VSCode is open (MIT) but it is packaged by MS to include some tracking/telemetry and they are distributed under a non-free license.

You can use VSCodium for a telemetry free and MIT licensed binary or you are free to build the source where the default config is no telemetry and MIT license.

Exactly what I did. I went for the 1tb though. The storage prices for the deck are pretty outrageous and upgrading is pretty easy. So a 64gb deck + 1tb card comes out to be about the same as a 256gb deck.