diff --git a/registry/coder-labs/modules/sourcegraph-amp/README.md b/registry/coder-labs/modules/sourcegraph-amp/README.md
index 608defd60..6ba0576fa 100644
--- a/registry/coder-labs/modules/sourcegraph-amp/README.md
+++ b/registry/coder-labs/modules/sourcegraph-amp/README.md
@@ -12,12 +12,12 @@ Run [Amp CLI](https://ampcode.com/) in your workspace to access Sourcegraph's AI
 
 ```tf
 module "amp-cli" {
-  source                  = "registry.coder.com/coder-labs/sourcegraph-amp/coder"
-  version                 = "2.0.1"
-  agent_id                = coder_agent.example.id
-  sourcegraph_amp_api_key = var.sourcegraph_amp_api_key
-  install_sourcegraph_amp = true
-  agentapi_version        = "latest"
+  source           = "registry.coder.com/coder-labs/sourcegraph-amp/coder"
+  version          = "2.1.0"
+  agent_id         = coder_agent.example.id
+  amp_api_key      = var.amp_api_key
+  install_amp      = true
+  agentapi_version = "latest"
 }
 ```
 
@@ -48,7 +48,7 @@ variable "amp_api_key" {
 module "amp-cli" {
   count              = data.coder_workspace.me.start_count
   source             = "registry.coder.com/coder-labs/sourcegraph-amp/coder"
-  amp_version        = "2.0.1"
+  amp_version        = "2.1.0"
   agent_id           = coder_agent.example.id
   amp_api_key        = var.amp_api_key # recommended for tasks usage
   workdir            = "/home/coder/project"
diff --git a/registry/coder-labs/modules/sourcegraph-amp/main.tf b/registry/coder-labs/modules/sourcegraph-amp/main.tf
index fc36ea8d3..c61e276de 100644
--- a/registry/coder-labs/modules/sourcegraph-amp/main.tf
+++ b/registry/coder-labs/modules/sourcegraph-amp/main.tf
@@ -55,7 +55,7 @@ variable "install_agentapi" {
 variable "agentapi_version" {
   type        = string
   description = "The version of AgentAPI to install."
-  default     = "v0.10.0"
+  default     = "v0.11.1"
 }
 
 variable "cli_app" {
@@ -160,6 +160,16 @@ variable "mcp" {
   default     = null
 }
 
+variable "mode" {
+  type        = string
+  description = "Set the agent mode (free, rush, smart) — controls the model, system prompt, and tool selection. Default: smart"
+  default     = ""
+  validation {
+    condition     = contains(["", "free", "rush", "smart"], var.mode)
+    error_message = "Invalid mode. Select one from (free, rush, smart)"
+  }
+}
+
 data "external" "env" {
   program = ["sh", "-c", "echo '{\"CODER_AGENT_TOKEN\":\"'$CODER_AGENT_TOKEN'\",\"CODER_AGENT_URL\":\"'$CODER_AGENT_URL'\"}'"]
 }
@@ -170,6 +180,7 @@ locals {
   default_base_config = jsonencode({
     "amp.anthropic.thinking.enabled" = true
     "amp.todos.enabled"              = true
+    "amp.terminal.animation"         = false
   })
 
   user_config       = jsondecode(var.base_amp_config != "" ? var.base_amp_config : local.default_base_config)
@@ -237,6 +248,7 @@ module "agentapi" {
      ARG_AMP_START_DIRECTORY='${var.workdir}' \
      ARG_AMP_TASK_PROMPT='${base64encode(var.ai_prompt)}' \
      ARG_REPORT_TASKS='${var.report_tasks}' \
+     ARG_MODE='${var.mode}' \
      /tmp/start.sh
    EOT
 
diff --git a/registry/coder-labs/modules/sourcegraph-amp/scripts/install.sh b/registry/coder-labs/modules/sourcegraph-amp/scripts/install.sh
index 0af54e5e8..6b4e66493 100644
--- a/registry/coder-labs/modules/sourcegraph-amp/scripts/install.sh
+++ b/registry/coder-labs/modules/sourcegraph-amp/scripts/install.sh
@@ -1,8 +1,6 @@
 #!/bin/bash
 set -euo pipefail
 
-source "$HOME"/.bashrc
-
 # ANSI colors
 BOLD='\033[1m'
 GREEN='\033[0;32m'
diff --git a/registry/coder-labs/modules/sourcegraph-amp/scripts/start.sh b/registry/coder-labs/modules/sourcegraph-amp/scripts/start.sh
index 46dc2d761..d8dcb80d1 100644
--- a/registry/coder-labs/modules/sourcegraph-amp/scripts/start.sh
+++ b/registry/coder-labs/modules/sourcegraph-amp/scripts/start.sh
@@ -27,6 +27,7 @@ echo "--------------------------------"
 printf "Workspace: %s\n" "$ARG_AMP_START_DIRECTORY"
 printf "Task Prompt: %s\n" "$ARG_AMP_TASK_PROMPT"
 printf "ARG_REPORT_TASKS: %s\n" "$ARG_REPORT_TASKS"
+printf "ARG_MODE: %s\n" "$ARG_MODE"
 echo "--------------------------------"
 
 ensure_command amp
@@ -48,6 +49,13 @@ else
   printf "amp_api_key not provided\n"
 fi
 
+ARGS=()
+
+if [ -n "$ARG_MODE" ]; then
+  printf "Running agent in: %s mode" "$ARG_MODE"
+  ARGS+=(--mode "$ARG_MODE")
+fi
+
 if [ -n "$ARG_AMP_TASK_PROMPT" ]; then
   if [ "$ARG_REPORT_TASKS" == "true" ]; then
     printf "amp task prompt provided : %s" "$ARG_AMP_TASK_PROMPT\n"
@@ -56,8 +64,8 @@ if [ -n "$ARG_AMP_TASK_PROMPT" ]; then
     PROMPT="$ARG_AMP_TASK_PROMPT"
   fi
   # Pipe the prompt into amp, which will be run inside agentapi
-  agentapi server --type amp --term-width=67 --term-height=1190 -- bash -c "echo \"$PROMPT\" | amp"
+  agentapi server --type amp --term-width=67 --term-height=1190 -- bash -c "echo \"$PROMPT\" | amp" "${ARGS[@]}"
 else
   printf "No task prompt given.\n"
-  agentapi server --type amp --term-width=67 --term-height=1190 -- amp
+  agentapi server --type amp --term-width=67 --term-height=1190 -- amp "${ARGS[@]}"
 fi