diff --git a/Cargo.lock b/Cargo.lock
index 080a6a4cf4183fb5cade03ba36072b448ab4b70a..20f19de832c567c6866731f128f049bd77d7be57 100644
--- a/Cargo.lock
+++ b/Cargo.lock
@@ -8814,6 +8814,7 @@ dependencies = [
  "regex",
  "rpc",
  "schemars",
+ "semver",
  "serde",
  "serde_json",
  "settings",
@@ -9048,6 +9049,7 @@ dependencies = [
  "regex",
  "rope",
  "rust-embed",
+ "semver",
  "serde",
  "serde_json",
  "serde_json_lenient",
diff --git a/crates/copilot/src/copilot.rs b/crates/copilot/src/copilot.rs
index 45f0796bf53acfef1fb1e81146c0de7c5187fb99..f248fbdb43ec37b19ca951992df6a7ddbc4f7313 100644
--- a/crates/copilot/src/copilot.rs
+++ b/crates/copilot/src/copilot.rs
@@ -1246,7 +1246,10 @@ async fn get_copilot_lsp(fs: Arc<dyn Fs>, node_runtime: NodeRuntime) -> anyhow::
         .await;
     if should_install {
         node_runtime
-            .npm_install_packages(paths::copilot_dir(), &[(PACKAGE_NAME, &latest_version)])
+            .npm_install_packages(
+                paths::copilot_dir(),
+                &[(PACKAGE_NAME, &latest_version.to_string())],
+            )
             .await?;
     }
 
diff --git a/crates/extension_host/src/wasm_host/wit/since_v0_8_0.rs b/crates/extension_host/src/wasm_host/wit/since_v0_8_0.rs
index b2e0a1a4fbbf302a41cd509c27df9f52dc9a788d..8b3f8e86b71e959eade1e5d3710ce66b5b2d3008 100644
--- a/crates/extension_host/src/wasm_host/wit/since_v0_8_0.rs
+++ b/crates/extension_host/src/wasm_host/wit/since_v0_8_0.rs
@@ -736,6 +736,7 @@ impl nodejs::Host for WasmState {
             .node_runtime
             .npm_package_latest_version(&package_name)
             .await
+            .map(|v| v.to_string())
             .to_wasmtime_result()
     }
 
@@ -747,6 +748,7 @@ impl nodejs::Host for WasmState {
             .node_runtime
             .npm_package_installed_version(&self.work_dir(), &package_name)
             .await
+            .map(|option| option.map(|version| version.to_string()))
             .to_wasmtime_result()
     }
 
diff --git a/crates/language/Cargo.toml b/crates/language/Cargo.toml
index 49ea681290c3edc878391a337c5423fa795dba4f..3ba93476d2a9fa5371b9d146cfc0c5833a748842 100644
--- a/crates/language/Cargo.toml
+++ b/crates/language/Cargo.toml
@@ -48,6 +48,7 @@ rand = { workspace = true, optional = true }
 regex.workspace = true
 rpc.workspace = true
 schemars.workspace = true
+semver.workspace = true
 serde.workspace = true
 serde_json.workspace = true
 settings.workspace = true
diff --git a/crates/language/src/language.rs b/crates/language/src/language.rs
index b0805c4ddd9d1203a1f1a3071e8640fd016c1fb1..eceb68f3e578fda97af292fee395a8ac4f0829c9 100644
--- a/crates/language/src/language.rs
+++ b/crates/language/src/language.rs
@@ -43,6 +43,7 @@ pub use manifest::{ManifestDelegate, ManifestName, ManifestProvider, ManifestQue
 use parking_lot::Mutex;
 use regex::Regex;
 use schemars::{JsonSchema, SchemaGenerator, json_schema};
+use semver::Version;
 use serde::{Deserialize, Deserializer, Serialize, Serializer, de};
 use serde_json::Value;
 use settings::WorktreeId;
@@ -347,7 +348,7 @@ pub trait LspAdapterDelegate: Send + Sync {
     async fn npm_package_installed_version(
         &self,
         package_name: &str,
-    ) -> Result<Option<(PathBuf, String)>>;
+    ) -> Result<Option<(PathBuf, Version)>>;
     async fn which(&self, command: &OsStr) -> Option<PathBuf>;
     async fn shell_env(&self) -> HashMap<String, String>;
     async fn read_text_file(&self, path: &RelPath) -> Result<String>;
diff --git a/crates/languages/Cargo.toml b/crates/languages/Cargo.toml
index c0aa9c39aacd86e45071bfe7f7289e50cb64b9b1..8529bdb82ace33d6f3c747ed707b9aac9d319627 100644
--- a/crates/languages/Cargo.toml
+++ b/crates/languages/Cargo.toml
@@ -68,6 +68,7 @@ serde_json.workspace = true
 serde_json_lenient.workspace = true
 settings.workspace = true
 smallvec.workspace = true
+semver.workspace = true
 smol.workspace = true
 snippet.workspace = true
 task.workspace = true
diff --git a/crates/languages/src/css.rs b/crates/languages/src/css.rs
index 6a925586a622adbf6d8e2e3b1076278c3680a39a..ca6bbd827e1c58beb13244d61e69d5c14a29c89d 100644
--- a/crates/languages/src/css.rs
+++ b/crates/languages/src/css.rs
@@ -5,6 +5,7 @@ use language::{LspAdapter, LspAdapterDelegate, LspInstaller, Toolchain};
 use lsp::{LanguageServerBinary, LanguageServerName, Uri};
 use node_runtime::{NodeRuntime, VersionStrategy};
 use project::lsp_store::language_server_settings;
+use semver::Version;
 use serde_json::json;
 use std::{
     ffi::OsString,
@@ -32,14 +33,14 @@ impl CssLspAdapter {
 }
 
 impl LspInstaller for CssLspAdapter {
-    type BinaryVersion = String;
+    type BinaryVersion = Version;
 
     async fn fetch_latest_server_version(
         &self,
         _: &dyn LspAdapterDelegate,
         _: bool,
         _: &mut AsyncApp,
-    ) -> Result<String> {
+    ) -> Result<Self::BinaryVersion> {
         self.node
             .npm_package_latest_version("vscode-langservers-extracted")
             .await
@@ -65,11 +66,12 @@ impl LspInstaller for CssLspAdapter {
 
     async fn fetch_server_binary(
         &self,
-        latest_version: String,
+        latest_version: Self::BinaryVersion,
         container_dir: PathBuf,
         _: &dyn LspAdapterDelegate,
     ) -> Result<LanguageServerBinary> {
         let server_path = container_dir.join(SERVER_PATH);
+        let latest_version = latest_version.to_string();
 
         self.node
             .npm_install_packages(
@@ -87,7 +89,7 @@ impl LspInstaller for CssLspAdapter {
 
     async fn check_if_version_installed(
         &self,
-        version: &String,
+        version: &Self::BinaryVersion,
         container_dir: &PathBuf,
         _: &dyn LspAdapterDelegate,
     ) -> Option<LanguageServerBinary> {
diff --git a/crates/languages/src/json.rs b/crates/languages/src/json.rs
index 5168ba6e6188da62745df72a031f1d3bcda9a5d2..5e0f4907ef09973ad5d7b4f67c19ced1f1ddf05e 100644
--- a/crates/languages/src/json.rs
+++ b/crates/languages/src/json.rs
@@ -13,6 +13,7 @@ use language::{
 use lsp::{LanguageServerBinary, LanguageServerName, Uri};
 use node_runtime::{NodeRuntime, VersionStrategy};
 use project::lsp_store::language_server_settings;
+use semver::Version;
 use serde_json::{Value, json};
 use smol::{
     fs::{self},
@@ -142,14 +143,14 @@ impl JsonLspAdapter {
 }
 
 impl LspInstaller for JsonLspAdapter {
-    type BinaryVersion = String;
+    type BinaryVersion = Version;
 
     async fn fetch_latest_server_version(
         &self,
         _: &dyn LspAdapterDelegate,
         _: bool,
         _: &mut AsyncApp,
-    ) -> Result<String> {
+    ) -> Result<Self::BinaryVersion> {
         self.node
             .npm_package_latest_version(Self::PACKAGE_NAME)
             .await
@@ -175,7 +176,7 @@ impl LspInstaller for JsonLspAdapter {
 
     async fn check_if_version_installed(
         &self,
-        version: &String,
+        version: &Self::BinaryVersion,
         container_dir: &PathBuf,
         _: &dyn LspAdapterDelegate,
     ) -> Option<LanguageServerBinary> {
@@ -204,11 +205,12 @@ impl LspInstaller for JsonLspAdapter {
 
     async fn fetch_server_binary(
         &self,
-        latest_version: String,
+        latest_version: Self::BinaryVersion,
         container_dir: PathBuf,
         _: &dyn LspAdapterDelegate,
     ) -> Result<LanguageServerBinary> {
         let server_path = container_dir.join(SERVER_PATH);
+        let latest_version = latest_version.to_string();
 
         self.node
             .npm_install_packages(
diff --git a/crates/languages/src/python.rs b/crates/languages/src/python.rs
index b987d059ccaf53126e427a36c4f598817acd63de..77d4be6f49a4928731d39d2154cbe4f0e38024ef 100644
--- a/crates/languages/src/python.rs
+++ b/crates/languages/src/python.rs
@@ -19,6 +19,7 @@ use pet_core::python_environment::{PythonEnvironment, PythonEnvironmentKind};
 use pet_virtualenv::is_virtualenv_dir;
 use project::Fs;
 use project::lsp_store::language_server_settings;
+use semver::Version;
 use serde::{Deserialize, Serialize};
 use serde_json::{Value, json};
 use settings::Settings;
@@ -621,14 +622,14 @@ impl LspAdapter for PyrightLspAdapter {
 }
 
 impl LspInstaller for PyrightLspAdapter {
-    type BinaryVersion = String;
+    type BinaryVersion = Version;
 
     async fn fetch_latest_server_version(
         &self,
         _: &dyn LspAdapterDelegate,
         _: bool,
         _: &mut AsyncApp,
-    ) -> Result<String> {
+    ) -> Result<Self::BinaryVersion> {
         self.node
             .npm_package_latest_version(Self::SERVER_NAME.as_ref())
             .await
@@ -672,6 +673,7 @@ impl LspInstaller for PyrightLspAdapter {
         delegate: &dyn LspAdapterDelegate,
     ) -> Result<LanguageServerBinary> {
         let server_path = container_dir.join(Self::SERVER_PATH);
+        let latest_version = latest_version.to_string();
 
         self.node
             .npm_install_packages(
@@ -2040,14 +2042,14 @@ impl LspAdapter for BasedPyrightLspAdapter {
 }
 
 impl LspInstaller for BasedPyrightLspAdapter {
-    type BinaryVersion = String;
+    type BinaryVersion = Version;
 
     async fn fetch_latest_server_version(
         &self,
         _: &dyn LspAdapterDelegate,
         _: bool,
         _: &mut AsyncApp,
-    ) -> Result<String> {
+    ) -> Result<Self::BinaryVersion> {
         self.node
             .npm_package_latest_version(Self::SERVER_NAME.as_ref())
             .await
@@ -2092,6 +2094,7 @@ impl LspInstaller for BasedPyrightLspAdapter {
         delegate: &dyn LspAdapterDelegate,
     ) -> Result<LanguageServerBinary> {
         let server_path = container_dir.join(Self::SERVER_PATH);
+        let latest_version = latest_version.to_string();
 
         self.node
             .npm_install_packages(
diff --git a/crates/languages/src/tailwind.rs b/crates/languages/src/tailwind.rs
index 7e23c4ba5255c0413904797d1f8094e67834fa6a..b4b6f76cec28d5d21c31ea67aa72ead6814eae7d 100644
--- a/crates/languages/src/tailwind.rs
+++ b/crates/languages/src/tailwind.rs
@@ -6,6 +6,7 @@ use language::{LanguageName, LspAdapter, LspAdapterDelegate, LspInstaller, Toolc
 use lsp::{LanguageServerBinary, LanguageServerName, Uri};
 use node_runtime::{NodeRuntime, VersionStrategy};
 use project::lsp_store::language_server_settings;
+use semver::Version;
 use serde_json::{Value, json};
 use std::{
     ffi::OsString,
@@ -39,14 +40,14 @@ impl TailwindLspAdapter {
 }
 
 impl LspInstaller for TailwindLspAdapter {
-    type BinaryVersion = String;
+    type BinaryVersion = Version;
 
     async fn fetch_latest_server_version(
         &self,
         _: &dyn LspAdapterDelegate,
         _: bool,
         _: &mut AsyncApp,
-    ) -> Result<String> {
+    ) -> Result<Self::BinaryVersion> {
         self.node
             .npm_package_latest_version(Self::PACKAGE_NAME)
             .await
@@ -70,11 +71,12 @@ impl LspInstaller for TailwindLspAdapter {
 
     async fn fetch_server_binary(
         &self,
-        latest_version: String,
+        latest_version: Self::BinaryVersion,
         container_dir: PathBuf,
         _: &dyn LspAdapterDelegate,
     ) -> Result<LanguageServerBinary> {
         let server_path = container_dir.join(SERVER_PATH);
+        let latest_version = latest_version.to_string();
 
         self.node
             .npm_install_packages(
@@ -92,7 +94,7 @@ impl LspInstaller for TailwindLspAdapter {
 
     async fn check_if_version_installed(
         &self,
-        version: &String,
+        version: &Self::BinaryVersion,
         container_dir: &PathBuf,
         _: &dyn LspAdapterDelegate,
     ) -> Option<LanguageServerBinary> {
diff --git a/crates/languages/src/typescript.rs b/crates/languages/src/typescript.rs
index 7daf178d37229a5b051461e199c3dbf8d830cf22..4f9476d5afa488074b3d770b9f007d155b4863e7 100644
--- a/crates/languages/src/typescript.rs
+++ b/crates/languages/src/typescript.rs
@@ -12,6 +12,7 @@ use language::{
 use lsp::{CodeActionKind, LanguageServerBinary, LanguageServerName, Uri};
 use node_runtime::{NodeRuntime, VersionStrategy};
 use project::{Fs, lsp_store::language_server_settings};
+use semver::Version;
 use serde_json::{Value, json};
 use smol::lock::RwLock;
 use std::{
@@ -635,8 +636,8 @@ impl TypeScriptLspAdapter {
 }
 
 pub struct TypeScriptVersions {
-    typescript_version: String,
-    server_version: String,
+    typescript_version: Version,
+    server_version: Version,
 }
 
 impl LspInstaller for TypeScriptLspAdapter {
@@ -647,7 +648,7 @@ impl LspInstaller for TypeScriptLspAdapter {
         _: &dyn LspAdapterDelegate,
         _: bool,
         _: &mut AsyncApp,
-    ) -> Result<TypeScriptVersions> {
+    ) -> Result<Self::BinaryVersion> {
         Ok(TypeScriptVersions {
             typescript_version: self
                 .node
@@ -662,7 +663,7 @@ impl LspInstaller for TypeScriptLspAdapter {
 
     async fn check_if_version_installed(
         &self,
-        version: &TypeScriptVersions,
+        version: &Self::BinaryVersion,
         container_dir: &PathBuf,
         _: &dyn LspAdapterDelegate,
     ) -> Option<LanguageServerBinary> {
@@ -674,7 +675,7 @@ impl LspInstaller for TypeScriptLspAdapter {
                 Self::PACKAGE_NAME,
                 &server_path,
                 container_dir,
-                VersionStrategy::Latest(version.typescript_version.as_str()),
+                VersionStrategy::Latest(&version.typescript_version),
             )
             .await
         {
@@ -687,7 +688,7 @@ impl LspInstaller for TypeScriptLspAdapter {
                 Self::SERVER_PACKAGE_NAME,
                 &server_path,
                 container_dir,
-                VersionStrategy::Latest(version.server_version.as_str()),
+                VersionStrategy::Latest(&version.server_version),
             )
             .await
         {
@@ -703,7 +704,7 @@ impl LspInstaller for TypeScriptLspAdapter {
 
     async fn fetch_server_binary(
         &self,
-        latest_version: TypeScriptVersions,
+        latest_version: Self::BinaryVersion,
         container_dir: PathBuf,
         _: &dyn LspAdapterDelegate,
     ) -> Result<LanguageServerBinary> {
@@ -715,11 +716,11 @@ impl LspInstaller for TypeScriptLspAdapter {
                 &[
                     (
                         Self::PACKAGE_NAME,
-                        latest_version.typescript_version.as_str(),
+                        &latest_version.typescript_version.to_string(),
                     ),
                     (
                         Self::SERVER_PACKAGE_NAME,
-                        latest_version.server_version.as_str(),
+                        &latest_version.server_version.to_string(),
                     ),
                 ],
             )
diff --git a/crates/languages/src/vtsls.rs b/crates/languages/src/vtsls.rs
index b21ae1a4de24e0a8035e8fda7d61223b5143c5ff..3d38e022afe06f79d7e555263183a948c941f337 100644
--- a/crates/languages/src/vtsls.rs
+++ b/crates/languages/src/vtsls.rs
@@ -7,6 +7,7 @@ use lsp::{CodeActionKind, LanguageServerBinary, LanguageServerName, Uri};
 use node_runtime::{NodeRuntime, VersionStrategy};
 use project::{Fs, lsp_store::language_server_settings};
 use regex::Regex;
+use semver::Version;
 use serde_json::Value;
 use std::{
     ffi::OsString,
@@ -74,8 +75,8 @@ impl VtslsLspAdapter {
 }
 
 pub struct TypeScriptVersions {
-    typescript_version: String,
-    server_version: String,
+    typescript_version: Version,
+    server_version: Version,
 }
 
 const SERVER_NAME: LanguageServerName = LanguageServerName::new_static("vtsls");
@@ -88,7 +89,7 @@ impl LspInstaller for VtslsLspAdapter {
         _: &dyn LspAdapterDelegate,
         _: bool,
         _: &mut AsyncApp,
-    ) -> Result<TypeScriptVersions> {
+    ) -> Result<Self::BinaryVersion> {
         Ok(TypeScriptVersions {
             typescript_version: self.node.npm_package_latest_version("typescript").await?,
             server_version: self
@@ -115,12 +116,15 @@ impl LspInstaller for VtslsLspAdapter {
 
     async fn fetch_server_binary(
         &self,
-        latest_version: TypeScriptVersions,
+        latest_version: Self::BinaryVersion,
         container_dir: PathBuf,
         _: &dyn LspAdapterDelegate,
     ) -> Result<LanguageServerBinary> {
         let server_path = container_dir.join(Self::SERVER_PATH);
 
+        let typescript_version = latest_version.typescript_version.to_string();
+        let server_version = latest_version.server_version.to_string();
+
         let mut packages_to_install = Vec::new();
 
         if self
@@ -133,7 +137,7 @@ impl LspInstaller for VtslsLspAdapter {
             )
             .await
         {
-            packages_to_install.push((Self::PACKAGE_NAME, latest_version.server_version.as_str()));
+            packages_to_install.push((Self::PACKAGE_NAME, server_version.as_str()));
         }
 
         if self
@@ -146,10 +150,7 @@ impl LspInstaller for VtslsLspAdapter {
             )
             .await
         {
-            packages_to_install.push((
-                Self::TYPESCRIPT_PACKAGE_NAME,
-                latest_version.typescript_version.as_str(),
-            ));
+            packages_to_install.push((Self::TYPESCRIPT_PACKAGE_NAME, typescript_version.as_str()));
         }
 
         self.node
diff --git a/crates/languages/src/yaml.rs b/crates/languages/src/yaml.rs
index 57f254a68f126ac7f05c57d25ef0f920103f2233..6c1d8bc2d9e74578868dc687ec76a3b95790c5a9 100644
--- a/crates/languages/src/yaml.rs
+++ b/crates/languages/src/yaml.rs
@@ -7,6 +7,7 @@ use language::{
 use lsp::{LanguageServerBinary, LanguageServerName, Uri};
 use node_runtime::{NodeRuntime, VersionStrategy};
 use project::lsp_store::language_server_settings;
+use semver::Version;
 use serde_json::Value;
 use settings::{Settings, SettingsLocation};
 use std::{
@@ -35,14 +36,14 @@ impl YamlLspAdapter {
 }
 
 impl LspInstaller for YamlLspAdapter {
-    type BinaryVersion = String;
+    type BinaryVersion = Version;
 
     async fn fetch_latest_server_version(
         &self,
         _: &dyn LspAdapterDelegate,
         _: bool,
         _: &mut AsyncApp,
-    ) -> Result<String> {
+    ) -> Result<Self::BinaryVersion> {
         self.node
             .npm_package_latest_version("yaml-language-server")
             .await
@@ -66,7 +67,7 @@ impl LspInstaller for YamlLspAdapter {
 
     async fn fetch_server_binary(
         &self,
-        latest_version: String,
+        latest_version: Self::BinaryVersion,
         container_dir: PathBuf,
         _: &dyn LspAdapterDelegate,
     ) -> Result<LanguageServerBinary> {
@@ -75,7 +76,7 @@ impl LspInstaller for YamlLspAdapter {
         self.node
             .npm_install_packages(
                 &container_dir,
-                &[(Self::PACKAGE_NAME, latest_version.as_str())],
+                &[(Self::PACKAGE_NAME, &latest_version.to_string())],
             )
             .await?;
 
@@ -88,7 +89,7 @@ impl LspInstaller for YamlLspAdapter {
 
     async fn check_if_version_installed(
         &self,
-        version: &String,
+        version: &Self::BinaryVersion,
         container_dir: &PathBuf,
         _: &dyn LspAdapterDelegate,
     ) -> Option<LanguageServerBinary> {
diff --git a/crates/node_runtime/src/node_runtime.rs b/crates/node_runtime/src/node_runtime.rs
index 322117cd717cac5c604ba215a2a1c7e0f7d87f06..5e4297988b665c3b89771838ef629ee87e88fb5b 100644
--- a/crates/node_runtime/src/node_runtime.rs
+++ b/crates/node_runtime/src/node_runtime.rs
@@ -34,9 +34,9 @@ pub struct NodeBinaryOptions {
 
 pub enum VersionStrategy<'a> {
     /// Install if current version doesn't match pinned version
-    Pin(&'a str),
+    Pin(&'a Version),
     /// Install if current version is older than latest version
-    Latest(&'a str),
+    Latest(&'a Version),
 }
 
 #[derive(Clone)]
@@ -230,14 +230,14 @@ impl NodeRuntime {
         &self,
         local_package_directory: &Path,
         name: &str,
-    ) -> Result<Option<String>> {
+    ) -> Result<Option<Version>> {
         self.instance()
             .await
             .npm_package_installed_version(local_package_directory, name)
             .await
     }
 
-    pub async fn npm_package_latest_version(&self, name: &str) -> Result<String> {
+    pub async fn npm_package_latest_version(&self, name: &str) -> Result<Version> {
         let http = self.0.lock().await.http.clone();
         let output = self
             .instance()
@@ -280,16 +280,19 @@ impl NodeRuntime {
             .map(|(name, version)| format!("{name}@{version}"))
             .collect();
 
-        let mut arguments: Vec<_> = packages.iter().map(|p| p.as_str()).collect();
-        arguments.extend_from_slice(&[
-            "--save-exact",
-            "--fetch-retry-mintimeout",
-            "2000",
-            "--fetch-retry-maxtimeout",
-            "5000",
-            "--fetch-timeout",
-            "5000",
-        ]);
+        let arguments: Vec<_> = packages
+            .iter()
+            .map(|p| p.as_str())
+            .chain([
+                "--save-exact",
+                "--fetch-retry-mintimeout",
+                "2000",
+                "--fetch-retry-maxtimeout",
+                "5000",
+                "--fetch-timeout",
+                "5000",
+            ])
+            .collect();
 
         // This is also wrong because the directory is wrong.
         self.run_npm_subcommand(Some(directory), "install", &arguments)
@@ -320,23 +323,9 @@ impl NodeRuntime {
             return true;
         };
 
-        let Some(installed_version) = Version::parse(&installed_version).log_err() else {
-            return true;
-        };
-
         match version_strategy {
-            VersionStrategy::Pin(pinned_version) => {
-                let Some(pinned_version) = Version::parse(pinned_version).log_err() else {
-                    return true;
-                };
-                installed_version != pinned_version
-            }
-            VersionStrategy::Latest(latest_version) => {
-                let Some(latest_version) = Version::parse(latest_version).log_err() else {
-                    return true;
-                };
-                installed_version < latest_version
-            }
+            VersionStrategy::Pin(pinned_version) => &installed_version != pinned_version,
+            VersionStrategy::Latest(latest_version) => &installed_version < latest_version,
         }
     }
 }
@@ -351,12 +340,12 @@ enum ArchiveType {
 pub struct NpmInfo {
     #[serde(default)]
     dist_tags: NpmInfoDistTags,
-    versions: Vec<String>,
+    versions: Vec<Version>,
 }
 
 #[derive(Debug, Deserialize, Default)]
 pub struct NpmInfoDistTags {
-    latest: Option<String>,
+    latest: Option<Version>,
 }
 
 #[async_trait::async_trait]
@@ -376,7 +365,7 @@ trait NodeRuntimeTrait: Send + Sync {
         &self,
         local_package_directory: &Path,
         name: &str,
-    ) -> Result<Option<String>>;
+    ) -> Result<Option<Version>>;
 }
 
 #[derive(Clone)]
@@ -610,7 +599,7 @@ impl NodeRuntimeTrait for ManagedNodeRuntime {
         &self,
         local_package_directory: &Path,
         name: &str,
-    ) -> Result<Option<String>> {
+    ) -> Result<Option<Version>> {
         read_package_installed_version(local_package_directory.join("node_modules"), name).await
     }
 }
@@ -735,7 +724,7 @@ impl NodeRuntimeTrait for SystemNodeRuntime {
         &self,
         local_package_directory: &Path,
         name: &str,
-    ) -> Result<Option<String>> {
+    ) -> Result<Option<Version>> {
         read_package_installed_version(local_package_directory.join("node_modules"), name).await
         // todo: allow returning a globally installed version (requires callers not to hard-code the path)
     }
@@ -744,7 +733,7 @@ impl NodeRuntimeTrait for SystemNodeRuntime {
 pub async fn read_package_installed_version(
     node_module_directory: PathBuf,
     name: &str,
-) -> Result<Option<String>> {
+) -> Result<Option<Version>> {
     let package_json_path = node_module_directory.join(name).join("package.json");
 
     let mut file = match fs::File::open(package_json_path).await {
@@ -760,7 +749,7 @@ pub async fn read_package_installed_version(
 
     #[derive(Deserialize)]
     struct PackageJson {
-        version: String,
+        version: Version,
     }
 
     let mut contents = String::new();
@@ -797,7 +786,7 @@ impl NodeRuntimeTrait for UnavailableNodeRuntime {
         &self,
         _local_package_directory: &Path,
         _: &str,
-    ) -> Result<Option<String>> {
+    ) -> Result<Option<Version>> {
         bail!("{}", self.error_message)
     }
 }
diff --git a/crates/project/src/agent_server_store.rs b/crates/project/src/agent_server_store.rs
index a2cc57beae9702e4d5b495a135e7c357c638c17a..287b25935676e2d5a09e92285a6cc94b81e52e13 100644
--- a/crates/project/src/agent_server_store.rs
+++ b/crates/project/src/agent_server_store.rs
@@ -22,6 +22,7 @@ use rpc::{
     proto::{self, ExternalExtensionAgent},
 };
 use schemars::JsonSchema;
+use semver::Version;
 use serde::{Deserialize, Serialize};
 use settings::{RegisterSetting, SettingsStore};
 use task::{Shell, SpawnInTerminal};
@@ -974,11 +975,10 @@ fn get_or_npm_install_builtin_agent(
         }
 
         versions.sort();
-        let newest_version = if let Some((version, file_name)) = versions.last().cloned()
+        let newest_version = if let Some((version, _)) = versions.last().cloned()
             && minimum_version.is_none_or(|minimum_version| version >= minimum_version)
         {
-            versions.pop();
-            Some(file_name)
+            versions.pop()
         } else {
             None
         };
@@ -1004,9 +1004,8 @@ fn get_or_npm_install_builtin_agent(
         })
         .detach();
 
-        let version = if let Some(file_name) = newest_version {
+        let version = if let Some((version, file_name)) = newest_version {
             cx.background_spawn({
-                let file_name = file_name.clone();
                 let dir = dir.clone();
                 let fs = fs.clone();
                 async move {
@@ -1015,7 +1014,7 @@ fn get_or_npm_install_builtin_agent(
                         .await
                         .ok();
                     if let Some(latest_version) = latest_version
-                        && &latest_version != &file_name.to_string_lossy()
+                        && latest_version != version
                     {
                         let download_result = download_latest_version(
                             fs,
@@ -1028,7 +1027,9 @@ fn get_or_npm_install_builtin_agent(
                         if let Some(mut new_version_available) = new_version_available
                             && download_result.is_some()
                         {
-                            new_version_available.send(Some(latest_version)).ok();
+                            new_version_available
+                                .send(Some(latest_version.to_string()))
+                                .ok();
                         }
                     }
                 }
@@ -1047,6 +1048,7 @@ fn get_or_npm_install_builtin_agent(
                 package_name.clone(),
             ))
             .await?
+            .to_string()
             .into()
         };
 
@@ -1093,7 +1095,7 @@ async fn download_latest_version(
     dir: PathBuf,
     node_runtime: NodeRuntime,
     package_name: SharedString,
-) -> Result<String> {
+) -> Result<Version> {
     log::debug!("downloading latest version of {package_name}");
 
     let tmp_dir = tempfile::tempdir_in(&dir)?;
@@ -1109,7 +1111,7 @@ async fn download_latest_version(
 
     fs.rename(
         &tmp_dir.keep(),
-        &dir.join(&version),
+        &dir.join(version.to_string()),
         RenameOptions {
             ignore_if_exists: true,
             overwrite: true,
diff --git a/crates/project/src/debugger/session.rs b/crates/project/src/debugger/session.rs
index 82a139ea242889f89c3a6a0c6d41e83e00cbfec2..1bc41df4bd89b4a32b71ed4f0bec0a61e729f998 100644
--- a/crates/project/src/debugger/session.rs
+++ b/crates/project/src/debugger/session.rs
@@ -3118,10 +3118,11 @@ async fn get_or_install_companion(node: NodeRuntime, cx: &mut AsyncApp) -> Resul
             .await
             .context("getting installed companion version")?
             .context("companion was not installed")?;
-        smol::fs::rename(temp_dir.path(), dir.join(&version))
+        let version_folder = dir.join(version.to_string());
+        smol::fs::rename(temp_dir.path(), &version_folder)
             .await
             .context("moving companion package into place")?;
-        Ok(dir.join(version))
+        Ok(version_folder)
     }
 
     let dir = paths::debug_adapters_dir().join("js-debug-companion");
@@ -3134,19 +3135,23 @@ async fn get_or_install_companion(node: NodeRuntime, cx: &mut AsyncApp) -> Resul
                     .await
                     .context("creating companion installation directory")?;
 
-                let mut children = smol::fs::read_dir(&dir)
+                let children = smol::fs::read_dir(&dir)
                     .await
                     .context("reading companion installation directory")?
                     .try_collect::<Vec<_>>()
                     .await
                     .context("reading companion installation directory entries")?;
-                children
-                    .sort_by_key(|child| semver::Version::parse(child.file_name().to_str()?).ok());
 
-                let latest_installed_version = children.last().and_then(|child| {
-                    let version = child.file_name().into_string().ok()?;
-                    Some((child.path(), version))
-                });
+                let latest_installed_version = children
+                    .iter()
+                    .filter_map(|child| {
+                        Some((
+                            child.path(),
+                            semver::Version::parse(child.file_name().to_str()?).ok()?,
+                        ))
+                    })
+                    .max_by_key(|(_, version)| version.clone());
+
                 let latest_version = node
                     .npm_package_latest_version(PACKAGE_NAME)
                     .await
diff --git a/crates/project/src/lsp_store.rs b/crates/project/src/lsp_store.rs
index 83c2abfbb863166fd52e177dd75b497ca5111999..9b3eeebed79724196290738b51376e412ca11b22 100644
--- a/crates/project/src/lsp_store.rs
+++ b/crates/project/src/lsp_store.rs
@@ -93,6 +93,7 @@ use rpc::{
     AnyProtoClient, ErrorCode, ErrorExt as _,
     proto::{LspRequestId, LspRequestMessage as _},
 };
+use semver::Version;
 use serde::Serialize;
 use serde_json::Value;
 use settings::{Settings, SettingsLocation, SettingsStore};
@@ -13981,7 +13982,7 @@ impl LspAdapterDelegate for LocalLspAdapterDelegate {
     async fn npm_package_installed_version(
         &self,
         package_name: &str,
-    ) -> Result<Option<(PathBuf, String)>> {
+    ) -> Result<Option<(PathBuf, Version)>> {
         let local_package_directory = self.worktree_root_path();
         let node_modules_directory = local_package_directory.join("node_modules");
 
diff --git a/crates/project/src/prettier_store.rs b/crates/project/src/prettier_store.rs
index 40deac76404ddb4378fe08cae931d0f0e3583487..a8b6fe37701d85d06d837a0a5e494e2a294777ec 100644
--- a/crates/project/src/prettier_store.rs
+++ b/crates/project/src/prettier_store.rs
@@ -905,7 +905,7 @@ async fn install_prettier_packages(
                     .with_context(|| {
                         format!("fetching latest npm version for package {returned_package_name}")
                     })?;
-                anyhow::Ok((returned_package_name, latest_version))
+                anyhow::Ok((returned_package_name, latest_version.to_string()))
             }),
     )
     .await