diff --git a/apps/web/src/components/SidebarV2.tsx b/apps/web/src/components/SidebarV2.tsx
index 9e86e5fb6b4..aef17f300b6 100644
--- a/apps/web/src/components/SidebarV2.tsx
+++ b/apps/web/src/components/SidebarV2.tsx
@@ -141,7 +141,6 @@ import { ProjectFavicon } from "./ProjectFavicon";
 import { ProviderInstanceIcon } from "./chat/ProviderInstanceIcon";
 import { getTriggerDisplayModelLabel } from "./chat/providerIconUtils";
 import { deriveProviderInstanceEntries, type ProviderInstanceEntry } from "../providerInstances";
-import { primaryServerProvidersAtom } from "../state/server";
 import { useThreadRunningTerminalIds } from "../state/terminalSessions";
 import { stackedThreadToast, toastManager } from "./ui/toast";
 import { Button } from "./ui/button";
@@ -1310,16 +1309,16 @@ export default function SidebarV2() {
     () => sortLogicalProjectsForSidebar(unsortedProjectGroups, threads, sidebarProjectSortOrder),
     [sidebarProjectSortOrder, threads, unsortedProjectGroups],
   );
-  const serverProviders = useAtomValue(primaryServerProvidersAtom);
-  const providerEntryByInstanceId = useMemo(
-    () =>
-      new Map(
-        deriveProviderInstanceEntries(serverProviders).map(
-          (entry) => [entry.instanceId as string, entry] as const,
-        ),
-      ),
-    [serverProviders],
-  );
+  const allEnvironmentServerConfigs = useAtomValue(environmentServerConfigsAtom);
+  const providerEntryByInstanceId = useMemo(() => {
+    const map = new Map<string, ProviderInstanceEntry>();
+    for (const [, config] of allEnvironmentServerConfigs) {
+      for (const entry of deriveProviderInstanceEntries(config.providers)) {
+        map.set(entry.instanceId as string, entry);
+      }
+    }
+    return map;
+  }, [allEnvironmentServerConfigs]);
   const projectCwdByKey = useMemo(
     () =>
       new Map(
diff --git a/screenshots/sidebar-provider-icons-after.png b/screenshots/sidebar-provider-icons-after.png
new file mode 100644
index 00000000000..39e1a6f14ed
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diff --git a/screenshots/sidebar-provider-icons-before.png b/screenshots/sidebar-provider-icons-before.png
new file mode 100644
index 00000000000..5aed3be0bbc
Binary files /dev/null and b/screenshots/sidebar-provider-icons-before.png differ