diff --git a/src/vs/vscode.proposed.d.ts b/src/vs/vscode.proposed.d.ts
index 378bb518366761584a934b92ac1174606b104a3f..69d8c29c1cdaddf821ff74fc9acfba054863c4f1 100644
--- a/src/vs/vscode.proposed.d.ts
+++ b/src/vs/vscode.proposed.d.ts
@@ -1394,6 +1394,11 @@ declare module 'vscode' {
 		 * Implement to handle when the terminal shuts down by an act of the user.
 		 */
 		shutdown?(): void;
+
+		/**
+		 * Implement to handle when the terminal is ready to start firing events.
+		 */
+		start?(): void;
 	}
 
 	//#endregion
@@ -1494,6 +1499,23 @@ declare module 'vscode' {
 		callback: (terminalRenderer: TerminalRenderer, cancellationToken: CancellationToken, thisArg?: any) => Thenable<number>;
 	}
 
+	/**
+	 * Class used to execute an extension callback as a task.
+	 */
+	export class CustomExecution2 {
+		/**
+		 * @param process The [TerminalVirtualProcess](#TerminalVirtualProcess) to be used by the task to display output.
+		 * @param callback The callback that will be called when the task is started by a user.
+		 */
+		constructor(callback: (thisArg?: any) => Thenable<TerminalVirtualProcess>);
+
+		/**
+		 * The callback used to execute the task. Cancellation should be handled using the shutdown method of [TerminalVirtualProcess](#TerminalVirtualProcess).
+		 * When the task is complete, onDidExit should be fired on the TerminalVirtualProcess with the exit code with '0' for success and a non-zero value for failure.
+		 */
+		callback: (thisArg?: any) => Thenable<TerminalVirtualProcess>;
+	}
+
 	/**
 	 * A task to execute
 	 */
@@ -1510,12 +1532,12 @@ declare module 'vscode' {
 		 *  or '$eslint'. Problem matchers can be contributed by an extension using
 		 *  the `problemMatchers` extension point.
 		 */
-		constructor(taskDefinition: TaskDefinition, scope: WorkspaceFolder | TaskScope.Global | TaskScope.Workspace, name: string, source: string, execution?: ProcessExecution | ShellExecution | CustomExecution, problemMatchers?: string | string[]);
+		constructor(taskDefinition: TaskDefinition, scope: WorkspaceFolder | TaskScope.Global | TaskScope.Workspace, name: string, source: string, execution?: ProcessExecution | ShellExecution | CustomExecution | CustomExecution2, problemMatchers?: string | string[]);
 
 		/**
 		 * The task's execution engine
 		 */
-		execution2?: ProcessExecution | ShellExecution | CustomExecution;
+		execution2?: ProcessExecution | ShellExecution | CustomExecution | CustomExecution2;
 	}
 
 	//#region Tasks
diff --git a/src/vs/workbench/api/browser/mainThreadTask.ts b/src/vs/workbench/api/browser/mainThreadTask.ts
index 16553729ee499dcb21f79b17fb4abaca31c3daec..dbc3da9fafdcd099aef10673919121d2d3649bd3 100644
--- a/src/vs/workbench/api/browser/mainThreadTask.ts
+++ b/src/vs/workbench/api/browser/mainThreadTask.ts
@@ -29,7 +29,7 @@ import { extHostNamedCustomer } from 'vs/workbench/api/common/extHostCustomers';
 import { ExtHostContext, MainThreadTaskShape, ExtHostTaskShape, MainContext, IExtHostContext } from 'vs/workbench/api/common/extHost.protocol';
 import {
 	TaskDefinitionDTO, TaskExecutionDTO, ProcessExecutionOptionsDTO, TaskPresentationOptionsDTO,
-	ProcessExecutionDTO, ShellExecutionDTO, ShellExecutionOptionsDTO, CustomExecutionDTO, TaskDTO, TaskSourceDTO, TaskHandleDTO, TaskFilterDTO, TaskProcessStartedDTO, TaskProcessEndedDTO, TaskSystemInfoDTO,
+	ProcessExecutionDTO, ShellExecutionDTO, ShellExecutionOptionsDTO, CustomExecutionDTO, CustomExecution2DTO, TaskDTO, TaskSourceDTO, TaskHandleDTO, TaskFilterDTO, TaskProcessStartedDTO, TaskProcessEndedDTO, TaskSystemInfoDTO,
 	RunOptionsDTO
 } from 'vs/workbench/api/common/shared/tasks';
 import { IConfigurationResolverService } from 'vs/workbench/services/configurationResolver/common/configurationResolver';
@@ -131,7 +131,7 @@ namespace ProcessExecutionOptionsDTO {
 }
 
 namespace ProcessExecutionDTO {
-	export function is(value: ShellExecutionDTO | ProcessExecutionDTO | CustomExecutionDTO): value is ProcessExecutionDTO {
+	export function is(value: ShellExecutionDTO | ProcessExecutionDTO | CustomExecutionDTO | CustomExecution2DTO): value is ProcessExecutionDTO {
 		const candidate = value as ProcessExecutionDTO;
 		return candidate && !!candidate.process;
 	}
@@ -199,7 +199,7 @@ namespace ShellExecutionOptionsDTO {
 }
 
 namespace ShellExecutionDTO {
-	export function is(value: ShellExecutionDTO | ProcessExecutionDTO | CustomExecutionDTO): value is ShellExecutionDTO {
+	export function is(value: ShellExecutionDTO | ProcessExecutionDTO | CustomExecutionDTO | CustomExecution2DTO): value is ShellExecutionDTO {
 		const candidate = value as ShellExecutionDTO;
 		return candidate && (!!candidate.commandLine || !!candidate.command);
 	}
@@ -231,7 +231,7 @@ namespace ShellExecutionDTO {
 }
 
 namespace CustomExecutionDTO {
-	export function is(value: ShellExecutionDTO | ProcessExecutionDTO | CustomExecutionDTO): value is CustomExecutionDTO {
+	export function is(value: ShellExecutionDTO | ProcessExecutionDTO | CustomExecutionDTO | CustomExecution2DTO): value is CustomExecutionDTO {
 		const candidate = value as CustomExecutionDTO;
 		return candidate && candidate.customExecution === 'customExecution';
 	}
@@ -250,6 +250,26 @@ namespace CustomExecutionDTO {
 	}
 }
 
+namespace CustomExecution2DTO {
+	export function is(value: ShellExecutionDTO | ProcessExecutionDTO | CustomExecutionDTO | CustomExecution2DTO): value is CustomExecution2DTO {
+		const candidate = value as CustomExecution2DTO;
+		return candidate && candidate.customExecution === 'customExecution2';
+	}
+
+	export function from(value: CommandConfiguration): CustomExecution2DTO {
+		return {
+			customExecution: 'customExecution2'
+		};
+	}
+
+	export function to(value: CustomExecution2DTO): CommandConfiguration {
+		return {
+			runtime: RuntimeType.CustomExecution2,
+			presentation: undefined
+		};
+	}
+}
+
 namespace TaskSourceDTO {
 	export function from(value: TaskSource): TaskSourceDTO {
 		const result: TaskSourceDTO = {
@@ -353,6 +373,8 @@ namespace TaskDTO {
 				command = ProcessExecutionDTO.to(task.execution);
 			} else if (CustomExecutionDTO.is(task.execution)) {
 				command = CustomExecutionDTO.to(task.execution);
+			} else if (CustomExecution2DTO.is(task.execution)) {
+				command = CustomExecution2DTO.to(task.execution);
 			}
 		}
 
diff --git a/src/vs/workbench/api/common/extHostTypes.ts b/src/vs/workbench/api/common/extHostTypes.ts
index c8ed21e278d562609080ea2cc0764e43b30ab250..b8aebf92b45f46e5afd7cf2950005e62a6a286e1 100644
--- a/src/vs/workbench/api/common/extHostTypes.ts
+++ b/src/vs/workbench/api/common/extHostTypes.ts
@@ -1772,6 +1772,24 @@ export class CustomExecution implements vscode.CustomExecution {
 	}
 }
 
+export class CustomExecution2 implements vscode.CustomExecution2 {
+	private _callback: () => Thenable<vscode.TerminalVirtualProcess>;
+	constructor(callback: () => Thenable<vscode.TerminalVirtualProcess>) {
+		this._callback = callback;
+	}
+	public computeId(): string {
+		return 'customExecution' + generateUuid();
+	}
+
+	public set callback(value: () => Thenable<vscode.TerminalVirtualProcess>) {
+		this._callback = value;
+	}
+
+	public get callback(): (() => Thenable<vscode.TerminalVirtualProcess>) {
+		return this._callback;
+	}
+}
+
 @es5ClassCompat
 export class Task implements vscode.Task2 {
 
@@ -1785,7 +1803,7 @@ export class Task implements vscode.Task2 {
 	private _definition: vscode.TaskDefinition;
 	private _scope: vscode.TaskScope.Global | vscode.TaskScope.Workspace | vscode.WorkspaceFolder | undefined;
 	private _name: string;
-	private _execution: ProcessExecution | ShellExecution | CustomExecution | undefined;
+	private _execution: ProcessExecution | ShellExecution | CustomExecution | CustomExecution2 | undefined;
 	private _problemMatchers: string[];
 	private _hasDefinedMatchers: boolean;
 	private _isBackground: boolean;
@@ -1794,8 +1812,8 @@ export class Task implements vscode.Task2 {
 	private _presentationOptions: vscode.TaskPresentationOptions;
 	private _runOptions: vscode.RunOptions;
 
-	constructor(definition: vscode.TaskDefinition, name: string, source: string, execution?: ProcessExecution | ShellExecution | CustomExecution, problemMatchers?: string | string[]);
-	constructor(definition: vscode.TaskDefinition, scope: vscode.TaskScope.Global | vscode.TaskScope.Workspace | vscode.WorkspaceFolder, name: string, source: string, execution?: ProcessExecution | ShellExecution | CustomExecution, problemMatchers?: string | string[]);
+	constructor(definition: vscode.TaskDefinition, name: string, source: string, execution?: ProcessExecution | ShellExecution | CustomExecution | CustomExecution2, problemMatchers?: string | string[]);
+	constructor(definition: vscode.TaskDefinition, scope: vscode.TaskScope.Global | vscode.TaskScope.Workspace | vscode.WorkspaceFolder, name: string, source: string, execution?: ProcessExecution | ShellExecution | CustomExecution | CustomExecution2, problemMatchers?: string | string[]);
 	constructor(definition: vscode.TaskDefinition, arg2: string | (vscode.TaskScope.Global | vscode.TaskScope.Workspace) | vscode.WorkspaceFolder, arg3: any, arg4?: any, arg5?: any, arg6?: any) {
 		this.definition = definition;
 		let problemMatchers: string | string[];
@@ -1907,18 +1925,18 @@ export class Task implements vscode.Task2 {
 	}
 
 	get execution(): ProcessExecution | ShellExecution | undefined {
-		return (this._execution instanceof CustomExecution) ? undefined : this._execution;
+		return ((this._execution instanceof CustomExecution) || (this._execution instanceof CustomExecution2)) ? undefined : this._execution;
 	}
 
 	set execution(value: ProcessExecution | ShellExecution | undefined) {
 		this.execution2 = value;
 	}
 
-	get execution2(): ProcessExecution | ShellExecution | CustomExecution | undefined {
+	get execution2(): ProcessExecution | ShellExecution | CustomExecution | CustomExecution2 | undefined {
 		return this._execution;
 	}
 
-	set execution2(value: ProcessExecution | ShellExecution | CustomExecution | undefined) {
+	set execution2(value: ProcessExecution | ShellExecution | CustomExecution | CustomExecution2 | undefined) {
 		if (value === null) {
 			value = undefined;
 		}
diff --git a/src/vs/workbench/api/common/shared/tasks.ts b/src/vs/workbench/api/common/shared/tasks.ts
index 656bc4ab864ff16bda1b042899780951820f58be..a27f90777d3597fb26666da852d612738009d159 100644
--- a/src/vs/workbench/api/common/shared/tasks.ts
+++ b/src/vs/workbench/api/common/shared/tasks.ts
@@ -70,6 +70,10 @@ export interface CustomExecutionDTO {
 	customExecution: 'customExecution';
 }
 
+export interface CustomExecution2DTO {
+	customExecution: 'customExecution2';
+}
+
 export interface TaskSourceDTO {
 	label: string;
 	extensionId?: string;
@@ -84,7 +88,7 @@ export interface TaskHandleDTO {
 export interface TaskDTO {
 	_id: string;
 	name?: string;
-	execution: ProcessExecutionDTO | ShellExecutionDTO | CustomExecutionDTO | undefined;
+	execution: ProcessExecutionDTO | ShellExecutionDTO | CustomExecutionDTO | CustomExecution2DTO | undefined;
 	definition: TaskDefinitionDTO;
 	isBackground?: boolean;
 	source: TaskSourceDTO;
diff --git a/src/vs/workbench/api/node/extHost.api.impl.ts b/src/vs/workbench/api/node/extHost.api.impl.ts
index 018dec12b5b6923803a9280433579b0c74be6b7b..7fbbabb3564a9a2b6ce1d16baab6801f03bf13e2 100644
--- a/src/vs/workbench/api/node/extHost.api.impl.ts
+++ b/src/vs/workbench/api/node/extHost.api.impl.ts
@@ -849,6 +849,7 @@ export function createApiFactory(
 			ExtensionExecutionContext: extHostTypes.ExtensionExecutionContext,
 			ExtensionKind: extHostTypes.ExtensionKind,
 			CustomExecution: extHostTypes.CustomExecution,
+			CustomExecution2: extHostTypes.CustomExecution2,
 			FileChangeType: extHostTypes.FileChangeType,
 			FileSystemError: extHostTypes.FileSystemError,
 			FileType: files.FileType,
diff --git a/src/vs/workbench/api/node/extHostTask.ts b/src/vs/workbench/api/node/extHostTask.ts
index cac5d242ad9dc66ae928203fa5f459067902501b..a682a2a4575e5d8a96077a72f37179a3d74e43a7 100644
--- a/src/vs/workbench/api/node/extHostTask.ts
+++ b/src/vs/workbench/api/node/extHostTask.ts
@@ -22,6 +22,7 @@ import {
 	ProcessExecutionOptionsDTO, ProcessExecutionDTO,
 	ShellExecutionOptionsDTO, ShellExecutionDTO,
 	CustomExecutionDTO,
+	CustomExecution2DTO,
 	TaskDTO, TaskHandleDTO, TaskFilterDTO, TaskProcessStartedDTO, TaskProcessEndedDTO, TaskSystemInfoDTO, TaskSetDTO
 } from '../common/shared/tasks';
 import { ExtHostVariableResolverService } from 'vs/workbench/api/node/extHostDebugService';
@@ -79,7 +80,7 @@ namespace ProcessExecutionOptionsDTO {
 }
 
 namespace ProcessExecutionDTO {
-	export function is(value: ShellExecutionDTO | ProcessExecutionDTO | CustomExecutionDTO | undefined): value is ProcessExecutionDTO {
+	export function is(value: ShellExecutionDTO | ProcessExecutionDTO | CustomExecutionDTO | CustomExecution2DTO | undefined): value is ProcessExecutionDTO {
 		if (value) {
 			const candidate = value as ProcessExecutionDTO;
 			return candidate && !!candidate.process;
@@ -124,7 +125,7 @@ namespace ShellExecutionOptionsDTO {
 }
 
 namespace ShellExecutionDTO {
-	export function is(value: ShellExecutionDTO | ProcessExecutionDTO | CustomExecutionDTO | undefined): value is ShellExecutionDTO {
+	export function is(value: ShellExecutionDTO | ProcessExecutionDTO | CustomExecutionDTO | CustomExecution2DTO | undefined): value is ShellExecutionDTO {
 		if (value) {
 			const candidate = value as ShellExecutionDTO;
 			return candidate && (!!candidate.commandLine || !!candidate.command);
@@ -162,7 +163,7 @@ namespace ShellExecutionDTO {
 }
 
 namespace CustomExecutionDTO {
-	export function is(value: ShellExecutionDTO | ProcessExecutionDTO | CustomExecutionDTO | undefined): value is CustomExecutionDTO {
+	export function is(value: ShellExecutionDTO | ProcessExecutionDTO | CustomExecutionDTO | CustomExecution2DTO | undefined): value is CustomExecutionDTO {
 		if (value) {
 			let candidate = value as CustomExecutionDTO;
 			return candidate && candidate.customExecution === 'customExecution';
@@ -178,6 +179,23 @@ namespace CustomExecutionDTO {
 	}
 }
 
+namespace CustomExecution2DTO {
+	export function is(value: ShellExecutionDTO | ProcessExecutionDTO | CustomExecutionDTO | CustomExecution2DTO | undefined): value is CustomExecution2DTO {
+		if (value) {
+			let candidate = value as CustomExecution2DTO;
+			return candidate && candidate.customExecution === 'customExecution2';
+		} else {
+			return false;
+		}
+	}
+
+	export function from(value: vscode.CustomExecution2): CustomExecution2DTO {
+		return {
+			customExecution: 'customExecution2'
+		};
+	}
+}
+
 namespace TaskHandleDTO {
 	export function from(value: types.Task): TaskHandleDTO {
 		let folder: UriComponents | undefined;
@@ -211,14 +229,17 @@ namespace TaskDTO {
 		if (value === undefined || value === null) {
 			return undefined;
 		}
-		let execution: ShellExecutionDTO | ProcessExecutionDTO | CustomExecutionDTO | undefined;
+		let execution: ShellExecutionDTO | ProcessExecutionDTO | CustomExecutionDTO | CustomExecution2DTO | undefined;
 		if (value.execution instanceof types.ProcessExecution) {
 			execution = ProcessExecutionDTO.from(value.execution);
 		} else if (value.execution instanceof types.ShellExecution) {
 			execution = ShellExecutionDTO.from(value.execution);
 		} else if ((<vscode.Task2>value).execution2 && (<vscode.Task2>value).execution2 instanceof types.CustomExecution) {
 			execution = CustomExecutionDTO.from(<types.CustomExecution>(<vscode.Task2>value).execution2);
+		} else if ((<vscode.Task2>value).execution2 && (<vscode.Task2>value).execution2 instanceof types.CustomExecution2) {
+			execution = CustomExecution2DTO.from(<types.CustomExecution2>(<vscode.Task2>value).execution2);
 		}
+
 		const definition: TaskDefinitionDTO | undefined = TaskDefinitionDTO.from(value.definition);
 		let scope: number | UriComponents;
 		if (value.scope) {
@@ -468,6 +489,8 @@ export class ExtHostTask implements ExtHostTaskShape {
 	private _taskExecutions: Map<string, TaskExecutionImpl>;
 	private _providedCustomExecutions: Map<string, CustomExecutionData>;
 	private _activeCustomExecutions: Map<string, CustomExecutionData>;
+	private _providedCustomExecutions2: Map<string, vscode.CustomExecution2>;
+	private _activeCustomExecutions2: Map<string, vscode.CustomExecution2>;
 
 	private readonly _onDidExecuteTask: Emitter<vscode.TaskStartEvent> = new Emitter<vscode.TaskStartEvent>();
 	private readonly _onDidTerminateTask: Emitter<vscode.TaskEndEvent> = new Emitter<vscode.TaskEndEvent>();
@@ -491,6 +514,8 @@ export class ExtHostTask implements ExtHostTaskShape {
 		this._taskExecutions = new Map<string, TaskExecutionImpl>();
 		this._providedCustomExecutions = new Map<string, CustomExecutionData>();
 		this._activeCustomExecutions = new Map<string, CustomExecutionData>();
+		this._providedCustomExecutions2 = new Map<string, vscode.CustomExecution2>();
+		this._activeCustomExecutions2 = new Map<string, vscode.CustomExecution2>();
 	}
 
 	public registerTaskProvider(extension: IExtensionDescription, type: string, provider: vscode.TaskProvider): vscode.Disposable {
@@ -555,6 +580,19 @@ export class ExtHostTask implements ExtHostTaskShape {
 	}
 
 	public async $onDidStartTask(execution: TaskExecutionDTO, terminalId: number): Promise<void> {
+		const execution2: vscode.CustomExecution2 | undefined = this._providedCustomExecutions2.get(execution.id);
+		if (execution2) {
+			if (this._activeCustomExecutions2.get(execution.id) !== undefined) {
+				throw new Error('We should not be trying to start the same custom task executions twice.');
+			}
+
+			// Clone the custom execution to keep the original untouched. This is important for multiple runs of the same task.
+			this._activeCustomExecutions2.set(execution.id, execution2);
+			this._terminalService.performTerminalIdAction(terminalId, async terminal => {
+				this._terminalService.attachVirtualProcessToTerminal(terminalId, await execution2.callback());
+			});
+		}
+
 		// Once a terminal is spun up for the custom execution task this event will be fired.
 		// At that point, we need to actually start the callback, but
 		// only if it hasn't already begun.
@@ -630,6 +668,7 @@ export class ExtHostTask implements ExtHostTaskShape {
 		// since we obviously cannot send callback functions through the proxy.
 		// So, clear out any existing ones.
 		this._providedCustomExecutions.clear();
+		this._providedCustomExecutions2.clear();
 
 		// Set up a list of task ID promises that we can wait on
 		// before returning the provided tasks. The ensures that
@@ -657,6 +696,9 @@ export class ExtHostTask implements ExtHostTaskShape {
 							// We need the task id's pre-computed for custom task executions because when OnDidStartTask
 							// is invoked, we have to be able to map it back to our data.
 							taskIdPromises.push(this.addCustomExecution(taskDTO, <vscode.Task2>task));
+						} else if (CustomExecution2DTO.is(taskDTO.execution)) {
+							taskIdPromises.push(this.addCustomExecution2(taskDTO, <vscode.Task2>task));
+
 						}
 					}
 				}
@@ -705,6 +747,10 @@ export class ExtHostTask implements ExtHostTaskShape {
 			await this.addCustomExecution(taskDTO, <vscode.Task2>task);
 		}
 
+		if (CustomExecution2DTO.is(resolvedTaskDTO.execution)) {
+			await this.addCustomExecution2(taskDTO, <vscode.Task2>task);
+		}
+
 		return resolvedTaskDTO;
 	}
 
@@ -758,6 +804,11 @@ export class ExtHostTask implements ExtHostTaskShape {
 		this._providedCustomExecutions.set(taskId, new CustomExecutionData(<vscode.CustomExecution>(<vscode.Task2>task).execution2, this._terminalService));
 	}
 
+	private async addCustomExecution2(taskDTO: TaskDTO, task: vscode.Task2): Promise<void> {
+		const taskId = await this._proxy.$createTaskId(taskDTO);
+		this._providedCustomExecutions2.set(taskId, <vscode.CustomExecution2>(<vscode.Task2>task).execution2);
+	}
+
 	private async getTaskExecution(execution: TaskExecutionDTO | string, task?: vscode.Task): Promise<TaskExecutionImpl> {
 		if (typeof execution === 'string') {
 			const taskExecution = this._taskExecutions.get(execution);
@@ -787,5 +838,9 @@ export class ExtHostTask implements ExtHostTaskShape {
 			this._proxy.$customExecutionComplete(execution.id, extensionCallback.result);
 			extensionCallback.dispose();
 		}
+		const extensionCallback2: vscode.CustomExecution2 | undefined = this._activeCustomExecutions2.get(execution.id);
+		if (extensionCallback2) {
+			this._activeCustomExecutions2.delete(execution.id);
+		}
 	}
 }
diff --git a/src/vs/workbench/api/node/extHostTerminalService.ts b/src/vs/workbench/api/node/extHostTerminalService.ts
index 61bbc06ecc78e99123ff77b45530063707e6c3f5..d9676b7dcef9951b046cb40e1a4ed9f505653e3d 100644
--- a/src/vs/workbench/api/node/extHostTerminalService.ts
+++ b/src/vs/workbench/api/node/extHostTerminalService.ts
@@ -510,7 +510,7 @@ export class ExtHostTerminalService implements ExtHostTerminalServiceShape {
 				if (terminal) {
 					callback(terminal);
 				}
-			}, EXT_HOST_CREATION_DELAY);
+			}, EXT_HOST_CREATION_DELAY * 2);
 		}
 	}
 
@@ -793,6 +793,10 @@ class ExtHostVirtualProcess implements ITerminalChildProcess {
 		if (this._virtualProcess.onDidOverrideDimensions) {
 			this._virtualProcess.onDidOverrideDimensions(e => this._onProcessOverrideDimensions.fire(e ? { cols: e.columns, rows: e.rows } : e));
 		}
+
+		if (this._virtualProcess.start) {
+			this._virtualProcess.start();
+		}
 	}
 }
 
diff --git a/src/vs/workbench/contrib/tasks/browser/terminalTaskSystem.ts b/src/vs/workbench/contrib/tasks/browser/terminalTaskSystem.ts
index 87d6820117c6ee1e4d066d5dcd52424bb7a79bf6..ef94873c9e20c383ab83a40e66e171af9e72e5af 100644
--- a/src/vs/workbench/contrib/tasks/browser/terminalTaskSystem.ts
+++ b/src/vs/workbench/contrib/tasks/browser/terminalTaskSystem.ts
@@ -471,7 +471,7 @@ export class TerminalTaskSystem implements ITaskSystem {
 		const resolvedVariables = this.resolveVariablesFromSet(this.currentTask.systemInfo, this.currentTask.workspaceFolder!, task, variables);
 
 		return resolvedVariables.then((resolvedVariables) => {
-			const isCustomExecution = task.command.runtime === RuntimeType.CustomExecution;
+			const isCustomExecution = (task.command.runtime === RuntimeType.CustomExecution) || (task.command.runtime === RuntimeType.CustomExecution2);
 			if (resolvedVariables && task.command && task.command.runtime && (isCustomExecution || task.command.name)) {
 				this.currentTask.resolvedVariables = resolvedVariables;
 				return this.executeInTerminal(task, trigger, new VariableResolver(this.currentTask.workspaceFolder!, this.currentTask.systemInfo, resolvedVariables.variables, this.configurationResolverService));
@@ -845,7 +845,7 @@ export class TerminalTaskSystem implements ITaskSystem {
 				}
 			}
 		} else {
-			let commandExecutable = task.command.runtime !== RuntimeType.CustomExecution ? CommandString.value(command) : undefined;
+			let commandExecutable = ((task.command.runtime !== RuntimeType.CustomExecution) && (task.command.runtime !== RuntimeType.CustomExecution2)) ? CommandString.value(command) : undefined;
 			let executable = !isShellCommand
 				? this.resolveVariable(variableResolver, '${' + TerminalTaskSystem.ProcessVarName + '}')
 				: commandExecutable;
@@ -923,6 +923,13 @@ export class TerminalTaskSystem implements ITaskSystem {
 				name: this.createTerminalName(task),
 				initialText: task.command.presentation && task.command.presentation.echo ? `\x1b[1m> Executing task: ${task._label} <\x1b[0m\n` : undefined
 			};
+		} else if (task.command.runtime === RuntimeType.CustomExecution2) {
+			this.currentTask.shellLaunchConfig = {
+				isVirtualProcess: true,
+				waitOnExit,
+				name: this.createTerminalName(task),
+				initialText: task.command.presentation && task.command.presentation.echo ? `\x1b[1m> Executing task: ${task._label} <\x1b[0m\n` : undefined
+			};
 		} else {
 			let resolvedResult: { command: CommandString, args: CommandString[] } = this.resolveCommandAndArgs(resolver, task.command);
 			command = resolvedResult.command;
@@ -1138,7 +1145,7 @@ export class TerminalTaskSystem implements ITaskSystem {
 	private collectCommandVariables(variables: Set<string>, command: CommandConfiguration, task: CustomTask | ContributedTask): void {
 		// The custom execution should have everything it needs already as it provided
 		// the callback.
-		if (command.runtime === RuntimeType.CustomExecution) {
+		if ((command.runtime === RuntimeType.CustomExecution) || (command.runtime === RuntimeType.CustomExecution2)) {
 			return;
 		}
 
diff --git a/src/vs/workbench/contrib/tasks/common/tasks.ts b/src/vs/workbench/contrib/tasks/common/tasks.ts
index 0b9ff835776dee0fa8987d5a697ae66191d13756..decd333ab72fda74477255a520f39936e226c9ce 100644
--- a/src/vs/workbench/contrib/tasks/common/tasks.ts
+++ b/src/vs/workbench/contrib/tasks/common/tasks.ts
@@ -273,7 +273,8 @@ export namespace PresentationOptions {
 export enum RuntimeType {
 	Shell = 1,
 	Process = 2,
-	CustomExecution = 3
+	CustomExecution = 3,
+	CustomExecution2 = 4
 }
 
 export namespace RuntimeType {
@@ -285,6 +286,8 @@ export namespace RuntimeType {
 				return RuntimeType.Process;
 			case 'customExecution':
 				return RuntimeType.CustomExecution;
+			case 'customExecution2':
+				return RuntimeType.CustomExecution2;
 			default:
 				return RuntimeType.Process;
 		}
@@ -664,6 +667,10 @@ export class CustomTask extends CommonTask {
 					type = 'customExecution';
 					break;
 
+				case RuntimeType.CustomExecution2:
+					type = 'customExecution2';
+					break;
+
 				case undefined:
 					type = '$composite';
 					break;