The only thing I wish they'd do with SSMS is add scaling support to the app... It's a bit small for my usage most of the time.
I've started using the extensions for VS Code a lot since they killed the separate code based SQL studio app. I also use a SQLite extension, though I wish the SQLite extension worked a bit more like the MS SQL extension does. Overall they're both nice.
Definitely different workflows for Devs vs DBAs though.. and you're right, DBAs don't really close SSMS, that said, I think the VS Code extension(s) are better for most dev usage.