;\n@tailwind components;\n@tailwind utilities;\n\n@layer base {\n  :root {\n    --background: 0 0% 100%;\n    --foreground: 222.2 84% 4.9%;\n\n    --card: 0 0% 100%;\n    --card-foreground: 222.2 84% 4.9%;\n\n    --popover: 0 0% 100%;\n    --popover-foreground: 222.2 84% 4.9%;\n\n    --primary: 222.2 47.4% 11.2%;\n    --primary-foreground: 210 40% 98%;\n\n    --secondary: 210 40% 96.1%;\n    --secondary-foreground: 222.2 47.4% 11.2%;\n\n    --muted: 210 40% 96.1%;\n    --muted-foreground: 215.4 16.3% 46.9%;\n\n    --accent: 210 40% 96.1%;\n    --accent-foreground: 222.2 47.4% 11.2%;\n\n    --destructive: 0 84.2% 60.2%;\n    --destructive-foreground: 210 40% 98%;\n\n    --border: 214.3 31.8% 91.4%;\n    --input: 214.3 31.8% 91.4%;\n    --ring: 222.2 84% 4.9%;\n\n    --radius: 0.5rem;\n\n    --sidebar-background: 0 0% 98%;\n\n    --sidebar-foreground: 240 5.3% 26.1%;\n\n    --sidebar-primary: 240 5.9% 10%;\n\n    --sidebar-primary-foreground: 0 0% 98%;\n\n    --sidebar-accent: 240 4.8% 95.9%;\n\n    --sidebar-accent-foreground: 240 5.9% 10%;\n\n    --sidebar-border: 220 13% 91%;\n\n    --sidebar-ring: 217.2 91.2% 59.8%;\n  }\n\n  .dark {\n    --background: 222.2 84% 4.9%;\n    --foreground: 210 40% 98%;\n\n    --card: 222.2 84% 4.9%;\n    --card-foreground: 210 40% 98%;\n\n    --popover: 222.2 84% 4.9%;\n    --popover-foreground: 210 40% 98%;\n\n    --primary: 210 40% 98%;\n    --primary-foreground: 222.2 47.4% 11.2%;\n\n    --secondary: 217.2 32.6% 17.5%;\n    --secondary-foreground: 210 40% 98%;\n\n    --muted: 217.2 32.6% 17.5%;\n    --muted-foreground: 215 20.2% 65.1%;\n\n    --accent: 217.2 32.6% 17.5%;\n    --accent-foreground: 210 40% 98%;\n\n    --destructive: 0 62.8% 30.6%;\n    --destructive-foreground: 210 40% 98%;\n\n    --border: 217.2 32.6% 17.5%;\n    --input: 217.2 32.6% 17.5%;\n    --ring: 212.7 26.8% 83.9%;\n    --sidebar-background: 240 5.9% 10%;\n    --sidebar-foreground: 240 4.8% 95.9%;\n    --sidebar-primary: 224.3 76.3% 48%;\n    --sidebar-primary-foreground: 0 0% 100%;\n    --sidebar-accent: 240 3.7% 15.9%;\n    --sidebar-accent-foreground: 240 4.8% 95.9%;\n    --sidebar-border: 240 3.7% 15.9%;\n    --sidebar-ring: 217.2 91.2% 59.8%;\n  }\n}\n\n@layer base {\n  * {\n    @apply border-border;\n  }\n\n  body {\n    @apply bg-background text-foreground;\n  }\n}\n",
+          "force": false
+        },
+        {
+          "path": "src/hooks/use-mobile.tsx",
+          "content": "import * as React from \"react\";\n\nconst MOBILE_BREAKPOINT = 768;\n\nexport function useIsMobile() {\n  const [isMobile, setIsMobile] = React.useState<boolean | undefined>(\n    undefined,\n  );\n\n  React.useEffect(() => {\n    const mql = window.matchMedia(`(max-width: ${MOBILE_BREAKPOINT - 1}px)`);\n    const onChange = () => {\n      setIsMobile(window.innerWidth < MOBILE_BREAKPOINT);\n    };\n    mql.addEventListener(\"change\", onChange);\n    setIsMobile(window.innerWidth < MOBILE_BREAKPOINT);\n    return () => mql.removeEventListener(\"change\", onChange);\n  }, []);\n\n  return !!isMobile;\n}\n",
+          "force": false
+        },
+        {
+          "path": "src/hooks/use-toast.ts",
+          "content": "import * as React from \"react\";\n\nimport type { ToastActionElement, ToastProps } from \"@/components/ui/toast\";\n\nconst TOAST_LIMIT = 1;\nconst TOAST_REMOVE_DELAY = 1000000;\n\ntype ToasterToast = ToastProps & {\n  id: string;\n  title?: React.ReactNode;\n  description?: React.ReactNode;\n  action?: ToastActionElement;\n};\n\nconst _actionTypes = {\n  ADD_TOAST: \"ADD_TOAST\",\n  UPDATE_TOAST: \"UPDATE_TOAST\",\n  DISMISS_TOAST: \"DISMISS_TOAST\",\n  REMOVE_TOAST: \"REMOVE_TOAST\",\n} as const;\n\nlet count = 0;\n\nfunction genId() {\n  count = (count + 1) % Number.MAX_SAFE_INTEGER;\n  return count.toString();\n}\n\ntype ActionType = typeof _actionTypes;\n\ntype Action =\n  | {\n      type: ActionType[\"ADD_TOAST\"];\n      toast: ToasterToast;\n    }\n  | {\n      type: ActionType[\"UPDATE_TOAST\"];\n      toast: Partial<ToasterToast>;\n    }\n  | {\n      type: ActionType[\"DISMISS_TOAST\"];\n      toastId?: ToasterToast[\"id\"];\n    }\n  | {\n      type: ActionType[\"REMOVE_TOAST\"];\n      toastId?: ToasterToast[\"id\"];\n    };\n\ninterface State {\n  toasts: ToasterToast[];\n}\n\nconst toastTimeouts = new Map<string, ReturnType<typeof setTimeout>>();\n\nconst addToRemoveQueue = (toastId: string) => {\n  if (toastTimeouts.has(toastId)) {\n    return;\n  }\n\n  const timeout = setTimeout(() => {\n    toastTimeouts.delete(toastId);\n    dispatch({\n      type: \"REMOVE_TOAST\",\n      toastId: toastId,\n    });\n  }, TOAST_REMOVE_DELAY);\n\n  toastTimeouts.set(toastId, timeout);\n};\n\nexport const reducer = (state: State, action: Action): State => {\n  switch (action.type) {\n    case \"ADD_TOAST\":\n      return {\n        ...state,\n        toasts: [action.toast, ...state.toasts].slice(0, TOAST_LIMIT),\n      };\n\n    case \"UPDATE_TOAST\":\n      return {\n        ...state,\n        toasts: state.toasts.map((t) =>\n          t.id === action.toast.id ? { ...t, ...action.toast } : t,\n        ),\n      };\n\n    case \"DISMISS_TOAST\": {\n      const { toastId } = action;\n\n      // ! Side effects ! - This could be extracted into a dismissToast() action,\n      // but I'll keep it here for simplicity\n      if (toastId) {\n        addToRemoveQueue(toastId);\n      } else {\n        state.toasts.forEach((toast) => {\n          addToRemoveQueue(toast.id);\n        });\n      }\n\n      return {\n        ...state,\n        toasts: state.toasts.map((t) =>\n          t.id === toastId || toastId === undefined\n            ? {\n                ...t,\n                open: false,\n              }\n            : t,\n        ),\n      };\n    }\n    case \"REMOVE_TOAST\":\n      if (action.toastId === undefined) {\n        return {\n          ...state,\n          toasts: [],\n        };\n      }\n      return {\n        ...state,\n        toasts: state.toasts.filter((t) => t.id !== action.toastId),\n      };\n  }\n};\n\nconst listeners: Array<(state: State) => void> = [];\n\nlet memoryState: State = { toasts: [] };\n\nfunction dispatch(action: Action) {\n  memoryState = reducer(memoryState, action);\n  listeners.forEach((listener) => {\n    listener(memoryState);\n  });\n}\n\ntype Toast = Omit<ToasterToast, \"id\">;\n\nfunction toast({ ...props }: Toast) {\n  const id = genId();\n\n  const update = (props: ToasterToast) =>\n    dispatch({\n      type: \"UPDATE_TOAST\",\n      toast: { ...props, id },\n    });\n  const dismiss = () => dispatch({ type: \"DISMISS_TOAST\", toastId: id });\n\n  dispatch({\n    type: \"ADD_TOAST\",\n    toast: {\n      ...props,\n      id,\n      open: true,\n      onOpenChange: (open) => {\n        if (!open) dismiss();\n      },\n    },\n  });\n\n  return {\n    id: id,\n    dismiss,\n    update,\n  };\n}\n\nfunction useToast() {\n  const [state, setState] = React.useState<State>(memoryState);\n\n  React.useEffect(() => {\n    listeners.push(setState);\n    return () => {\n      const index = listeners.indexOf(setState);\n      if (index > -1) {\n        listeners.splice(index, 1);\n      }\n    };\n  }, [state]);\n\n  return {\n    ...state,\n    toast,\n    dismiss: (toastId?: string) => dispatch({ type: \"DISMISS_TOAST\", toastId }),\n  };\n}\n\nexport { useToast, toast };\n",
+          "force": false
+        },
+        {
+          "path": "src/lib/utils.ts",
+          "content": "import { clsx, type ClassValue } from \"clsx\";\nimport { twMerge } from \"tailwind-merge\";\n\nexport function cn(...inputs: ClassValue[]) {\n  return twMerge(clsx(inputs));\n}\n",
+          "force": false
+        },
+        {
+          "path": "src/main.tsx",
+          "content": "import { createRoot } from \"react-dom/client\";\nimport App from \"./App.tsx\";\nimport \"./globals.css\";\n\ncreateRoot(document.getElementById(\"root\")!).render(<App />);\n",
+          "force": false
+        },
+        {
+          "path": "src/pages/Index.tsx",
+          "content": "// Update this page (the content is just a fallback if you fail to update the page)\n\nimport { MadeWithDyad } from \"@/components/made-with-dyad\";\n\nconst Index = () => {\n  return (\n    <div className=\"min-h-screen flex items-center justify-center bg-gray-100\">\n      <div className=\"text-center\">\n        <h1 className=\"text-4xl font-bold mb-4\">Welcome to Your Blank App</h1>\n        <p className=\"text-xl text-gray-600\">\n          Start building your amazing project here!\n        </p>\n      </div>\n      <MadeWithDyad />\n    </div>\n  );\n};\n\nexport default Index;\n",
+          "force": false
+        },
+        {
+          "path": "src/pages/NotFound.tsx",
+          "content": "import { useLocation } from \"react-router-dom\";\nimport { useEffect } from \"react\";\n\nconst NotFound = () => {\n  const location = useLocation();\n\n  useEffect(() => {\n    console.error(\n      \"404 Error: User attempted to access non-existent route:\",\n      location.pathname,\n    );\n  }, [location.pathname]);\n\n  return (\n    <div className=\"min-h-screen flex items-center justify-center bg-gray-100\">\n      <div className=\"text-center\">\n        <h1 className=\"text-4xl font-bold mb-4\">404</h1>\n        <p className=\"text-xl text-gray-600 mb-4\">Oops! Page not found</p>\n        <a href=\"/\" className=\"text-blue-500 hover:text-blue-700 underline\">\n          Return to Home\n        </a>\n      </div>\n    </div>\n  );\n};\n\nexport default NotFound;\n",
+          "force": false
+        },
+        {
+          "path": "src/utils/toast.ts",
+          "content": "import { toast } from \"sonner\";\n\nexport const showSuccess = (message: string) => {\n  toast.success(message);\n};\n\nexport const showError = (message: string) => {\n  toast.error(message);\n};\n\nexport const showLoading = (message: string) => {\n  return toast.loading(message);\n};\n\nexport const dismissToast = (toastId: string) => {\n  toast.dismiss(toastId);\n};\n",
+          "force": false
+        },
+        {
+          "path": "src/vite-env.d.ts",
+          "content": "/// <reference types=\"vite/client\" />\n",
+          "force": false
+        },
+        {
+          "path": "tailwind.config.ts",
+          "content": "import type { Config } from \"tailwindcss\";\n\nexport default {\n  darkMode: [\"class\"],\n  content: [\n    \"./pages/**/*.{ts,tsx}\",\n    \"./components/**/*.{ts,tsx}\",\n    \"./app/**/*.{ts,tsx}\",\n    \"./src/**/*.{ts,tsx}\",\n  ],\n  prefix: \"\",\n  theme: {\n    container: {\n      center: true,\n      padding: \"2rem\",\n      screens: {\n        \"2xl\": \"1400px\",\n      },\n    },\n    extend: {\n      colors: {\n        border: \"hsl(var(--border))\",\n        input: \"hsl(var(--input))\",\n        ring: \"hsl(var(--ring))\",\n        background: \"hsl(var(--background))\",\n        foreground: \"hsl(var(--foreground))\",\n        primary: {\n          DEFAULT: \"hsl(var(--primary))\",\n          foreground: \"hsl(var(--primary-foreground))\",\n        },\n        secondary: {\n          DEFAULT: \"hsl(var(--secondary))\",\n          foreground: \"hsl(var(--secondary-foreground))\",\n        },\n        destructive: {\n          DEFAULT: \"hsl(var(--destructive))\",\n          foreground: \"hsl(var(--destructive-foreground))\",\n        },\n        muted: {\n          DEFAULT: \"hsl(var(--muted))\",\n          foreground: \"hsl(var(--muted-foreground))\",\n        },\n        accent: {\n          DEFAULT: \"hsl(var(--accent))\",\n          foreground: \"hsl(var(--accent-foreground))\",\n        },\n        popover: {\n          DEFAULT: \"hsl(var(--popover))\",\n          foreground: \"hsl(var(--popover-foreground))\",\n        },\n        card: {\n          DEFAULT: \"hsl(var(--card))\",\n          foreground: \"hsl(var(--card-foreground))\",\n        },\n        sidebar: {\n          DEFAULT: \"hsl(var(--sidebar-background))\",\n          foreground: \"hsl(var(--sidebar-foreground))\",\n          primary: \"hsl(var(--sidebar-primary))\",\n          \"primary-foreground\": \"hsl(var(--sidebar-primary-foreground))\",\n          accent: \"hsl(var(--sidebar-accent))\",\n          \"accent-foreground\": \"hsl(var(--sidebar-accent-foreground))\",\n          border: \"hsl(var(--sidebar-border))\",\n          ring: \"hsl(var(--sidebar-ring))\",\n        },\n      },\n      borderRadius: {\n        lg: \"var(--radius)\",\n        md: \"calc(var(--radius) - 2px)\",\n        sm: \"calc(var(--radius) - 4px)\",\n      },\n      keyframes: {\n        \"accordion-down\": {\n          from: {\n            height: \"0\",\n          },\n          to: {\n            height: \"var(--radix-accordion-content-height)\",\n          },\n        },\n        \"accordion-up\": {\n          from: {\n            height: \"var(--radix-accordion-content-height)\",\n          },\n          to: {\n            height: \"0\",\n          },\n        },\n      },\n      animation: {\n        \"accordion-down\": \"accordion-down 0.2s ease-out\",\n        \"accordion-up\": \"accordion-up 0.2s ease-out\",\n      },\n    },\n  },\n  plugins: [require(\"tailwindcss-animate\")],\n} satisfies Config;\n",
+          "force": false
+        },
+        {
+          "path": "vite.config.ts",
+          "content": "import { defineConfig } from \"vite\";\nimport dyadComponentTagger from \"@dyad-sh/react-vite-component-tagger\";\nimport react from \"@vitejs/plugin-react-swc\";\nimport path from \"path\";\n\nexport default defineConfig(() => ({\n  server: {\n    host: \"::\",\n    port: 8080,\n  },\n  plugins: [dyadComponentTagger(), react()],\n  resolve: {\n    alias: {\n      \"@\": path.resolve(__dirname, \"./src\"),\n    },\n  },\n}));\n",
+          "force": false
+        }
+      ],
+      "enable_lazy_edits": true,
+      "enable_smart_files_context": true
+    }
+  },
+  "headers": {
+    "authorization": "Bearer testdyadkey"
+  }
+}
\ No newline at end of file
diff --git a/e2e-tests/thinking_budget.spec.ts b/e2e-tests/thinking_budget.spec.ts
new file mode 100644
index 0000000..169b6b7
--- /dev/null
+++ b/e2e-tests/thinking_budget.spec.ts
@@ -0,0 +1,34 @@
+import { testSkipIfWindows } from "./helpers/test_helper";
+
+testSkipIfWindows("thinking budget", async ({ po }) => {
+  await po.setUpDyadPro();
+  await po.selectModel({ provider: "Google", model: "Gemini 2.5 Pro" });
+  await po.sendPrompt("tc=1");
+
+  // Low
+  await po.goToSettingsTab();
+  await po.page.getByRole("combobox", { name: "Thinking Budget" }).click();
+  await po.page.getByRole("option", { name: "Low" }).click();
+  await po.snapshotSettings();
+  await po.page.getByText("Go Back").click();
+  await po.sendPrompt("[dump] hi");
+  await po.snapshotServerDump("request");
+
+  // Medium
+  await po.goToSettingsTab();
+  await po.page.getByRole("combobox", { name: "Thinking Budget" }).click();
+  await po.page.getByRole("option", { name: "Medium (default)" }).click();
+  await po.snapshotSettings();
+  await po.page.getByText("Go Back").click();
+  await po.sendPrompt("[dump] hi");
+  await po.snapshotServerDump("request");
+
+  // High
+  await po.goToSettingsTab();
+  await po.page.getByRole("combobox", { name: "Thinking Budget" }).click();
+  await po.page.getByRole("option", { name: "High" }).click();
+  await po.snapshotSettings();
+  await po.page.getByText("Go Back").click();
+  await po.sendPrompt("[dump] hi");
+  await po.snapshotServerDump("request");
+});
diff --git a/src/components/ThinkingBudgetSelector.tsx b/src/components/ThinkingBudgetSelector.tsx
new file mode 100644
index 0000000..3e9e8ed
--- /dev/null
+++ b/src/components/ThinkingBudgetSelector.tsx
@@ -0,0 +1,80 @@
+import React from "react";
+import { useSettings } from "@/hooks/useSettings";
+import {
+  Select,
+  SelectContent,
+  SelectItem,
+  SelectTrigger,
+  SelectValue,
+} from "@/components/ui/select";
+
+interface OptionInfo {
+  value: string;
+  label: string;
+  description: string;
+}
+
+const defaultValue = "medium";
+
+const options: OptionInfo[] = [
+  {
+    value: "low",
+    label: "Low",
+    description:
+      "Minimal thinking tokens for faster responses and lower costs.",
+  },
+  {
+    value: defaultValue,
+    label: "Medium (default)",
+    description: "Balanced thinking for most conversations.",
+  },
+  {
+    value: "high",
+    label: "High",
+    description:
+      "Extended thinking for complex problems requiring deep analysis.",
+  },
+];
+
+export const ThinkingBudgetSelector: React.FC = () => {
+  const { settings, updateSettings } = useSettings();
+
+  const handleValueChange = (value: string) => {
+    updateSettings({ thinkingBudget: value as "low" | "medium" | "high" });
+  };
+
+  // Determine the current value
+  const currentValue = settings?.thinkingBudget || defaultValue;
+
+  // Find the current option to display its description
+  const currentOption =
+    options.find((opt) => opt.value === currentValue) || options[1];
+
+  return (
+    <div className="space-y-1">
+      <div className="flex items-center gap-4">
+        <label
+          htmlFor="thinking-budget"
+          className="text-sm font-medium text-gray-700 dark:text-gray-300"
+        >
+          Thinking Budget
+        </label>
+        <Select value={currentValue} onValueChange={handleValueChange}>
+          <SelectTrigger className="w-[180px]" id="thinking-budget">
+            <SelectValue placeholder="Select budget" />
+          </SelectTrigger>
+          <SelectContent>
+            {options.map((option) => (
+              <SelectItem key={option.value} value={option.value}>
+                {option.label}
+              </SelectItem>
+            ))}
+          </SelectContent>
+        </Select>
+      </div>
+      <div className="text-sm text-gray-500 dark:text-gray-400">
+        {currentOption.description}
+      </div>
+    </div>
+  );
+};
diff --git a/src/ipc/handlers/chat_stream_handlers.ts b/src/ipc/handlers/chat_stream_handlers.ts
index a2620cd..0883c5b 100644
--- a/src/ipc/handlers/chat_stream_handlers.ts
+++ b/src/ipc/handlers/chat_stream_handlers.ts
@@ -464,6 +464,7 @@ This conversation includes one or more image attachments. When the user uploads
             providerOptions: {
               "dyad-gateway": getExtraProviderOptions(
                 modelClient.builtinProviderId,
+                settings,
               ),
               google: {
                 thinkingConfig: {
diff --git a/src/ipc/utils/get_model_client.ts b/src/ipc/utils/get_model_client.ts
index 8a94d39..9caa614 100644
--- a/src/ipc/utils/get_model_client.ts
+++ b/src/ipc/utils/get_model_client.ts
@@ -84,6 +84,7 @@ export async function getModelClient(
                   : settings.enableProLazyEditsMode,
               enableSmartFilesContext: settings.enableProSmartFilesContextMode,
             },
+            settings,
           })
         : createOpenAICompatible({
             name: "dyad-gateway",
diff --git a/src/ipc/utils/llm_engine_provider.ts b/src/ipc/utils/llm_engine_provider.ts
index 33e1ec5..e3ad6b6 100644
--- a/src/ipc/utils/llm_engine_provider.ts
+++ b/src/ipc/utils/llm_engine_provider.ts
@@ -12,6 +12,7 @@ import {
 import { OpenAICompatibleChatSettings } from "@ai-sdk/openai-compatible";
 import log from "electron-log";
 import { getExtraProviderOptions } from "./thinking_utils";
+import type { UserSettings } from "../../lib/schemas";
 
 const logger = log.scope("llm_engine_provider");
 
@@ -48,6 +49,7 @@ or to provide a custom fetch implementation for e.g. testing.
     enableLazyEdits?: boolean;
     enableSmartFilesContext?: boolean;
   };
+  settings: UserSettings;
 }
 
 export interface DyadEngineProvider {
@@ -125,7 +127,10 @@ export function createDyadEngine(
           // Parse the request body to manipulate it
           const parsedBody = {
             ...JSON.parse(init.body),
-            ...getExtraProviderOptions(options.originalProviderId),
+            ...getExtraProviderOptions(
+              options.originalProviderId,
+              options.settings,
+            ),
           };
 
           // Add files to the request if they exist
diff --git a/src/ipc/utils/thinking_utils.ts b/src/ipc/utils/thinking_utils.ts
index b5ee058..31be916 100644
--- a/src/ipc/utils/thinking_utils.ts
+++ b/src/ipc/utils/thinking_utils.ts
@@ -1,16 +1,37 @@
 import { PROVIDERS_THAT_SUPPORT_THINKING } from "../shared/language_model_helpers";
+import type { UserSettings } from "../../lib/schemas";
+
+function getThinkingBudgetTokens(
+  thinkingBudget?: "low" | "medium" | "high",
+): number {
+  switch (thinkingBudget) {
+    case "low":
+      return 1_000;
+    case "medium":
+      return 4_000;
+    case "high":
+      return -1;
+    default:
+      return 4_000; // Default to medium
+  }
+}
 
 export function getExtraProviderOptions(
   providerId: string | undefined,
+  settings: UserSettings,
 ): Record<string, any> {
   if (!providerId) {
     return {};
   }
   if (PROVIDERS_THAT_SUPPORT_THINKING.includes(providerId)) {
+    const budgetTokens = getThinkingBudgetTokens(settings?.thinkingBudget);
     return {
       thinking: {
         type: "enabled",
         include_thoughts: true,
+        // -1 means dynamic thinking where model determines.
+        // budget_tokens: 128, // minimum for Gemini Pro is 128
+        budget_tokens: budgetTokens,
       },
     };
   }
diff --git a/src/lib/schemas.ts b/src/lib/schemas.ts
index 9ec2f6d..01957a3 100644
--- a/src/lib/schemas.ts
+++ b/src/lib/schemas.ts
@@ -142,6 +142,7 @@ export const UserSettingsSchema = z.object({
   experiments: ExperimentsSchema.optional(),
   lastShownReleaseNotesVersion: z.string().optional(),
   maxChatTurnsInContext: z.number().optional(),
+  thinkingBudget: z.enum(["low", "medium", "high"]).optional(),
   enableProLazyEditsMode: z.boolean().optional(),
   enableProSmartFilesContextMode: z.boolean().optional(),
   selectedTemplateId: z.string().optional(),
diff --git a/src/pages/settings.tsx b/src/pages/settings.tsx
index 441c5af..22cefab 100644
--- a/src/pages/settings.tsx
+++ b/src/pages/settings.tsx
@@ -7,6 +7,7 @@ import { showSuccess, showError } from "@/lib/toast";
 import { AutoApproveSwitch } from "@/components/AutoApproveSwitch";
 import { TelemetrySwitch } from "@/components/TelemetrySwitch";
 import { MaxChatTurnsSelector } from "@/components/MaxChatTurnsSelector";
+import { ThinkingBudgetSelector } from "@/components/ThinkingBudgetSelector";
 import { useSettings } from "@/hooks/useSettings";
 import { useAppVersion } from "@/hooks/useAppVersion";
 import { Button } from "@/components/ui/button";
@@ -138,6 +139,10 @@ export default function SettingsPage() {
               </div>
             </div>
 
+            <div className="mt-4">
+              <ThinkingBudgetSelector />
+            </div>
+
             <div className="mt-4">
               <MaxChatTurnsSelector />
             </div>