Claude Code v2.1.197 to v2.1.198 Major Updates - The Arrival of Claude Sonnet 5 and the Resumption of Claude Fable 5!

Claude Code v2.1.197 to v2.1.198 Major Updates - The Arrival of Claude Sonnet 5 and the Resumption of Claude Fable 5!

Here is a summary of the updates for Claude Code v2.1.197 to v2.1.198. The highlights include making Claude Sonnet 5 the default model, the general availability of Claude in Chrome, and the resumption of Claude Fable 5, along with numerous improvements to background agents.
2026.07.02

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This is Ishikawa from the Cloud Business Division. Here is a summary of the Claude Code updates for v2.1.197 ~ v2.1.198 (2026/06/30 ~ 2026/07/01).

Update Summary

This covers 2 versions (v2.1.197 ~ v2.1.198, 2026/06/30 ~ 2026/07/01), with a total of 33 changes included in the official CHANGELOG. The highlights are the new model Claude Sonnet 5 becoming the default and Claude in Chrome reaching General Availability (GA), along with numerous improvements and fixes related to background agents. As related news from the same period, Claude Fable 5 has resumed with promotional access available for a limited time (until 2026/07/07), making it usable again (details below).

スクリーンショット 2026-07-02 7.59.57

Notable Updates

  • New Feature: Claude Sonnet 5 has been introduced and has become the default model for Claude Code. It natively supports a 1 million token context window (v2.1.197)
  • New Feature: Claude in Chrome (Chrome browser operation feature) has reached General Availability (GA) (v2.1.198)
  • New Feature: Background agents launched from claude agents now automatically commit, push, and open a draft PR upon completing code work in a worktree, instead of stopping for confirmation (v2.1.198)
  • Bug Fix: An issue where brief network interruptions during a response would abort the turn has been fixed, and temporary errors are now automatically retried (v2.1.198)
  • Bug Fix: An issue where STS token expiration when using AWS would cause users to get stuck after "Please run /login" has been fixed (v2.1.198)

Target Versions and Period

Version Release Date
v2.1.197 2026/06/30
v2.1.198 2026/07/01

New Features

Claude Sonnet 5 Becomes the Default Model (v2.1.197)

Claude Sonnet 5 has been announced and has become the default model for Claude Code. It natively supports a 1 million token context window, and is available at promotional pricing (input $2 / output $10 per 1 million tokens) until August 31. Updating to v2.1.197 or later is required to use it.

https://www.anthropic.com/news/claude-sonnet-5

Claude in Chrome Reaches General Availability (GA) (v2.1.198)

Claude in Chrome has reached General Availability. By integrating with the Claude in Chrome extension, this feature allows Claude Code to operate the Chrome browser to perform tasks such as testing web apps, debugging using console logs, automating form input, and extracting data from pages.

https://code.claude.com/docs/en/chrome

Other New Features (v2.1.198)

  • Background agent notifications have been added to claude agents. Sessions that are waiting for input or have completed will fire Notification hooks (agent_needs_input / agent_completed), enabling desktop notifications and similar integrations via hooks
  • A /dataviz skill for chart and dashboard design guidance has been added. It comes with an executable color palette validator
  • Claude Platform on AWS (anthropicAws) has been added as an upstream provider for Gateway. It also now advances to the next failover candidate when a model-not-found response is received. This is a change for environments using Claude Code via Gateway

Separate from the CHANGELOG for the target versions, the official X account announced "Fable 5 is back," and promotional access to Claude Fable 5 has resumed.

https://x.com/claudeai/status/2072402636813607381

It is available for a limited time as part of subscription plans at no additional cost.

  • The period is 2026/07/01 ~ 2026/07/07 23:59:59 (Pacific Time)
  • Eligible plans are Pro, Max, Team, and premium seats on seat-based Enterprise plans (when enabled by the organization)
  • During the period, Claude Fable 5 can be used at no additional cost for up to 50% of the weekly usage limit. After reaching the limit, you can continue with usage credits or switch to another model to use the remaining limit
  • Version v2.1.170 or later is required to use it with Claude Code
  • API usage is not eligible; usage via the Claude API is billed separately at standard rates

Note that after the period ends, it will no longer be included in the plan's weekly usage limit, and you can continue using it through usage credits. Please refer to the support article below for details.

https://support.claude.com/en/articles/15424964-claude-fable-5-promotional-access

Improvements

  • Background agents automatically create draft PRs: Background agents launched from claude agents now automatically proceed to commit, push, and open a draft PR upon completing code work in a worktree, rather than stopping for confirmation (v2.1.198)
  • Explore agent model inheritance: The built-in Explore agent now inherits the model of the main session (with a cap at opus) instead of being fixed to haiku (v2.1.198)
  • Extended thinking setting inheritance: Sub-agents and context compaction now inherit the session's extended thinking settings, improving the output quality of delegated tasks (v2.1.198)
  • Focus mode improvements: Sub-agents launched during a turn are now shown in the activity summary, and completed background notifications are collapsed into a single count (v2.1.198)
  • Improved display during API retries: From the second attempt onward, the error reason is displayed, and a link to the status page is shown during API overload (v2.1.198)
  • Handling of instructions to sub-agents: Sub-agents now treat messages from the agent that launched them as normal task instructions. However, agent messages are still not treated as user approval (v2.1.198)
  • /login in claude agents view: Instead of showing "unavailable," a sign-in dialog now opens (v2.1.198)
  • Improved syntax highlighting accuracy: Upgrading to highlight.js 11 has improved the display accuracy of code blocks, diffs, and file previews (v2.1.198)
  • Shortcut display when connected via SSH: When connecting from a Mac via SSH, keyboard shortcut hints now display opt/cmd instead of alt/super (v2.1.198)

Fixes (Major)

Here is a selection of fixes primarily related to stability and usability. All items below are for v2.1.198.

  • Fixed turn interruption due to brief network disconnections: An issue where brief network interruptions occurring mid-response would abort the turn has been fixed. Temporary errors like ECONNRESET are now automatically retried with backoff
  • Fixed STS token expiration when using AWS: An issue where STS token expiration in Claude Platform on AWS and Mantle sessions would cause users to get stuck at "Please run /login" has been fixed. awsAuthRefresh is now executed automatically
  • Fixed "Running" display getting stuck in the task panel: An issue where background tasks in the task panel on Web, Desktop, and VS Code would remain stuck showing "Running" after completion or after resuming a session has been fixed
  • Fixed agent team behavior on stop: Teammates that stopped due to an API error now report "failed" to the lead, and sending a message to an unresponsive teammate now triggers an immediate retry
  • Fixed excessive background classification requests: An issue where sandboxed processes repeatedly accessing the same network host would cause excessive background classification requests has been fixed
  • Fixed missing updates in /diff panel: An issue where the /diff panel would not update when switching branches or committing outside of a session has been fixed
  • Fixed silent failure when using claude --bg with --print: An issue where a non-attachable session would be silently created has been fixed, and conflicting flag combinations are now rejected upfront
  • Fixed conditional rules not loading via symbolic links: An issue where conditional rules in .claude/rules/ would not load when accessing target files via symbolic link paths has been fixed
  • Fixed auto-approval at plan mode start: An issue where read-only tool calls were not automatically approved when starting a session in plan mode has been fixed
  • In addition, numerous minor bugs have been fixed related to fullscreen mode display (Markdown tables, URL selection, Cmd+click in Warp), macOS background agents (local network connections, reconnection display), claude attach key operations, /desktop and /branch behavior, workflow progress views, and more.

Breaking Changes / Deprecations

  • The /agents wizard has been removed (v2.1.198): To create and manage sub-agents going forward, either ask Claude directly (e.g., "Create a sub-agent that does ○○") or edit the definition files directly in the .claude/agents/ directory

Closing

v2.1.197 ~ v2.1.198 brings updates that expand the stability and automation scope of daily use, including the default switch to Claude Sonnet 5, Claude in Chrome reaching GA, automatic draft PR creation by background agents, and automatic retries on brief network interruptions. Updating to v2.1.197 or later is required to use Claude Sonnet 5. Users who were using the /agents wizard will be affected by its removal, so please confirm the migration to the alternative approach. If any of these changes interest you, try updating and checking them out.

References

https://github.com/anthropics/claude-code/blob/main/CHANGELOG.md

https://code.claude.com/docs/en/changelog

https://www.anthropic.com/news/claude-sonnet-5

https://code.claude.com/docs/en/chrome

https://support.claude.com/en/articles/15424964-claude-fable-5-promotional-access


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