diff --git a/packages/core/src/browser/http-open-handler.ts b/packages/core/src/browser/http-open-handler.ts
index e31b1f9bdc89d..d8f467a549372 100644
--- a/packages/core/src/browser/http-open-handler.ts
+++ b/packages/core/src/browser/http-open-handler.ts
@@ -27,6 +27,8 @@ export interface HttpOpenHandlerOptions {
 @injectable()
 export class HttpOpenHandler implements OpenHandler {
 
+    static readonly PRIORITY: number = 500;
+
     readonly id = 'http';
 
     @inject(WindowService)
@@ -36,7 +38,7 @@ export class HttpOpenHandler implements OpenHandler {
     protected readonly externalUriService: ExternalUriService;
 
     canHandle(uri: URI, options?: HttpOpenHandlerOptions): number {
-        return ((options && options.openExternal) || uri.scheme.startsWith('http') || uri.scheme.startsWith('mailto')) ? 500 : 0;
+        return ((options && options.openExternal) || uri.scheme.startsWith('http') || uri.scheme.startsWith('mailto')) ? HttpOpenHandler.PRIORITY : 0;
     }
 
     async open(uri: URI): Promise<undefined> {
diff --git a/packages/core/src/electron-browser/preload.ts b/packages/core/src/electron-browser/preload.ts
index b0903d1a764af..78d0d29a93f3c 100644
--- a/packages/core/src/electron-browser/preload.ts
+++ b/packages/core/src/electron-browser/preload.ts
@@ -79,8 +79,8 @@ const api: TheiaCoreAPI = {
     showItemInFolder: fsPath => {
         ipcRenderer.send(CHANNEL_SHOW_ITEM_IN_FOLDER, fsPath);
     },
-    openWithSystemApp: fsPath => {
-        ipcRenderer.send(CHANNEL_OPEN_WITH_SYSTEM_APP, fsPath);
+    openWithSystemApp: location => {
+        ipcRenderer.send(CHANNEL_OPEN_WITH_SYSTEM_APP, location);
     },
     attachSecurityToken: (endpoint: string) => ipcRenderer.invoke(CHANNEL_ATTACH_SECURITY_TOKEN, endpoint),
 
diff --git a/packages/core/src/electron-browser/window/electron-window-module.ts b/packages/core/src/electron-browser/window/electron-window-module.ts
index b50e21267b4cd..78f490c1c98db 100644
--- a/packages/core/src/electron-browser/window/electron-window-module.ts
+++ b/packages/core/src/electron-browser/window/electron-window-module.ts
@@ -15,18 +15,20 @@
 // *****************************************************************************
 
 import { ContainerModule } from 'inversify';
-import { WindowService } from '../../browser/window/window-service';
-import { ElectronWindowService } from './electron-window-service';
-import { FrontendApplicationContribution } from '../../browser/frontend-application-contribution';
-import { ElectronClipboardService } from '../electron-clipboard-service';
+import { OpenHandler } from '../../browser';
 import { ClipboardService } from '../../browser/clipboard-service';
+import { FrontendApplicationContribution } from '../../browser/frontend-application-contribution';
+import { FrontendApplicationStateService } from '../../browser/frontend-application-state';
+import { SecondaryWindowService } from '../../browser/window/secondary-window-service';
+import { WindowService } from '../../browser/window/window-service';
 import { ElectronMainWindowService, electronMainWindowServicePath } from '../../electron-common/electron-main-window-service';
+import { ElectronClipboardService } from '../electron-clipboard-service';
 import { ElectronIpcConnectionProvider } from '../messaging/electron-ipc-connection-source';
-import { bindWindowPreferences } from './electron-window-preferences';
-import { FrontendApplicationStateService } from '../../browser/frontend-application-state';
 import { ElectronFrontendApplicationStateService } from './electron-frontend-application-state';
 import { ElectronSecondaryWindowService } from './electron-secondary-window-service';
-import { SecondaryWindowService } from '../../browser/window/secondary-window-service';
+import { bindWindowPreferences } from './electron-window-preferences';
+import { ElectronWindowService } from './electron-window-service';
+import { ExternalAppOpenHandler } from './external-app-open-handler';
 
 export default new ContainerModule((bind, unbind, isBound, rebind) => {
     bind(ElectronMainWindowService).toDynamicValue(context =>
@@ -38,4 +40,6 @@ export default new ContainerModule((bind, unbind, isBound, rebind) => {
     bind(ClipboardService).to(ElectronClipboardService).inSingletonScope();
     rebind(FrontendApplicationStateService).to(ElectronFrontendApplicationStateService).inSingletonScope();
     bind(SecondaryWindowService).to(ElectronSecondaryWindowService).inSingletonScope();
+    bind(ExternalAppOpenHandler).toSelf().inSingletonScope();
+    bind(OpenHandler).toService(ExternalAppOpenHandler);
 });
diff --git a/packages/core/src/electron-browser/window/external-app-open-handler.ts b/packages/core/src/electron-browser/window/external-app-open-handler.ts
new file mode 100644
index 0000000000000..d74c3a2378e1d
--- /dev/null
+++ b/packages/core/src/electron-browser/window/external-app-open-handler.ts
@@ -0,0 +1,42 @@
+// *****************************************************************************
+// Copyright (C) 2024 TypeFox and others.
+//
+// This program and the accompanying materials are made available under the
+// terms of the Eclipse Public License v. 2.0 which is available at
+// http://www.eclipse.org/legal/epl-2.0.
+//
+// This Source Code may also be made available under the following Secondary
+// Licenses when the conditions for such availability set forth in the Eclipse
+// Public License v. 2.0 are satisfied: GNU General Public License, version 2
+// with the GNU Classpath Exception which is available at
+// https://www.gnu.org/software/classpath/license.html.
+//
+// SPDX-License-Identifier: EPL-2.0 OR GPL-2.0-only WITH Classpath-exception-2.0
+// *****************************************************************************
+
+import { injectable } from 'inversify';
+import { OpenHandler } from '../../browser/opener-service';
+import URI from '../../common/uri';
+import { HttpOpenHandler } from '../../browser/http-open-handler';
+
+export interface ExternalAppOpenHandlerOptions {
+    openExternalApp?: boolean
+}
+
+@injectable()
+export class ExternalAppOpenHandler implements OpenHandler {
+
+    static readonly PRIORITY: number = HttpOpenHandler.PRIORITY + 100;
+    readonly id = 'external-app';
+
+    canHandle(uri: URI, options?: ExternalAppOpenHandlerOptions): number {
+        return (options && options.openExternalApp) ? ExternalAppOpenHandler.PRIORITY : -1;
+    }
+
+    async open(uri: URI): Promise<undefined> {
+        // For files 'file:' scheme, system accepts only the path.
+        // For other protocols e.g. 'vscode:' we use the full URI to propagate target app information.
+        window.electronTheiaCore.openWithSystemApp(uri.scheme === 'file' ? uri.path.fsPath() : uri.toString(true));
+        return undefined;
+    }
+}
diff --git a/packages/core/src/electron-common/electron-api.ts b/packages/core/src/electron-common/electron-api.ts
index 6bcde6a4fb333..833b44d6070e2 100644
--- a/packages/core/src/electron-common/electron-api.ts
+++ b/packages/core/src/electron-common/electron-api.ts
@@ -56,7 +56,11 @@ export interface TheiaCoreAPI {
     focusWindow(name?: string): void;
 
     showItemInFolder(fsPath: string): void;
-    openWithSystemApp(fsPath: string): void;
+
+    /**
+     * @param location The location to open with the system app. This can be a file path or a URL.
+     */
+    openWithSystemApp(location: string): void;
 
     getTitleBarStyleAtStartup(): Promise<string>;
     setTitleBarStyle(style: string): void;
diff --git a/packages/plugin-ext/src/main/browser/window-state-main.ts b/packages/plugin-ext/src/main/browser/window-state-main.ts
index 1a48ea1f50e56..64e9439cf2e37 100644
--- a/packages/plugin-ext/src/main/browser/window-state-main.ts
+++ b/packages/plugin-ext/src/main/browser/window-state-main.ts
@@ -69,7 +69,7 @@ export class WindowStateMain implements WindowMain, Disposable {
         const uri = URI.revive(uriComponent);
         const url = new CoreURI(encodeURI(uri.toString(true)));
         try {
-            await open(this.openerService, url);
+            await open(this.openerService, url, { openExternalApp: true });
             return true;
         } catch (e) {
             return false;