diff --git a/src/vs/code/node/paths.ts b/src/vs/code/node/paths.ts
index d54353ff72ee4e7b5142ef8c61073ab49e808890..5a74d360ea01922e98f4c993afc6af5596bbe730 100644
--- a/src/vs/code/node/paths.ts
+++ b/src/vs/code/node/paths.ts
@@ -12,16 +12,16 @@ import * as paths from 'vs/base/common/paths';
 import * as platform from 'vs/base/common/platform';
 import * as types from 'vs/base/common/types';
 import { ParsedArgs } from 'vs/platform/environment/common/environment';
-import { realpathSync } from 'vs/base/node/extfs';
 
 export function validatePaths(args: ParsedArgs): ParsedArgs {
+
 	// Track URLs if they're going to be used
 	if (args['open-url']) {
 		args._urls = args._;
 		args._ = [];
 	}
 
-	// Realpath/normalize paths and watch out for goto line mode
+	// Normalize paths and watch out for goto line mode
 	const paths = doValidatePaths(args._, args.goto);
 
 	// Update environment
@@ -46,26 +46,20 @@ function doValidatePaths(args: string[], gotoLineMode?: boolean): string[] {
 			pathCandidate = preparePath(cwd, pathCandidate);
 		}
 
-		let realPath: string;
-		try {
-			realPath = realpathSync(pathCandidate);
-		} catch (error) {
-			// in case of an error, assume the user wants to create this file
-			// if the path is relative, we join it to the cwd
-			realPath = path.normalize(path.isAbsolute(pathCandidate) ? pathCandidate : path.join(cwd, pathCandidate));
-		}
+		const absolutePath = path.normalize(path.isAbsolute(pathCandidate) ? pathCandidate : path.join(cwd, pathCandidate));
 
-		const basename = path.basename(realPath);
+		const basename = path.basename(absolutePath);
 		if (basename /* can be empty if code is opened on root */ && !paths.isValidBasename(basename)) {
 			return null; // do not allow invalid file names
 		}
 
 		if (gotoLineMode) {
-			parsedPath.path = realPath;
+			parsedPath.path = absolutePath;
+
 			return toPath(parsedPath);
 		}
 
-		return realPath;
+		return absolutePath;
 	});
 
 	const caseInsensitive = platform.isWindows || platform.isMacintosh;
diff --git a/src/vs/workbench/electron-browser/main.ts b/src/vs/workbench/electron-browser/main.ts
index 93a010516dca3cef30d36443a07ac5f32a5fccea..2344c7994b4131db24ebbcd97c2a520476508ff9 100644
--- a/src/vs/workbench/electron-browser/main.ts
+++ b/src/vs/workbench/electron-browser/main.ts
@@ -21,7 +21,8 @@ import { IWorkspaceContextService, Workspace, WorkbenchState } from 'vs/platform
 import { WorkspaceService } from 'vs/workbench/services/configuration/node/configurationService';
 import { SyncDescriptor } from 'vs/platform/instantiation/common/descriptors';
 import { ServiceCollection } from 'vs/platform/instantiation/common/serviceCollection';
-import { realpath } from 'vs/base/node/pfs';
+import { stat } from 'vs/base/node/pfs';
+import { normalize, join, isAbsolute } from 'path';
 import { EnvironmentService } from 'vs/platform/environment/node/environmentService';
 import * as gracefulFs from 'graceful-fs';
 import { KeyboardMapperFactory } from 'vs/workbench/services/keybinding/electron-browser/keybindingService';
@@ -147,18 +148,19 @@ function validateFolderUri(folderUri: ISingleFolderWorkspaceIdentifier, verbose:
 		return TPromise.as(folderUri);
 	}
 
-	// Otherwise: use realpath to resolve symbolic links to the truth
-	return realpath(folderUri.fsPath).then(realFolderPath => {
+	// Ensure absolute existing folder path
+	let absoluteFolderPath = normalize(isAbsolute(folderUri.fsPath) ? folderUri.fsPath : join(process.env['VSCODE_CWD'] || process.cwd(), folderUri.fsPath));
+	return stat(absoluteFolderPath).then(stat => {
 
 		// For some weird reason, node adds a trailing slash to UNC paths
 		// we never ever want trailing slashes as our workspace path unless
 		// someone opens root ("/").
 		// See also https://github.com/nodejs/io.js/issues/1765
-		if (paths.isUNC(realFolderPath) && strings.endsWith(realFolderPath, paths.nativeSep)) {
-			realFolderPath = strings.rtrim(realFolderPath, paths.nativeSep);
+		if (paths.isUNC(absoluteFolderPath) && strings.endsWith(absoluteFolderPath, paths.nativeSep)) {
+			absoluteFolderPath = strings.rtrim(absoluteFolderPath, paths.nativeSep);
 		}
 
-		return uri.file(realFolderPath);
+		return uri.file(absoluteFolderPath);
 	}, error => {
 		if (verbose) {
 			errors.onUnexpectedError(error);
@@ -166,11 +168,6 @@ function validateFolderUri(folderUri: ISingleFolderWorkspaceIdentifier, verbose:
 
 		// Treat any error case as empty workbench case (no folder path)
 		return null;
-
-	}).then(realFolderUriOrNull => {
-
-		// Update config with real path if we have one
-		return realFolderUriOrNull;
 	});
 }