diff --git a/src/vs/workbench/contrib/terminalContrib/links/browser/terminalLocalLinkDetector.ts b/src/vs/workbench/contrib/terminalContrib/links/browser/terminalLocalLinkDetector.ts
index 3cfea79b814..e7b27e43556 100644
--- a/src/vs/workbench/contrib/terminalContrib/links/browser/terminalLocalLinkDetector.ts
+++ b/src/vs/workbench/contrib/terminalContrib/links/browser/terminalLocalLinkDetector.ts
@@ -52,8 +52,8 @@ const fallbackMatchers: RegExp[] = [
 	// C:\foo/bar baz:339: error ...
 	// C:\foo/bar baz:339:12: error ...     [#178584, Clang]
 	/^(?<link>(?<path>.+):(?<line>\d+)(?::(?<col>\d+))?) ?:/,
-	// Cmd prompt
-	/^(?<link>(?<path>.+))>/,
+	// PowerShell and cmd prompt
+	/^(?:PS\s+)?(?<link>(?<path>[^>]+))>/,
 	// The whole line is the path
 	/^ *(?<link>(?<path>.+))/
 ];
diff --git a/src/vs/workbench/contrib/terminalContrib/links/test/browser/terminalLocalLinkDetector.test.ts b/src/vs/workbench/contrib/terminalContrib/links/test/browser/terminalLocalLinkDetector.test.ts
index 04d0dfa7415..32d6d384bb8 100644
--- a/src/vs/workbench/contrib/terminalContrib/links/test/browser/terminalLocalLinkDetector.test.ts
+++ b/src/vs/workbench/contrib/terminalContrib/links/test/browser/terminalLocalLinkDetector.test.ts
@@ -158,6 +158,8 @@ const supportedFallbackLinkFormats: LinkFormatInfo[] = [
 	{ urlFormat: '{0}:{1}:{2} :', line: '5', column: '3', linkCellEndOffset: -2 },
 	{ urlFormat: '{0}:{1}:', line: '5', linkCellEndOffset: -1 },
 	{ urlFormat: '{0}:{1}:{2}:', line: '5', column: '3', linkCellEndOffset: -1 },
+	// PowerShell prompt
+	{ urlFormat: 'PS {0}>', linkCellStartOffset: 3, linkCellEndOffset: -1 },
 	// Cmd prompt
 	{ urlFormat: '{0}>', linkCellEndOffset: -1 },
 	// The whole line is the path