diff --git a/Cargo.lock b/Cargo.lock
index 691eb29..ae078c0 100644
--- a/Cargo.lock
+++ b/Cargo.lock
@@ -392,13 +392,6 @@ dependencies = [
  "zerovec",
 ]
 
-[[package]]
-name = "powershell"
-version = "0.4.0"
-dependencies = [
- "zed_extension_api",
-]
-
 [[package]]
 name = "prettyplease"
 version = "0.2.37"
@@ -765,6 +758,13 @@ dependencies = [
  "wit-bindgen",
 ]
 
+[[package]]
+name = "zed_powershell"
+version = "0.4.0"
+dependencies = [
+ "zed_extension_api",
+]
+
 [[package]]
 name = "zerofrom"
 version = "0.1.6"
diff --git a/Cargo.toml b/Cargo.toml
index eae926a..5010d05 100644
--- a/Cargo.toml
+++ b/Cargo.toml
@@ -1,5 +1,5 @@
 [package]
-name = "powershell"
+name = "zed_powershell"
 version = "0.4.0"
 edition = "2021"
 
diff --git a/README.md b/README.md
index 88a43bb..0fc6e75 100644
--- a/README.md
+++ b/README.md
@@ -1,17 +1,43 @@
-# PowerShell extension for Zed editor
+# PowerShell support for Zed
 
-## Setting up language server
+This extension provides syntax highlighting as well as language server support for PowerShell files
 
-Currently, the extension didn't support automatic installation (it'll soon land). You need
-to set the bundle path through `lsp` configuration:
+## Configuring your language server
+
+The extension requires PowerShell to be available in your environment. If that is the case,
+the extension will auto-download the language server and start it.
+
+If you wish to specify a custom path to your language server, you can do so via your settings:
 
 ```json
 {
-  "lsp": {
-    "powershell-es": {
-      "binary": {
-        "path": "<path to PowerShellEditorServices>"
-      }
+    "lsp": {
+        "powershell-es": {
+            "binary": {
+                "path": "<path to PowerShellEditorServices>"
+            }
+        }
     }
-  }
 }
+```
+
+Additionally, you can configure settings for your language server as well as initialization options
+to pass to the language server on start.
+
+An example for this:
+
+```json
+"lsp":{
+   "powershell-es":{
+      "settings":{
+         "powershell":{
+            "codeFormatting":{
+               "openBraceOnSameLine":true,
+               "addWhitespaceAroundPipe":true,
+               "trimWhitespaceAroundPipe":true,
+               "ignoreOneLineBlock":true
+            }
+         }
+      }
+   }
+```
diff --git a/src/powershell.rs b/src/powershell.rs
index d49f5df..6b50132 100644
--- a/src/powershell.rs
+++ b/src/powershell.rs
@@ -1,5 +1,6 @@
 use std::env;
 use std::fs;
+use zed_extension_api::settings::LspSettings;
 use zed_extension_api::{self as zed, Result};
 
 struct PowerShellExtension {
@@ -56,6 +57,24 @@ impl zed::Extension for PowerShellExtension {
             env: Default::default(),
         })
     }
+
+    fn language_server_initialization_options(
+        &mut self,
+        language_server_id: &zed_extension_api::LanguageServerId,
+        worktree: &zed_extension_api::Worktree,
+    ) -> zed_extension_api::Result<Option<zed_extension_api::serde_json::Value>> {
+        LspSettings::for_worktree(language_server_id.as_ref(), worktree)
+            .map(|settings| settings.initialization_options)
+    }
+
+    fn language_server_workspace_configuration(
+        &mut self,
+        language_server_id: &zed_extension_api::LanguageServerId,
+        worktree: &zed_extension_api::Worktree,
+    ) -> zed_extension_api::Result<Option<zed_extension_api::serde_json::Value>> {
+        LspSettings::for_worktree(language_server_id.as_ref(), worktree)
+            .map(|settings| settings.settings)
+    }
 }
 
 impl PowerShellExtension {