diff --git a/src/vs/workbench/api/browser/mainThreadTerminalService.ts b/src/vs/workbench/api/browser/mainThreadTerminalService.ts
index 5ba2b3bbb24fa58feeed89f29d0aef403018665f..a388f623d745876af1d2fca903a74fe084a7b070 100644
--- a/src/vs/workbench/api/browser/mainThreadTerminalService.ts
+++ b/src/vs/workbench/api/browser/mainThreadTerminalService.ts
@@ -5,9 +5,9 @@
 
 import { IDisposable, dispose } from 'vs/base/common/lifecycle';
 import { ITerminalService, ITerminalInstance, IShellLaunchConfig, ITerminalProcessExtHostProxy, ITerminalProcessExtHostRequest, ITerminalDimensions, EXT_HOST_CREATION_DELAY, IAvailableShellsRequest, IDefaultShellAndArgsRequest } from 'vs/workbench/contrib/terminal/common/terminal';
-import { ExtHostContext, ExtHostTerminalServiceShape, MainThreadTerminalServiceShape, MainContext, IExtHostContext, ShellLaunchConfigDto } from 'vs/workbench/api/common/extHost.protocol';
+import { ExtHostContext, ExtHostTerminalServiceShape, MainThreadTerminalServiceShape, MainContext, IExtHostContext, ShellLaunchConfigDto, TerminalLaunchConfig } from 'vs/workbench/api/common/extHost.protocol';
 import { extHostNamedCustomer } from 'vs/workbench/api/common/extHostCustomers';
-import { UriComponents, URI } from 'vs/base/common/uri';
+import { URI } from 'vs/base/common/uri';
 import { StopWatch } from 'vs/base/common/stopwatch';
 import { ITerminalInstanceService } from 'vs/workbench/contrib/terminal/browser/terminal';
 import { IRemoteAgentService } from 'vs/workbench/services/remote/common/remoteAgentService';
@@ -78,18 +78,18 @@ export class MainThreadTerminalService implements MainThreadTerminalServiceShape
 		// when the extension host process goes down ?
 	}
 
-	public $createTerminal(name?: string, shellPath?: string, shellArgs?: string[] | string, cwd?: string | UriComponents, env?: { [key: string]: string }, waitOnExit?: boolean, strictEnv?: boolean, hideFromUser?: boolean, isVirtualProcess?: boolean): Promise<{ id: number, name: string }> {
+	public $createTerminal(launchConfig: TerminalLaunchConfig): Promise<{ id: number, name: string }> {
 		const shellLaunchConfig: IShellLaunchConfig = {
-			name,
-			executable: shellPath,
-			args: shellArgs,
-			cwd: typeof cwd === 'string' ? cwd : URI.revive(cwd),
-			waitOnExit,
+			name: launchConfig.name,
+			executable: launchConfig.shellPath,
+			args: launchConfig.shellArgs,
+			cwd: typeof launchConfig.cwd === 'string' ? launchConfig.cwd : URI.revive(launchConfig.cwd),
+			waitOnExit: launchConfig.waitOnExit,
 			ignoreConfigurationCwd: true,
-			env,
-			strictEnv,
-			hideFromUser,
-			isVirtualProcess
+			env: launchConfig.env,
+			strictEnv: launchConfig.strictEnv,
+			hideFromUser: launchConfig.hideFromUser,
+			isVirtualProcess: launchConfig.isVirtualProcess
 		};
 		const terminal = this._terminalService.createTerminal(shellLaunchConfig);
 		this._terminalProcesses[terminal.id] = new Promise<ITerminalProcessExtHostProxy>(r => this._terminalProcessesReady[terminal.id] = r);
diff --git a/src/vs/workbench/api/common/extHost.protocol.ts b/src/vs/workbench/api/common/extHost.protocol.ts
index 0733bc2776db3b5c1914d2668026578170c826ae..603fe598cfed308c950f25f5734f9c1d6780c619 100644
--- a/src/vs/workbench/api/common/extHost.protocol.ts
+++ b/src/vs/workbench/api/common/extHost.protocol.ts
@@ -389,8 +389,20 @@ export interface MainThreadProgressShape extends IDisposable {
 	$progressEnd(handle: number): void;
 }
 
+export interface TerminalLaunchConfig {
+	name?: string;
+	shellPath?: string;
+	shellArgs?: string[] | string;
+	cwd?: string | UriComponents;
+	env?: { [key: string]: string | null };
+	waitOnExit?: boolean;
+	strictEnv?: boolean;
+	hideFromUser?: boolean;
+	isVirtualProcess?: boolean;
+}
+
 export interface MainThreadTerminalServiceShape extends IDisposable {
-	$createTerminal(name?: string, shellPath?: string, shellArgs?: string[] | string, cwd?: string | UriComponents, env?: { [key: string]: string | null }, waitOnExit?: boolean, strictEnv?: boolean, hideFromUser?: boolean, isVirtualProcess?: boolean): Promise<{ id: number, name: string }>;
+	$createTerminal(config: TerminalLaunchConfig): Promise<{ id: number, name: string }>;
 	$createTerminalRenderer(name: string): Promise<number>;
 	$dispose(terminalId: number): void;
 	$hide(terminalId: number): void;
diff --git a/src/vs/workbench/api/node/extHostTerminalService.ts b/src/vs/workbench/api/node/extHostTerminalService.ts
index cbac2f8f96bb1f16b4ee5711f3d31f3e88484514..9d737f484d04cbdf9095dbb835f43a9c7a2356c7 100644
--- a/src/vs/workbench/api/node/extHostTerminalService.ts
+++ b/src/vs/workbench/api/node/extHostTerminalService.ts
@@ -119,15 +119,14 @@ export class ExtHostTerminal extends BaseExtHostTerminal implements vscode.Termi
 		strictEnv?: boolean,
 		hideFromUser?: boolean
 	): void {
-		this._proxy.$createTerminal(this._name, shellPath, shellArgs, cwd, env, waitOnExit, strictEnv, hideFromUser).then(terminal => {
+		this._proxy.$createTerminal({ name: this._name, shellPath, shellArgs, cwd, env, waitOnExit, strictEnv, hideFromUser }).then(terminal => {
 			this._name = terminal.name;
 			this._runQueuedRequests(terminal.id);
 		});
 	}
 
 	public createVirtualProcess(): Promise<void> {
-		// TODO: Change $createTerminal to accept an object
-		return this._proxy.$createTerminal(this._name, undefined, undefined, undefined, undefined, undefined, undefined, undefined, true).then(terminal => {
+		return this._proxy.$createTerminal({ name: this._name, isVirtualProcess: true }).then(terminal => {
 			this._name = terminal.name;
 			this._runQueuedRequests(terminal.id);
 		});