SteVen found the following issue on Windows 11 with VS Code Insiders:
Run VS Code as an Edge PWA. You can do this by navigating to https://vscode.dev and clicking on the extension button on the right side of the browser's top search bar.
Near the top-right corner of the VS Code PWA, in the top bar, there is a ^ button. Press that button to collapse the top bar, which renders it in a more compact way.
Move the mouse over the maximize button and hover it.
SteVen found the following issue on Windows 11 with VS Code Insiders:
^
button. Press that button to collapse the top bar, which renders it in a more compact way.