diff --git a/pkgs/servers/code-server/default.nix b/pkgs/servers/code-server/default.nix
index 03667318804a..54aca01c1a40 100644
--- a/pkgs/servers/code-server/default.nix
+++ b/pkgs/servers/code-server/default.nix
@@ -71,18 +71,18 @@ let
   # To compute the commit when upgrading this derivation, do:
   # `$ git rev-parse <git-rev>` where <git-rev> is the git revision of the `src`
   # Example: `$ git rev-parse v4.14.1`
-  commit = "5c511237970f4be0f1e5785feaa254da951bc367";
+  commit = "e37b35278d4b529fd774469c3e1807ec8f4d1eb0";
 in
 stdenv.mkDerivation (finalAttrs: {
   pname = "code-server";
-  version = "4.15.0";
+  version = "4.16.0";
 
   src = fetchFromGitHub {
     owner = "coder";
     repo = "code-server";
     rev = "v${finalAttrs.version}";
     fetchSubmodules = true;
-    hash = "sha256-2/zIfeCROPrlwHuKk0ySPMLdI504aNLNZge+XUSrZB8=";
+    hash = "sha256-oGtYrCW9ZweWEkx7uQkQCQx53QoyV5Y3BMsvApGiY9Y=";
   };
 
   yarnCache = stdenv.mkDerivation {