diff --git a/src/nls/root/strings.js b/src/nls/root/strings.js
index 0edb7f2409..e55042a97a 100644
--- a/src/nls/root/strings.js
+++ b/src/nls/root/strings.js
@@ -2703,7 +2703,7 @@ define({
     "AI_CHAT_MODE_INFO_PLAN": "AI will propose a plan before making changes (Click to switch)",
     "AI_CHAT_MODE_INFO_EDIT": "AI can edit files. Shell commands need approval (Click to switch)",
     "AI_CHAT_MODE_INFO_FULL_AUTO": "AI can edit files and run commands without approval (Click to switch)",
-    "AI_CHAT_MODE_SWITCH_HINT": "[or Shift+Tab]",
+    "AI_CHAT_PERMISSION_SELECT_TITLE": "Choose how much the AI can do without approval [or Shift+Tab]",
     "AI_CHAT_AUTH_ERROR_NOTICE": "Claude Code is signed out or your login has expired.",
     "AI_CHAT_AUTH_ERROR_BTN": "Log in to Claude in Terminal",
     "AI_CHAT_AUTH_ERROR_HINT": "Type /login in the terminal that opens, then send your message again.",
diff --git a/src/styles/Extn-AIChatPanel.less b/src/styles/Extn-AIChatPanel.less
index a6a8d63207..b4ca306a9d 100644
--- a/src/styles/Extn-AIChatPanel.less
+++ b/src/styles/Extn-AIChatPanel.less
@@ -448,6 +448,33 @@
     }
 }
 
+/* ── Permission-mode dropdown ──────────────────────────────────────── */
+/* Same DropdownButton widget as the model selector above, with an added
+   colored dot per item matching .ai-permission-dot's mode-* colors. */
+.dropdownbutton-popup.ai-permission-dropdown-popup {
+    min-width: 220px;
+    max-width: 320px;
+
+    li a {
+        white-space: normal;
+        overflow-wrap: break-word;
+    }
+
+    .ai-permission-item-name {
+        display: flex;
+        align-items: center;
+        gap: 6px;
+    }
+
+    .ai-permission-item-desc {
+        display: block;
+        font-size: @ai-text-meta;
+        opacity: 0.7;
+        padding-left: 17px;
+        line-height: @ai-line-compact;
+    }
+}
+
 /* Auth-error action block: button with its /login hint stacked below —
    tells the user the one thing to do next at a glance. */
 .ai-auth-error-actions {
@@ -2662,45 +2689,60 @@
         }
     }
 
-    .ai-permission-bar {
+    .ai-chat-mode-row {
         display: flex;
         align-items: center;
-        gap: 6px;
         padding: 6px 8px 0 8px;
         min-height: 18px;
-        cursor: pointer;
-        user-select: none;
 
-        &:hover {
-            background: rgba(255, 255, 255, 0.04);
+        .ai-permission-bar {
+            display: flex;
+            align-items: center;
+            gap: 5px;
+            height: 22px;
+            padding: 0 6px;
+            cursor: pointer;
+            user-select: none;
             border-radius: 4px;
-        }
 
-        .ai-permission-dot {
-            width: 8px;
-            height: 8px;
-            border-radius: 50%;
-            flex-shrink: 0;
-
-            &.mode-auto {
-                background-color: #e74c3c;
+            &:hover {
+                background: rgba(255, 255, 255, 0.04);
             }
 
-            &.mode-edit {
-                background-color: #f39c12;
+            .ai-permission-dot {
+                width: 8px;
+                height: 8px;
+                border-radius: 50%;
+                flex-shrink: 0;
+
+                &.mode-auto {
+                    background-color: #e74c3c;
+                }
+
+                &.mode-edit {
+                    background-color: #f39c12;
+                }
+
+                &.mode-plan {
+                    background-color: #3498db;
+                }
             }
 
-            &.mode-plan {
-                background-color: #3498db;
+            .ai-permission-label {
+                font-size: @ai-text-meta;
+                color: @project-panel-text-2;
+                line-height: 1;
             }
-        }
 
-        .ai-permission-label {
-            font-size: @ai-text-meta;
-            color: @project-panel-text-2;
-            line-height: 1;
+            i {
+                font-size: 9px;
+                opacity: 0.7;
+            }
         }
 
+        // Reused for the one-time-per-focus input hint flash ("Enter to
+        // send / Shift+Enter for newline") — see the textarea focus handler.
+        // Not mode-related; just shares this row's layout.
         .ai-info {
             display: none;
             margin-left: auto;
@@ -2732,10 +2774,6 @@
                 animation: ai-info-flash-in 0.3s ease;
             }
         }
-
-        &:hover .ai-info {
-            display: inline;
-        }
     }
 
     @keyframes ai-info-flash-in {
diff --git a/tracking-repos.json b/tracking-repos.json
index 68790e87f3..162c990997 100644
--- a/tracking-repos.json
+++ b/tracking-repos.json
@@ -1,5 +1,5 @@
 {
   "phoenixPro": {
-    "commitID": "a69d2ed60ccb04bd245508fb2b4df943d2f43cfa"
+    "commitID": "4c5eea43d26daf438d288eb12ff968d1a9780b38"
   }
 }