The concept of "shadow workspaces" is introduced as a method to enable AI to iterate on code within development environments without disrupting the user's experience. This approach involves creating hidden windows and kernel-level folder proxies to ensure that AI can make edits, receive lints, and perform concurrent tasks without altering the actual codebase or affecting the developer's workflow. Implemented in Cursor, a modified VS Code, the shadow workspace allows AI to operate in a separate, hidden environment, maintaining user independence and privacy. However, challenges remain in achieving full runnability, especially concerning disk isolation and the limitations of file system operations on platforms like macOS and Windows. The blog post explores potential solutions, such as using the FUSE API for Linux, but notes the complexities and limitations on other operating systems, proposing the need for creative solutions or potential collaboration with platform providers. Open questions remain about creating effective proxy folders and achieving network-level independence for AI operations, with suggestions for further exploration and development in this area.