MCP client for `playwright` failed to start

What version of Codex CLI is running?

codex-cli 0.98.0

What subscription do you have?

Business

Which model were you using?

gpt-5.2-codex

What platform is your computer?

Darwin 24.6.0 arm64 arm

What terminal emulator and version are you using (if applicable)?

Alacritty

What issue are you seeing?

Starting codex with configured Playwright MCP gives error:

MCP client for `playwright` failed to start: MCP startup failed: handshaking with MCP server failed: connection closed: initialize response

⚠ MCP startup incomplete (failed: playwright)

It used to work just a few days ago though, maybe an update has broken it. I have it setup via config.toml:

[mcp_servers.playwright]
command = "npx"
startup_timeout_ms = 20_000
args = ["@playwright/mcp@latest", "--extension"]

What steps can reproduce the bug?

1. Configure playwright MCP
2. Start up codex via CLI

What is the expected behavior?

_No response_

Additional information

_No response_