The last time I tried Codium, not being able to use Remote Development was a showstopper. Has the situation improved since then?
No, and don't expect it or Live Share to ever land[0]. None of the "Remote" extensions are FOSS, and they restrict usage to "validly licensed" copies of VS Code[1] – plus the server side code for it is closed source. So getting it into Codium would require a clean room implementation, essentially.
[0] https://github.com/VSCodium/vscodium/wiki/Extensions-Compati...]
[1] https://marketplace.visualstudio.com/items/ms-vscode-remote....
Microsoft is not really hiding any of this, so I am a little surprised, that nobody wrote a similar extension so far...
[1] https://open-vsx.org/extension/xaberus/remote-oss [2] https://github.com/xaberus/vscode-remote-oss [3] https://github.com/microsoft/vscode/tree/main/extensions/vsc...