diff --git a/src/vs/workbench/services/configuration/test/electron-browser/configurationService.test.ts b/src/vs/workbench/services/configuration/test/electron-browser/configurationService.test.ts
index eea55891c23869d69fb903715e4053c688456861..7953b4ebf86902f9889801ad664967ee89f547e1 100644
--- a/src/vs/workbench/services/configuration/test/electron-browser/configurationService.test.ts
+++ b/src/vs/workbench/services/configuration/test/electron-browser/configurationService.test.ts
@@ -2025,27 +2025,6 @@ suite('WorkspaceConfigurationService - Remote Folder', () => {
 		return promise;
 	});
 
-	test.skip('update remote settings', async () => {
-		registerRemoteFileSystemProvider();
-		resolveRemoteEnvironment();
-		await initialize();
-		assert.equal(testObject.getValue('configurationService.remote.machineSetting'), 'isSet');
-		const promise = new Promise<void>((c, e) => {
-			testObject.onDidChangeConfiguration(event => {
-				try {
-					assert.equal(event.source, ConfigurationTarget.USER);
-					assert.deepEqual(event.affectedKeys, ['configurationService.remote.machineSetting']);
-					assert.equal(testObject.getValue('configurationService.remote.machineSetting'), 'remoteValue');
-					c();
-				} catch (error) {
-					e(error);
-				}
-			});
-		});
-		await instantiationService.get(IFileService).writeFile(remoteSettingsResource, VSBuffer.fromString('{ "configurationService.remote.machineSetting": "remoteValue" }'));
-		return promise;
-	});
-
 	test('machine settings in local user settings does not override defaults', async () => {
 		fs.writeFileSync(globalSettingsFile, '{ "configurationService.remote.machineSetting": "globalValue" }');
 		registerRemoteFileSystemProvider();