diff --git a/ee/config/feature_flags/beta/allow_extensions_marketplace_in_workspace.yml b/ee/config/feature_flags/beta/allow_extensions_marketplace_in_workspace.yml
new file mode 100644
index 0000000000000000000000000000000000000000..65df964c1dc32d7edd190b7d9e8fac30d91e1959
--- /dev/null
+++ b/ee/config/feature_flags/beta/allow_extensions_marketplace_in_workspace.yml
@@ -0,0 +1,9 @@
+---
+name: allow_extensions_marketplace_in_workspace
+feature_issue_url: https://gitlab.com/groups/gitlab-org/-/epics/12443
+introduced_by_url: https://gitlab.com/gitlab-org/gitlab/-/merge_requests/142001
+rollout_issue_url: https://gitlab.com/gitlab-com/gl-infra/production/-/issues/17418
+milestone: '16.9'
+group: group::ide
+type: beta
+default_enabled: false
diff --git a/ee/lib/remote_development/workspaces/create/editor_component_injector.rb b/ee/lib/remote_development/workspaces/create/editor_component_injector.rb
index bd2517266e29f41d76490c26127471a9cdbba06e..937bc743644ca54bd04357bd9b83d3ce5732d243 100644
--- a/ee/lib/remote_development/workspaces/create/editor_component_injector.rb
+++ b/ee/lib/remote_development/workspaces/create/editor_component_injector.rb
@@ -12,7 +12,7 @@ def self.inject(value)
           value => {
             processed_devfile: Hash => processed_devfile,
             volume_mounts: Hash => volume_mounts,
-            # params: Hash => params # NOTE: Params is currently unused until we use the editor entry
+            params: Hash => params
           }
           volume_mounts => { data_volume: Hash => data_volume }
           data_volume => {
@@ -20,15 +20,31 @@ def self.inject(value)
             path: String => volume_path,
           }
 
-          # NOTE: Editor is currently unused
-          # editor = params[:editor]
+          params => {
+            agent: Clusters::Agent => agent
+          }
 
           editor_port = 60001
           ssh_port = 60022
+          enable_marketplace = Feature.enabled?(
+            :allow_extensions_marketplace_in_workspace,
+            agent.project.root_namespace,
+            type: :beta
+          )
 
-          editor_component = processed_devfile['components'].find { |c| c.dig('attributes', 'gl/inject-editor') }
-          override_main_container(editor_component, volume_name, volume_path, editor_port, ssh_port) if editor_component
           inject_editor_component(processed_devfile, volume_name, volume_path)
+          editor_component = processed_devfile['components'].find { |c| c.dig('attributes', 'gl/inject-editor') }
+
+          if editor_component
+            override_main_container(
+              editor_component,
+              volume_name,
+              volume_path,
+              editor_port,
+              ssh_port,
+              enable_marketplace
+            )
+          end
 
           value
         end
@@ -38,8 +54,9 @@ def self.inject(value)
         # @param [String] volume_path
         # @param [Integer] editor_port
         # @param [Integer] ssh_port
+        # @param [Boolean] enable_marketplace
         # @return [Hash]
-        def self.override_main_container(component, volume_name, volume_path, editor_port, ssh_port)
+        def self.override_main_container(component, volume_name, volume_path, editor_port, ssh_port, enable_marketplace)
           # This overrides the main container's command
           # Open issue to support both starting the editor and running the default command:
           # https://gitlab.com/gitlab-org/gitlab/-/issues/392853
@@ -78,6 +95,10 @@ def self.override_main_container(component, volume_name, volume_path, editor_por
             {
               'name' => 'GL_SSH_PORT',
               'value' => ssh_port.to_s
+            },
+            {
+              'name' => 'GL_EDITOR_ENABLE_MARKETPLACE',
+              'value' => enable_marketplace.to_s
             }
           ]
 
@@ -127,7 +148,7 @@ def self.inject_editor_component(processed_devfile, volume_name, volume_path)
         def self.editor_components(volume_name, volume_path)
           # TODO: https://gitlab.com/gitlab-org/gitlab/-/issues/409775 - choose image based on which editor is passed.
           image_name = 'registry.gitlab.com/gitlab-org/gitlab-web-ide-vscode-fork/web-ide-injector'
-          image_tag = '5'
+          image_tag = '6'
 
           [
             {
diff --git a/ee/spec/fixtures/remote_development/example.processed-devfile-v2.yaml b/ee/spec/fixtures/remote_development/example.processed-devfile-v2.yaml
index 7c9d5684eac056013bccd7433fd08208a512d59e..34ae035025a7b4d1f6420f14fc1352103d39e82e 100644
--- a/ee/spec/fixtures/remote_development/example.processed-devfile-v2.yaml
+++ b/ee/spec/fixtures/remote_development/example.processed-devfile-v2.yaml
@@ -32,6 +32,8 @@ components:
           value: "60001"
         - name: GL_SSH_PORT
           value: "60022"
+        - name: GL_EDITOR_ENABLE_MARKETPLACE
+          value: "true"
       endpoints:
         - name: editor-server
           targetPort: 60001
@@ -49,7 +51,7 @@ components:
       size: 15Gi
   - name: gl-editor-injector
     container:
-      image: registry.gitlab.com/gitlab-org/gitlab-web-ide-vscode-fork/web-ide-injector:5
+      image: registry.gitlab.com/gitlab-org/gitlab-web-ide-vscode-fork/web-ide-injector:6
       volumeMounts:
         - name: gl-workspace-data
           path: /projects
diff --git a/ee/spec/fixtures/remote_development/example.processed-devfile.yaml b/ee/spec/fixtures/remote_development/example.processed-devfile.yaml
index 7c9d5684eac056013bccd7433fd08208a512d59e..34ae035025a7b4d1f6420f14fc1352103d39e82e 100644
--- a/ee/spec/fixtures/remote_development/example.processed-devfile.yaml
+++ b/ee/spec/fixtures/remote_development/example.processed-devfile.yaml
@@ -32,6 +32,8 @@ components:
           value: "60001"
         - name: GL_SSH_PORT
           value: "60022"
+        - name: GL_EDITOR_ENABLE_MARKETPLACE
+          value: "true"
       endpoints:
         - name: editor-server
           targetPort: 60001
@@ -49,7 +51,7 @@ components:
       size: 15Gi
   - name: gl-editor-injector
     container:
-      image: registry.gitlab.com/gitlab-org/gitlab-web-ide-vscode-fork/web-ide-injector:5
+      image: registry.gitlab.com/gitlab-org/gitlab-web-ide-vscode-fork/web-ide-injector:6
       volumeMounts:
         - name: gl-workspace-data
           path: /projects
diff --git a/ee/spec/fixtures/remote_development/example.processed-marketplace-disabled-devfile.yaml b/ee/spec/fixtures/remote_development/example.processed-marketplace-disabled-devfile.yaml
new file mode 100644
index 0000000000000000000000000000000000000000..0797452bfb5ac6ced23940a0073b0d50a4fd883e
--- /dev/null
+++ b/ee/spec/fixtures/remote_development/example.processed-marketplace-disabled-devfile.yaml
@@ -0,0 +1,94 @@
+---
+schemaVersion: 2.2.0
+metadata: {}
+components:
+  - name: tooling-container
+    attributes:
+      gl/inject-editor: true
+    container:
+      image: quay.io/mloriedo/universal-developer-image:ubi8-dw-demo
+      args:
+        - |-
+          sshd_path=$(which sshd)
+          if [ -x "$sshd_path" ]; then
+            echo "Starting sshd on port ${GL_SSH_PORT}"
+            $sshd_path -D -p $GL_SSH_PORT &
+          else
+            echo "'sshd' not found in path. Not starting SSH server."
+          fi
+          /projects/.gl-editor/start_server.sh
+      command:
+        - "/bin/sh"
+        - "-c"
+      volumeMounts:
+        - name: gl-workspace-data
+          path: /projects
+      env:
+        - name: GL_EDITOR_VOLUME_DIR
+          value: "/projects/.gl-editor"
+        - name: GL_EDITOR_LOG_LEVEL
+          value: "info"
+        - name: GL_EDITOR_PORT
+          value: "60001"
+        - name: GL_SSH_PORT
+          value: "60022"
+        - name: GL_EDITOR_ENABLE_MARKETPLACE
+          value: "false"
+      endpoints:
+        - name: editor-server
+          targetPort: 60001
+          exposure: public
+          secure: true
+          protocol: https
+        - name: ssh-server
+          targetPort: 60022
+          exposure: internal
+          secure: true
+      dedicatedPod: false
+      mountSources: true
+  - name: gl-workspace-data
+    volume:
+      size: 15Gi
+  - name: gl-editor-injector
+    container:
+      image: registry.gitlab.com/gitlab-org/gitlab-web-ide-vscode-fork/web-ide-injector:6
+      volumeMounts:
+        - name: gl-workspace-data
+          path: /projects
+      env:
+        - name: GL_EDITOR_VOLUME_DIR
+          value: "/projects/.gl-editor"
+      memoryLimit: 256Mi
+      memoryRequest: 128Mi
+      cpuLimit: 500m
+      cpuRequest: 100m
+  - name: gl-cloner-injector
+    container:
+      image: alpine/git:2.36.3
+      volumeMounts:
+        - name: gl-workspace-data
+          path: "/projects"
+      args:
+        - |-
+          if [ ! -d '/projects/test-project' ];
+          then
+            git clone --branch master http://localhost/test-group/test-project.git /projects/test-project;
+          fi
+      command:
+        - "/bin/sh"
+        - "-c"
+      memoryLimit: 256Mi
+      memoryRequest: 128Mi
+      cpuLimit: 500m
+      cpuRequest: 100m
+events:
+  preStart:
+    - gl-editor-injector-command
+    - gl-cloner-injector-command
+commands:
+  - id: gl-editor-injector-command
+    apply:
+      component: gl-editor-injector
+  - id: gl-cloner-injector-command
+    apply:
+      component: gl-cloner-injector
diff --git a/ee/spec/lib/remote_development/workspaces/create/editor_component_injector_spec.rb b/ee/spec/lib/remote_development/workspaces/create/editor_component_injector_spec.rb
index 4789696632fc61034b8b286fe7160ed80f6ba725..230dda453b32dd9e4e4e21fdd5ac823c62e27c62 100644
--- a/ee/spec/lib/remote_development/workspaces/create/editor_component_injector_spec.rb
+++ b/ee/spec/lib/remote_development/workspaces/create/editor_component_injector_spec.rb
@@ -5,17 +5,18 @@
 RSpec.describe RemoteDevelopment::Workspaces::Create::EditorComponentInjector, feature_category: :remote_development do
   include_context 'with remote development shared fixtures'
 
+  let(:agent) { create(:ee_cluster_agent, :with_remote_development_agent_config) }
   let(:flattened_devfile_name) { 'example.flattened-devfile.yaml' }
-  let(:processed_devfile) { YAML.safe_load(read_devfile(flattened_devfile_name)).to_h }
-  let(:expected_processed_devfile) { YAML.safe_load(example_processed_devfile) }
-  let(:component_name) { "gl-editor-injector" }
-  let(:volume_name) { "gl-workspace-data" }
+  let(:input_processed_devfile) { YAML.safe_load(read_devfile(flattened_devfile_name)).to_h }
+  let(:processed_devfile_name) { 'example.processed-devfile.yaml' }
+  let(:expected_processed_devfile) { YAML.safe_load(read_devfile(processed_devfile_name)).to_h }
+  let(:volume_name) { 'gl-workspace-data' }
   let(:value) do
     {
       params: {
-        editor: "editor" # NOTE: Currently unused
+        agent: agent
       },
-      processed_devfile: processed_devfile,
+      processed_devfile: input_processed_devfile,
       volume_mounts: {
         data_volume: {
           name: volume_name,
@@ -29,13 +30,30 @@
     described_class.inject(value)
   end
 
-  it "injects the editor injector component" do
-    components = returned_value.dig(:processed_devfile, "components")
-    editor_injector_component = components.find { |component| component.fetch("name") == component_name }
-    processed_devfile_components = expected_processed_devfile.fetch("components")
-    expected_volume_component = processed_devfile_components.find do |component|
-      component.fetch("name") == component_name
+  shared_examples 'successful injection of editor components' do
+    it 'injects the editor injector component' do
+      components = returned_value.dig(:processed_devfile, 'components')
+      editor_component = components.find { |c| c.dig('attributes', 'gl/inject-editor') }
+      editor_injector_component = components.find { |c| c.fetch('name') == 'gl-editor-injector' }
+      relevant_components = [editor_component, editor_injector_component]
+      relevant_components_name = relevant_components.map { |c| c.fetch('name') }
+      processed_devfile_components = expected_processed_devfile.fetch('components')
+      expected_relevant_components = processed_devfile_components.select do |component|
+        relevant_components_name.include? component.fetch('name')
+      end
+      expect(relevant_components).to eq(expected_relevant_components)
     end
-    expect(editor_injector_component).to eq(expected_volume_component)
+  end
+
+  it_behaves_like 'successful injection of editor components'
+
+  context "when allow_extensions_marketplace_in_workspace is disabled" do
+    let(:processed_devfile_name) { 'example.processed-marketplace-disabled-devfile.yaml' }
+
+    before do
+      stub_feature_flags(allow_extensions_marketplace_in_workspace: false)
+    end
+
+    it_behaves_like 'successful injection of editor components'
   end
 end
diff --git a/ee/spec/support/shared_contexts/remote_development/remote_development_shared_contexts.rb b/ee/spec/support/shared_contexts/remote_development/remote_development_shared_contexts.rb
index 6b52e536a9880cf9f15e654da297a98107af4716..1c20489e5f04b47ca6a40fc76023aeeaec15d5af 100644
--- a/ee/spec/support/shared_contexts/remote_development/remote_development_shared_contexts.rb
+++ b/ee/spec/support/shared_contexts/remote_development/remote_development_shared_contexts.rb
@@ -618,6 +618,10 @@ def workspace_deployment(
                     name: "GL_SSH_PORT",
                     value: "60022"
                   },
+                  {
+                    name: "GL_EDITOR_ENABLE_MARKETPLACE",
+                    value: "true"
+                  },
                   {
                     name: "PROJECTS_ROOT",
                     value: "/projects"
@@ -741,7 +745,7 @@ def workspace_deployment(
                     value: "/projects"
                   }
                 ],
-                image: "registry.gitlab.com/gitlab-org/gitlab-web-ide-vscode-fork/web-ide-injector:5",
+                image: "registry.gitlab.com/gitlab-org/gitlab-web-ide-vscode-fork/web-ide-injector:6",
                 imagePullPolicy: "Always",
                 name: "gl-editor-injector-gl-editor-injector-command-2",
                 resources: {