diff --git a/lib/vscode/src/vs/platform/extensionManagement/node/extensionsScanner.ts b/lib/vscode/src/vs/platform/extensionManagement/node/extensionsScanner.ts
index b59301aa..ffec784a 100644
--- a/lib/vscode/src/vs/platform/extensionManagement/node/extensionsScanner.ts
+++ b/lib/vscode/src/vs/platform/extensionManagement/node/extensionsScanner.ts
@@ -24,7 +24,7 @@ import { isWindows } from 'vs/base/common/platform';
 import { flatten } from 'vs/base/common/arrays';
 import { IStringDictionary } from 'vs/base/common/collections';
 import { FileAccess } from 'vs/base/common/network';
-import { FileOperationError, FileOperationResult, IFileService } from 'vs/platform/files/common/files';
+import { IFileService } from 'vs/platform/files/common/files';
 import { basename } from 'vs/base/common/resources';
 import { generateUuid } from 'vs/base/common/uuid';
 import { getErrorMessage } from 'vs/base/common/errors';
@@ -274,22 +274,11 @@ export class ExtensionsScanner extends Disposable {
 		return [...systemExtensions, ...devSystemExtensions];
 	}
 
+
 	private async scanExtensionsInDir(dir: string, type: ExtensionType): Promise<ILocalExtension[]> {
 		const limiter = new Limiter<any>(10);
-		/*
-		 * NOTE@coder: use fileService.resolve() like upstream does,
-		 * but simply ignore directories that do not exist. (upstream does not)
-		 *
-		 * Used to (<1.54) use pfs.readdir.
-		 */
-		const stat = await this.fileService.resolve(URI.file(dir))
-			.catch((error) => {
-				if (!(error instanceof FileOperationError && error.fileOperationResult === FileOperationResult.FILE_NOT_FOUND)) {
-					throw error;
-				}
-				return undefined;
-			});
-		if (stat && stat.children) {
+		const stat = await this.fileService.resolve(URI.file(dir));
+		if (stat.children) {
 			const extensions = await Promise.all<ILocalExtension>(stat.children.filter(c => c.isDirectory)
 				.map(c => limiter.queue(async () => {
 					if (type === ExtensionType.User && basename(c.resource).indexOf('.') === 0) { // Do not consider user extension folder starting with `.`
diff --git a/lib/vscode/src/vs/server/node/server.ts b/lib/vscode/src/vs/server/node/server.ts
index a3708045..1d5de690 100644
--- a/lib/vscode/src/vs/server/node/server.ts
+++ b/lib/vscode/src/vs/server/node/server.ts
@@ -1,4 +1,4 @@
-import * as fs from 'fs';
+import { promises as fs } from 'fs';
 import * as net from 'net';
 import { hostname, release } from 'os';
 import * as path from 'path';
@@ -213,8 +213,18 @@ export class Vscode {
 	private async initializeServices(args: NativeParsedArgs): Promise<void> {
 		const productService = { _serviceBrand: undefined, ...product };
 		const environmentService = new NativeEnvironmentService(args, productService);
-		// https://github.com/cdr/code-server/issues/1693
-		fs.mkdirSync(environmentService.globalStorageHome.fsPath, { recursive: true });
+
+		await Promise.all([
+			environmentService.extensionsPath,
+			environmentService.logsPath,
+			environmentService.globalStorageHome.fsPath,
+			environmentService.workspaceStorageHome.fsPath,
+			...environmentService.extraExtensionPaths,
+			...environmentService.extraBuiltinExtensionPaths,
+		].map((p) => fs.mkdir(p, { recursive: true }).catch((error) => {
+			logger.warn(error.message || error);
+		})));
+
 		const logService = new MultiplexLogService([
 			new ConsoleLogger(getLogLevel(environmentService)),
 			new SpdLogLogger(RemoteExtensionLogFileName, path.join(environmentService.logsPath, `${RemoteExtensionLogFileName}.log`), false, getLogLevel(environmentService))