Video Reference: Watch the full course by Dave Ebbelaar on YouTube before or alongside this guide.

Setting Up Python and VS Code

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Before you write any Python code, you need two things on your computer: Python (the programming language) and VS Code (the editor where you write your code). This guide walks you through every step — from a fresh computer to running your first Python file.

What You Will Have by the End

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• Python installed on your computer
• VS Code installed and configured
• A working project folder
• A virtual environment set up
• Your first Python package installed
• Jupyter notebooks running

Step 1 — Install Python

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Python is the language your computer uses to understand and run your code. Think of it like installing a new language on your computer so it can “speak Python.”

On Windows

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1. Open your browser and go to python.org/downloads

2. Click the big yellow “Download Python” button — it picks the right version for you automatically

3. Run the downloaded .exe file

4. Very important: On the first screen, check the box that says “Add Python to PATH” before clicking Install

   If you miss this step, Windows will not be able to find Python when you type commands. You would need to uninstall and reinstall.

5. Click Install Now and wait for it to finish

6. Click Close when done

Check that it worked: Open the Start menu, search for Command Prompt, and type:

python --version

You should see something like Python 3.12.0. If you see that, Python is installed correctly.

On Mac

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Mac comes with an old version of Python already installed, but you need the modern version.

1. Go to python.org/downloads
2. Download the .pkg file for Mac
3. Open the downloaded file and follow the installer steps (Next → Agree → Install)
4. When finished, open Terminal (press Cmd + Space, type Terminal, press Enter)
5. Type this and press Enter:

python3 --version

You should see Python 3.12.0 or similar.

On Mac, always use python3 instead of python. This is normal — it’s how Mac separates the old built-in Python from the new one you just installed.

Step 2 — Install VS Code

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VS Code (Visual Studio Code) is where you will write all your Python code. It is free, very popular, and works great for AI development.

1. Go to code.visualstudio.com
2. Click the big Download button — it detects your operating system automatically
3. Run the installer and follow the steps
4. When you reach the screen with options, check these boxes:
   • “Add to PATH”
   • “Register Code as an editor for supported file types”
5. Click Install, then Finish

After installation, open VS Code. You will see a welcome screen.

Step 3 — Set Up VS Code Extensions

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VS Code on its own does not know how to work with Python. You need to install extensions — small add-ons that give VS Code superpowers.

Install the Python Extension

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1. Inside VS Code, look at the left sidebar
2. Click the icon that looks like four squares (Extensions), or press Ctrl+Shift+X (Windows) / Cmd+Shift+X (Mac)
3. In the search box, type Python
4. The first result should be “Python” by Microsoft — click Install

This extension gives VS Code the ability to run Python files, show errors as you type, and offer suggestions while you code.

Install the Pylance Extension

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While you are in the Extensions panel, also search for and install Pylance (also by Microsoft). This adds smarter code suggestions and catches more errors before you run your code.

Install the Jupyter Extension

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Search for Jupyter (by Microsoft) and install it. You will need this later for running interactive notebooks.

Step 4 — Customize VS Code (Optional but Recommended)

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These settings make VS Code more comfortable to use every day.

Choose a Color Theme

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1. Press Ctrl+Shift+P (Windows) / Cmd+Shift+P (Mac) to open the Command Palette
2. Type Color Theme and press Enter
3. Browse through the themes and press Enter on one you like
4. “Dark+” and “One Dark Pro” are popular choices for coding

Change the Font Size

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If the text is too small or too large:

1. Go to File → Preferences → Settings (or press Ctrl+,)
2. Search for Font Size
3. Change the number to your preference (14 or 16 is comfortable for most people)

Turn On Auto Save

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This saves your file automatically every few seconds so you never lose work:

1. Go to File → Auto Save and click it to enable it

Step 5 — Create Your First Project

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A project is just a folder on your computer where all your code files live. Keeping everything organized in one folder is very important.

Create the Folder

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1. Open File Explorer (Windows) or Finder (Mac)
2. Navigate to a place you will remember — for example, your Desktop or Documents folder
3. Create a new folder and name it something like python-ai-course

Open the Folder in VS Code

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Option A — From VS Code:

1. Open VS Code
2. Click File → Open Folder
3. Navigate to and select your python-ai-course folder
4. Click Open

Option B — From the terminal:

1. Open Terminal (Mac) or Command Prompt (Windows)
2. Type cd Desktop (or wherever you created the folder)
3. Type code python-ai-course

You should now see your empty folder on the left side of VS Code.

Create a VS Code Workspace File (Recommended)

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A workspace file saves your VS Code settings specifically for this project.

1. Go to File → Save Workspace As
2. Save it inside your project folder with the name python-ai-course.code-workspace
3. Click Save

Next time you want to open this project, just double-click the .code-workspace file.

Step 6 — Write and Run Your First Python File

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Now for the exciting part — writing your first code.

Create the File

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1. In VS Code, look at the left panel (Explorer)
2. Click the New File icon (a page with a + symbol)
3. Name the file hello.py

The .py extension tells VS Code and your computer that this is a Python file.

Write Your First Code

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Click inside the file and type:

print("Hello, Python!")
print("I am learning Python for AI development.")

print() is a Python function that displays text on the screen. Whatever you put inside the quotes will appear when you run the code.

Run the File

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Method 1 — The Play Button: Look at the top-right corner of VS Code. You will see a small triangle (▶) play button. Click it.

Method 2 — The Terminal:

1. Go to Terminal → New Terminal in the top menu
2. A terminal panel opens at the bottom of VS Code
3. Type this and press Enter:

python hello.py

(On Mac: python3 hello.py)

You should see this output:

Hello, Python!
I am learning Python for AI development.

Congratulations — you just ran your first Python program.

Step 7 — Understand Python Environments

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This is one of the most important concepts for working with Python seriously. It sounds technical, but the idea is simple.

The Problem

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Imagine you are working on two different projects:

• Project A needs version 1 of a library
• Project B needs version 2 of the same library

If you install everything in one place, the two projects will conflict and break each other.

The Solution — Virtual Environments

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A virtual environment is like a separate, isolated box for each project. Each project gets its own copy of Python and its own set of libraries. Changes in one box do not affect another.

Think of it like having separate toolboxes for different jobs — you don’t want your kitchen tools mixed up with your garage tools.

Step 8 — Create a Virtual Environment

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Open the Terminal in VS Code

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Go to Terminal → New Terminal. Make sure the terminal is inside your project folder (you will see the folder name in the terminal prompt).

Create the Environment

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Type this command and press Enter:

python -m venv venv

(On Mac: python3 -m venv venv)

This creates a folder called venv inside your project. This folder contains its own separate Python installation.

You will see a new venv folder appear in the VS Code Explorer panel on the left. Do not edit files inside this folder — it is managed automatically.

Activate the Environment

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Activation means telling your terminal “use the Python inside this venv folder.”

On Windows:

venv\Scripts\activate

On Mac/Linux:

source venv/bin/activate

After activation, your terminal prompt changes to show (venv) at the beginning:

(venv) C:\Users\You\python-ai-course>

This tells you the virtual environment is active.

Every time you open a new terminal in this project, you need to activate the environment again.

Tell VS Code to Use This Environment

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1. Press Ctrl+Shift+P / Cmd+Shift+P
2. Type Python: Select Interpreter
3. Press Enter
4. You will see a list — choose the one that shows ./venv/Scripts/python.exe (Windows) or ./venv/bin/python (Mac)

VS Code will now automatically use your virtual environment when running files.

Step 9 — Install Python Packages with pip

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Python’s real power comes from packages — ready-made code written by other developers that you can use in your projects.

pip is the tool you use to install packages. Think of it like an app store, but for Python code.

Install a Package

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With your virtual environment activated, type:

pip install requests

requests is a popular package for working with APIs (you will use it a lot in AI development). You will see text scrolling by as pip downloads and installs the package.

Check What Is Installed

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pip list

This shows every package installed in your current virtual environment.

Save Your Package List

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When you share your project with someone else (or set it up on a new computer), they need to know which packages to install. The standard way to do this is a requirements.txt file.

Create one with:

pip freeze > requirements.txt

Open requirements.txt in VS Code — you will see all your installed packages listed. Another person can install everything at once with:

pip install -r requirements.txt

Step 10 — Use Python Packages in Your Code

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Installing a package is only the first step. You also need to import it in your Python file before you can use it.

Create a new file called test_import.py and type:

import math
import random

# Use the math package
print(math.sqrt(16))     # prints 4.0
print(math.pi)           # prints 3.14159...

# Use the random package
print(random.randint(1, 10))   # prints a random number between 1 and 10

math and random are built into Python — you do not need to install them. Run the file and see the output.

Now try importing the package you installed:

import requests

response = requests.get("https://httpbin.org/get")
print(response.status_code)   # prints 200 if successful

Step 11 — Set Up Jupyter Notebooks

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Jupyter notebooks are a special way to write Python code where you can run small pieces (called cells) one at a time and see the output immediately below each cell. They are very popular in AI and data science because they make it easy to experiment.

Create a Notebook

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1. In VS Code, press Ctrl+Shift+P / Cmd+Shift+P
2. Type Create: New Jupyter Notebook and press Enter
3. A new file opens with the .ipynb extension

Run a Cell

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1. Click the first cell
2. Type: print("Hello from Jupyter!")
3. Click the ▶ button on the left of the cell, or press Shift+Enter

The output appears directly below the cell.

Add a New Cell

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Press Shift+Enter to run the current cell and automatically move to a new one. Or click the + Code button at the top.

Complete Setup Checklist

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Python installed — python --version shows a version number VS Code installed and opens correctly Python extension installed in VS Code Pylance extension installed Jupyter extension installed Project folder created and opened in VS Code Virtual environment created (venv folder exists) Virtual environment activated ((venv) shows in terminal) VS Code is using the correct Python interpreter pip list works and shows packages hello.py runs and prints output Jupyter notebook opens and a cell runs successfully

Common Problems and Fixes

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“python is not recognized as a command” (Windows)

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This means Python was not added to PATH during installation. Uninstall Python and reinstall it, making sure to check “Add Python to PATH” on the first screen.

VS Code cannot find the Python interpreter

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Press Ctrl+Shift+P, type Python: Select Interpreter, and manually browse to the python.exe file inside your venv folder.

pip install gives a permissions error (Mac)

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Make sure your virtual environment is activated first. You should see (venv) in your terminal before running pip commands.

The terminal does not show (venv) after activation

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Make sure you typed the activation command correctly. On Windows use backslashes: venv\Scripts\activate. On Mac use forward slash: source venv/bin/activate.

What Comes Next

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Your setup is complete. You now have a professional Python development environment — the same setup used by real AI engineers. In the next section, you will start learning Python’s core concepts: variables, data types, functions, and more.

Tip: Keep this page bookmarked. You will need to come back to the setup steps whenever you start a new project — especially the virtual environment steps.