diff --git a/src/services/telemetry/TelemetryService.ts b/src/services/telemetry/TelemetryService.ts
index 1dea301c36..29fcaec6a8 100644
--- a/src/services/telemetry/TelemetryService.ts
+++ b/src/services/telemetry/TelemetryService.ts
@@ -25,6 +25,8 @@ class PostHogClient {
 	}
 
 	private updateTelemetryState(): void {
+		this.telemetryEnabled = false
+
 		// First check global telemetry level - telemetry should only be enabled when level is "all"
 		const telemetryLevel = vscode.workspace.getConfiguration("telemetry").get<string>("telemetryLevel", "all")
 		const globalTelemetryEnabled = telemetryLevel === "all"