Unfortunately, it seem that Microsoft, owning GitHub, is not willing to allow us to be free of the AI integrations. As best as I can tell, as long as you do not set up CoPilot in your environment, then it should not be able to run queries. However, it seems unlikely that you can remove it.

In VS Code 1.103.1, there is a "Finish Setup" icon in the bottom tray next to the Notifications bell that can serve as an indicator that you are not set up to use any AI models. However, it would be reasonable to guess that all other telemetry collected by the application is contributing to their AI development and integration.

If you are resolved to work with an editor that does not include any AI integrations, then you may need to change editors.