diff --git a/src/vs/workbench/contrib/welcome/telemetryOptOut/browser/telemetryOptOut.ts b/src/vs/workbench/contrib/welcome/telemetryOptOut/browser/telemetryOptOut.ts
index d5f52b3433..2a4221f8cd 100644
--- a/src/vs/workbench/contrib/welcome/telemetryOptOut/browser/telemetryOptOut.ts
+++ b/src/vs/workbench/contrib/welcome/telemetryOptOut/browser/telemetryOptOut.ts
@@ -41,7 +41,9 @@ export abstract class AbstractTelemetryOptOut implements IWorkbenchContribution
 	}
 
 	protected async handleTelemetryOptOut(): Promise<void> {
-		if (this.productService.telemetryOptOutUrl && !this.storageService.get(AbstractTelemetryOptOut.TELEMETRY_OPT_OUT_SHOWN, StorageScope.GLOBAL)) {
+		if (this.productService.telemetryOptOutUrl &&
+			!this.storageService.get(AbstractTelemetryOptOut.TELEMETRY_OPT_OUT_SHOWN, StorageScope.GLOBAL) &&
+			!this.environmentService.disableTelemetry) { // {{SQL CARBON EDIT}} Adding check to disable opt out toast when this flag is set.
 			const experimentId = 'telemetryOptOut';
 
 			const [count, experimentState] = await Promise.all([this.getWindowCount(), this.experimentService.getExperimentById(experimentId)]);