diff --git a/packages/extension/src/background.ts b/packages/extension/src/background.ts
index 801f69084c5a4..2c296981adb16 100644
--- a/packages/extension/src/background.ts
+++ b/packages/extension/src/background.ts
@@ -18,6 +18,8 @@ import { debugLog } from './relayConnection';
 import { PendingConnections } from './pendingConnection';
 import { ConnectedTabGroup, cleanupStalePlaywrightGroups, isNonDebuggableUrl, ungroupTabs, uniqueGroupStyle } from './connectedTabGroup';
 
+import type { GroupStyle } from './connectedTabGroup';
+
 type PageMessage = {
   type: 'connectionRequested';
   mcpRelayUrl: string;
@@ -111,9 +113,11 @@ class PlaywrightExtension {
         throw new Error('Pending client connection closed');
 
       const id = ++this._lastConnectionId;
-      const taken = [...this._connections.values()].map(group => group.groupStyle);
-      const group = new ConnectedTabGroup(connection, tab, clientName, uniqueGroupStyle(clientName, taken), tabId => this._pendingConnections.has(tabId));
+      const group = new ConnectedTabGroup(connection, tab, clientName, uniqueGroupStyle(clientName, this._takenGroupStyles()), tabId => this._pendingConnections.has(tabId));
       group.onclose = () => this._connections.delete(id);
+      // The command arrives over this connection's own socket, so a client can
+      // only ever relabel its own group.
+      connection.onsetgrouplabel = label => group.setGroupLabel(label, this._takenGroupStyles(group));
       this._connections.set(id, group);
 
       await Promise.all([
@@ -129,6 +133,10 @@ class PlaywrightExtension {
     }
   }
 
+  private _takenGroupStyles(exclude?: ConnectedTabGroup): GroupStyle[] {
+    return [...this._connections.values()].filter(group => group !== exclude).map(group => group.groupStyle);
+  }
+
   // Chrome may create the connect page inside the active client's group.
   private async _releaseConnectPage(tabId: number): Promise<void> {
     this._releaseTab(tabId);
diff --git a/packages/extension/src/connectedTabGroup.ts b/packages/extension/src/connectedTabGroup.ts
index 023e084e33cb2..09984605935a7 100644
--- a/packages/extension/src/connectedTabGroup.ts
+++ b/packages/extension/src/connectedTabGroup.ts
@@ -34,13 +34,17 @@ export type GroupStyle = {
   color: GroupColor;
 };
 
-export function uniqueGroupStyle(clientName: string | undefined, taken: readonly GroupStyle[]): GroupStyle {
+function uniqueGroupTitle(name: string, taken: readonly GroupStyle[]): string {
   const titles = new Set(taken.map(style => style.title));
-  const base = PLAYWRIGHT_GROUP_TITLE_PREFIX + (clientName || 'unknown');
+  const base = PLAYWRIGHT_GROUP_TITLE_PREFIX + name;
   let title = base;
   for (let i = 2; titles.has(title); i++)
     title = `${base} (${i})`;
+  return title;
+}
 
+export function uniqueGroupStyle(clientName: string | undefined, taken: readonly GroupStyle[]): GroupStyle {
+  const title = uniqueGroupTitle(clientName || 'unknown', taken);
   const colors = new Set(taken.map(style => style.color));
   const color = PLAYWRIGHT_GROUP_COLORS.find(candidate => !colors.has(candidate)) ?? PLAYWRIGHT_GROUP_COLORS[0];
   return { title, color };
@@ -105,6 +109,18 @@ export class ConnectedTabGroup {
     return [...this._groupTabIds];
   }
 
+  // Applies a client-chosen label to the group title, deduplicated against
+  // the other connections' groups. Returns the final title. If the Chrome
+  // group does not exist yet, the title is applied upon its creation.
+  async setGroupLabel(label: string, taken: readonly GroupStyle[]): Promise<string> {
+    const title = uniqueGroupTitle(label, taken);
+    this.groupStyle.title = title;
+    const groupId = this._groupId;
+    if (groupId !== null)
+      await retryOnDrag(() => chrome.tabGroups.update(groupId, { title }));
+    return title;
+  }
+
   close(reason: string): void {
     this._connection.close(reason);
   }
@@ -226,7 +242,7 @@ export async function ungroupTabs(tabIds: number[]): Promise<void> {
 
 // Chrome throws "user may be dragging a tab" while a drag is in progress.
 // Retry with backoff until it clears (or we give up).
-async function retryOnDrag(fn: () => Promise<void>): Promise<void> {
+async function retryOnDrag(fn: () => Promise<unknown>): Promise<void> {
   const delays = [0, 100, 200, 400, 800];
   let lastError: unknown;
   for (const delay of delays) {
diff --git a/packages/extension/src/relayConnection.ts b/packages/extension/src/relayConnection.ts
index 928820ef973a8..3a327c7cddcc6 100644
--- a/packages/extension/src/relayConnection.ts
+++ b/packages/extension/src/relayConnection.ts
@@ -72,6 +72,7 @@ export class RelayConnection {
   onclose?: () => void;
   ontabattached?: (tabId: number) => void;
   ontabdetached?: (tabId: number) => void;
+  onsetgrouplabel?: (label: string) => Promise<string>;
 
   get attachedTabs(): ReadonlySet<number> {
     return this._attachedTabs;
@@ -279,6 +280,8 @@ export class RelayConnection {
   }
 
   private async _handleCommand(message: ProtocolCommand): Promise<any> {
+    if (message.method === 'extension.setGroupLabel')
+      return await this._setGroupLabel((message.params as unknown[])?.[0]);
     if (!ALLOWED_CHROME_COMMANDS.has(message.method))
       throw new Error(`Unknown method: ${message.method}`);
     const args = (message.params ?? []) as any[];
@@ -292,6 +295,17 @@ export class RelayConnection {
     return result ?? {};
   }
 
+  // Mirrors the zod limit in the browser_set_group_label tool, re-checked here
+  // because the extension cannot trust the connecting client.
+  private async _setGroupLabel(rawLabel: unknown): Promise<{ title: string }> {
+    const label = String(rawLabel ?? '').trim().slice(0, 50);
+    if (!label)
+      throw new Error('Label must not be empty');
+    if (!this.onsetgrouplabel)
+      throw new Error('No tab group for this connection');
+    return { title: await this.onsetgrouplabel(label) };
+  }
+
   private _sendError(code: number, message: string): void {
     this._sendMessage({
       error: {
diff --git a/packages/playwright-core/src/tools/backend/context.ts b/packages/playwright-core/src/tools/backend/context.ts
index 5d7e41ad31513..01bf71225d3c9 100644
--- a/packages/playwright-core/src/tools/backend/context.ts
+++ b/packages/playwright-core/src/tools/backend/context.ts
@@ -65,6 +65,8 @@ export type ContextConfig = {
     initPage?: string[];
   };
   skillMode?: boolean;
+  // Connected to a running browser via the Playwright Extension.
+  extension?: boolean;
 };
 
 type ContextOptions = {
diff --git a/packages/playwright-core/src/tools/backend/extensionSession.ts b/packages/playwright-core/src/tools/backend/extensionSession.ts
new file mode 100644
index 0000000000000..98af74f104190
--- /dev/null
+++ b/packages/playwright-core/src/tools/backend/extensionSession.ts
@@ -0,0 +1,37 @@
+/**
+ * Copyright (c) Microsoft Corporation.
+ *
+ * Licensed under the Apache License, Version 2.0 (the "License");
+ * you may not use this file except in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ * http://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+ */
+
+import type * as playwright from '../../..';
+
+// Side channel between the extension relay and the tools: commands that are
+// specific to the Playwright Extension connection and have no CDP equivalent.
+export type ExtensionSession = {
+  // Applies a user-facing label to the connection's tab group in the browser.
+  // Returns the final title after deduplication.
+  setGroupLabel(label: string): Promise<{ title: string }>;
+};
+
+const extensionSessionSymbol = Symbol('extensionSession');
+
+export function registerExtensionSession(browser: playwright.Browser, session: ExtensionSession): void {
+  // eslint-disable-next-line no-restricted-syntax
+  (browser as any)[extensionSessionSymbol] = session;
+}
+
+export function extensionSessionFor(browser: playwright.Browser | null): ExtensionSession | undefined {
+  // eslint-disable-next-line no-restricted-syntax
+  return browser ? (browser as any)[extensionSessionSymbol] : undefined;
+}
diff --git a/packages/playwright-core/src/tools/backend/tabs.ts b/packages/playwright-core/src/tools/backend/tabs.ts
index 93ad12a02f508..511c4ffcaf325 100644
--- a/packages/playwright-core/src/tools/backend/tabs.ts
+++ b/packages/playwright-core/src/tools/backend/tabs.ts
@@ -16,6 +16,7 @@
 
 import * as z from 'zod';
 import { defineTool } from './tool';
+import { extensionSessionFor } from './extensionSession';
 import { renderTabsMarkdown } from './response';
 
 const browserTabs = defineTool({
@@ -65,6 +66,30 @@ const browserTabs = defineTool({
   },
 });
 
+const browserSetGroupLabel = defineTool({
+  capability: 'core-tabs',
+  extensionOnly: true,
+
+  schema: {
+    name: 'browser_set_group_label',
+    title: 'Label the tab group',
+    description: 'Set a short label on this session\'s browser tab group, shown to the user as "Playwright · <label>". Call it once, early in the task, so the user can tell which tab group belongs to which task, especially when several agents share the browser.',
+    inputSchema: z.object({
+      label: z.string().trim().min(1).max(50).describe('Short label describing the current task, e.g. "checkout flow bug".'),
+    }),
+    type: 'action',
+  },
+
+  handle: async (context, params, response) => {
+    const session = extensionSessionFor((await context.ensureBrowserContext()).browser());
+    if (!session)
+      throw new Error('This tool is only available when connected to a browser via the Playwright Extension.');
+    const { title } = await session.setGroupLabel(params.label);
+    response.addTextResult(`Tab group renamed to "${title}".`);
+  },
+});
+
 export default [
   browserTabs,
+  browserSetGroupLabel,
 ];
diff --git a/packages/playwright-core/src/tools/backend/tool.ts b/packages/playwright-core/src/tools/backend/tool.ts
index 0b091c4d63c21..0a0c74082baf8 100644
--- a/packages/playwright-core/src/tools/backend/tool.ts
+++ b/packages/playwright-core/src/tools/backend/tool.ts
@@ -51,6 +51,8 @@ export type ModalState = FileUploadModalState | DialogModalState;
 export type Tool<Input extends z.Schema = z.Schema> = {
   capability: ToolCapability;
   skillOnly?: boolean;
+  // Only listed when connected to a browser via the Playwright Extension.
+  extensionOnly?: boolean;
   schema: ToolSchema<Input>;
   handle: (context: Context, params: z.output<Input>, response: Response, signal?: AbortSignal) => Promise<void>;
 };
diff --git a/packages/playwright-core/src/tools/backend/tools.ts b/packages/playwright-core/src/tools/backend/tools.ts
index d9b4e7d64f923..d7409c634ca1c 100644
--- a/packages/playwright-core/src/tools/backend/tools.ts
+++ b/packages/playwright-core/src/tools/backend/tools.ts
@@ -74,8 +74,8 @@ export const browserTools: Tool<any>[] = [
   ...webstorage,
 ];
 
-export function filteredTools(config: Pick<ContextConfig, 'capabilities'>) {
-  return browserTools.filter(tool => tool.capability.startsWith('core') || config.capabilities?.includes(tool.capability)).filter(tool => !tool.skillOnly).map(tool => ({
+export function filteredTools(config: Pick<ContextConfig, 'capabilities' | 'extension'>) {
+  return browserTools.filter(tool => tool.capability.startsWith('core') || config.capabilities?.includes(tool.capability)).filter(tool => !tool.skillOnly && (!tool.extensionOnly || config.extension)).map(tool => ({
     ...tool,
     schema: {
       ...tool.schema,
diff --git a/packages/playwright-core/src/tools/cli-daemon/commands.ts b/packages/playwright-core/src/tools/cli-daemon/commands.ts
index f1312ee5f958c..09c406f6ce142 100644
--- a/packages/playwright-core/src/tools/cli-daemon/commands.ts
+++ b/packages/playwright-core/src/tools/cli-daemon/commands.ts
@@ -532,6 +532,17 @@ const tabSelect = declareCommand({
   toolParams: ({ index }) => ({ action: 'select', index }),
 });
 
+const tabGroupLabel = declareCommand({
+  name: 'tab-group-label',
+  description: 'Label this session\'s tab group (extension mode only)',
+  category: 'tabs',
+  args: z.object({
+    label: z.string().describe('Short label describing the current task, e.g. "checkout flow bug"'),
+  }),
+  toolName: 'browser_set_group_label',
+  toolParams: ({ label }) => ({ label }),
+});
+
 // Storage
 
 const stateLoad = declareCommand({
@@ -1201,6 +1212,7 @@ const commandsArray: AnyCommandSchema[] = [
   tabNew,
   tabClose,
   tabSelect,
+  tabGroupLabel,
 
   // storage category
   stateLoad,
diff --git a/packages/playwright-core/src/tools/mcp/cdpRelay.ts b/packages/playwright-core/src/tools/mcp/cdpRelay.ts
index 3338c83d3ce61..df74f84c28426 100644
--- a/packages/playwright-core/src/tools/mcp/cdpRelay.ts
+++ b/packages/playwright-core/src/tools/mcp/cdpRelay.ts
@@ -78,12 +78,7 @@ export class CDPRelayServer {
     this._profileDirectory = profileDirectory;
     this._protocolVersion = parseInt(process.env.PLAYWRIGHT_EXTENSION_PROTOCOL ?? protocol.VERSION.toString(), 10);
 
-    const sendCommand = (method: string, params: any): Promise<any> => {
-      if (!this._extensionConnection)
-        throw new Error('Extension not connected');
-      return this._extensionConnection.send(method as keyof ExtensionCommandV2, params);
-    };
-    this._handler = new ExtensionProtocolV2(sendCommand);
+    this._handler = new ExtensionProtocolV2((method, params) => this._sendToExtension(method as keyof ExtensionCommandV2, params));
 
     const uuid = crypto.randomUUID();
     this._cdpPath = `/cdp/${uuid}`;
@@ -121,6 +116,23 @@ export class CDPRelayServer {
     return `${this._wsHost}${this._extensionPath}`;
   }
 
+  async setGroupLabel(label: string): Promise<{ title: string }> {
+    try {
+      return await this._sendToExtension('extension.setGroupLabel', [label]);
+    } catch (error: any) {
+      // Extensions predating this command reject it as unknown.
+      if (String(error?.message).includes('Unknown method'))
+        throw new Error('The installed Playwright Extension version does not support tab group labels. Please update the extension.');
+      throw error;
+    }
+  }
+
+  private _sendToExtension(method: keyof ExtensionCommandV2, params: any): Promise<any> {
+    if (!this._extensionConnection)
+      throw new Error('Extension not connected');
+    return this._extensionConnection.send(method, params);
+  }
+
   async establishExtensionConnection(clientName: string) {
     debugLogger('Establishing extension connection');
     await this._openConnectPageInBrowser(clientName);
diff --git a/packages/playwright-core/src/tools/mcp/extensionContextFactory.ts b/packages/playwright-core/src/tools/mcp/extensionContextFactory.ts
index fa2b147a05ff7..1991f9f3af23e 100644
--- a/packages/playwright-core/src/tools/mcp/extensionContextFactory.ts
+++ b/packages/playwright-core/src/tools/mcp/extensionContextFactory.ts
@@ -17,6 +17,7 @@
 import debug from 'debug';
 import { defaultUserDataDirForChannel } from '@utils/chromiumChannels';
 import { playwright } from '../../inprocess';
+import { registerExtensionSession } from '../backend/extensionSession';
 import { findPlaywrightExtensionProfile, playwrightExtensionInstallUrl } from '../utils/extension';
 import { CDPRelayServer } from './cdpRelay';
 
@@ -40,6 +41,9 @@ export async function createExtensionBrowser(channel: string, executablePath: st
     await relay.establishExtensionConnection(clientName);
     const browser = await playwright.chromium.connectOverCDP(relay.cdpEndpoint(), { isLocal: true, timeout: 0, noDefaults: true });
     browser.on('disconnected', () => relay.stop());
+    registerExtensionSession(browser, {
+      setGroupLabel: label => relay.setGroupLabel(label),
+    });
     return browser;
   } catch (error) {
     relay.stop();
diff --git a/packages/playwright-core/src/tools/mcp/protocol.ts b/packages/playwright-core/src/tools/mcp/protocol.ts
index a54b02d257407..5721917af1ad7 100644
--- a/packages/playwright-core/src/tools/mcp/protocol.ts
+++ b/packages/playwright-core/src/tools/mcp/protocol.ts
@@ -71,6 +71,13 @@ export type ExtensionCommandV2 = {
     params: [tabIds: number | number[]];
     result: void;
   };
+  // Playwright-specific: applies a user-facing label to the connection's own
+  // tab group. Returns the final title after deduplication against the other
+  // connections' groups.
+  'extension.setGroupLabel': {
+    params: [label: string];
+    result: { title: string };
+  };
 };
 
 // Protocol v2 events mirror chrome.<api>.<event>.addListener callback signatures.
diff --git a/packages/playwright-core/src/tools/skills/playwright-cli/SKILL.md b/packages/playwright-core/src/tools/skills/playwright-cli/SKILL.md
index 4f7970aa0d3f7..c427f354f3c87 100644
--- a/packages/playwright-core/src/tools/skills/playwright-cli/SKILL.md
+++ b/packages/playwright-core/src/tools/skills/playwright-cli/SKILL.md
@@ -111,6 +111,8 @@ playwright-cli tab-new https://example.com/page
 playwright-cli tab-close
 playwright-cli tab-close 2
 playwright-cli tab-select 0
+# Extension mode only: label this session's tab group in the browser
+playwright-cli tab-group-label "checkout flow bug"
 ```
 
 ### Storage
diff --git a/tests/extension/cli.spec.ts b/tests/extension/cli.spec.ts
index ee09ad2e5a3b5..76996fb5a1dc5 100644
--- a/tests/extension/cli.spec.ts
+++ b/tests/extension/cli.spec.ts
@@ -55,3 +55,14 @@ test('attach <url> --extension', async ({ startAttach, cli, server }) => {
     expect(output).toContain(`- Page Title: Title`);
   }
 });
+
+test('tab-group-label --extension', {
+  annotation: { type: 'issue', description: 'https://github.com/microsoft/playwright/issues/41840' },
+}, async ({ startAttach, cli }) => {
+  const { confirmationPage, cliPromise } = await startAttach();
+  await clickAllowAndSelect(confirmationPage, 'Welcome');
+  await cliPromise;
+
+  const { output } = await cli(['-s=chromium', 'tab-group-label', 'checkout flow bug']);
+  expect(output).toContain('Tab group renamed to "Playwright · checkout flow bug"');
+});
diff --git a/tests/extension/extension-fixtures.ts b/tests/extension/extension-fixtures.ts
index 760c78fdaf8f3..39f031dbf6731 100644
--- a/tests/extension/extension-fixtures.ts
+++ b/tests/extension/extension-fixtures.ts
@@ -197,6 +197,31 @@ export async function startWithExtensionFlag(browserWithExtension: BrowserWithEx
   return client;
 }
 
+// Connects without the approval dialog, so a test can start several clients
+// and tell them apart by name.
+export async function connectWithName(browserWithExtension: BrowserWithExtension, startClient: StartClient, token: string, clientName: string): Promise<Client> {
+  const { client } = await startClient({
+    clientName,
+    args: ['--extension'],
+    env: {
+      PLAYWRIGHT_MCP_EXTENSION_TOKEN: token,
+      PWTEST_EXTENSION_USER_DATA_DIR: browserWithExtension.userDataDir,
+    },
+  });
+  return client;
+}
+
+export async function playwrightGroups(browserContext: BrowserContext): Promise<{ title: string, color: string }[]> {
+  const [sw] = browserContext.serviceWorkers();
+  const groups = await sw.evaluate(async () => {
+    const chrome = (globalThis as any).chrome;
+    return await chrome.tabGroups.query({});
+  });
+  return groups
+      .map((group: any) => ({ title: group.title, color: group.color }))
+      .sort((a: any, b: any) => a.title.localeCompare(b.title));
+}
+
 export async function readExtensionToken(browserContext: BrowserContext): Promise<string> {
   const page = await browserContext.newPage();
   await page.goto(`chrome-extension://${extensionId}/status.html`);
diff --git a/tests/extension/multi-connection.spec.ts b/tests/extension/multi-connection.spec.ts
index 476cdc870a2bb..74e6561c63097 100644
--- a/tests/extension/multi-connection.spec.ts
+++ b/tests/extension/multi-connection.spec.ts
@@ -14,27 +14,13 @@
  * limitations under the License.
  */
 
-import { test, expect, extensionId, clickAllowAndSelect, readExtensionToken, startWithExtensionFlag } from './extension-fixtures';
+import { test, expect, extensionId, clickAllowAndSelect, connectWithName, playwrightGroups, readExtensionToken, startWithExtensionFlag } from './extension-fixtures';
 
 import type { BrowserWithExtension } from './extension-fixtures';
 import type { StartClient } from '../mcp/fixtures';
 import type { Client } from '@modelcontextprotocol/sdk/client/index.js';
 import type { BrowserContext } from 'playwright';
 
-// Connects without the approval dialog, so a test can start several clients
-// and tell them apart by name.
-async function connectWithName(browserWithExtension: BrowserWithExtension, startClient: StartClient, token: string, clientName: string): Promise<Client> {
-  const { client } = await startClient({
-    clientName,
-    args: ['--extension'],
-    env: {
-      PLAYWRIGHT_MCP_EXTENSION_TOKEN: token,
-      PWTEST_EXTENSION_USER_DATA_DIR: browserWithExtension.userDataDir,
-    },
-  });
-  return client;
-}
-
 // Starts a client and hands back its connect page, before any tab is picked.
 async function beginConnect(browserContext: BrowserContext, browserWithExtension: BrowserWithExtension, startClient: StartClient, url: string) {
   const client = await startWithExtensionFlag(browserWithExtension, startClient);
@@ -46,17 +32,6 @@ async function beginConnect(browserContext: BrowserContext, browserWithExtension
   return { client, connectPage, navigatePromise };
 }
 
-async function playwrightGroups(browserContext: BrowserContext): Promise<{ title: string, color: string }[]> {
-  const [sw] = browserContext.serviceWorkers();
-  const groups = await sw.evaluate(async () => {
-    const chrome = (globalThis as any).chrome;
-    return await chrome.tabGroups.query({});
-  });
-  return groups
-      .map((group: any) => ({ title: group.title, color: group.color }))
-      .sort((a: any, b: any) => a.title.localeCompare(b.title));
-}
-
 async function tabList(client: Client): Promise<string> {
   const response = await client.callTool({ name: 'browser_tabs', arguments: { action: 'list' } }) as any;
   return response.content?.[0]?.text ?? '';
diff --git a/tests/extension/set-group-label.spec.ts b/tests/extension/set-group-label.spec.ts
new file mode 100644
index 0000000000000..cb67e4a1811ca
--- /dev/null
+++ b/tests/extension/set-group-label.spec.ts
@@ -0,0 +1,82 @@
+/**
+ * Copyright (c) Microsoft Corporation.
+ *
+ * Licensed under the Apache License, Version 2.0 (the "License");
+ * you may not use this file except in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ * http://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+ */
+
+import { test, expect, connectWithName, playwrightGroups, readExtensionToken } from './extension-fixtures';
+
+import type { Client } from '@modelcontextprotocol/sdk/client/index.js';
+import type { BrowserContext } from 'playwright';
+
+async function playwrightGroupTitles(browserContext: BrowserContext): Promise<string[]> {
+  return (await playwrightGroups(browserContext)).map(group => group.title);
+}
+
+async function setGroupLabel(client: Client, label: string): Promise<string> {
+  const response = await client.callTool({ name: 'browser_set_group_label', arguments: { label } }) as any;
+  return response.content?.[0]?.text ?? '';
+}
+
+test(`browser_set_group_label renames the connection's tab group`, {
+  annotation: { type: 'issue', description: 'https://github.com/microsoft/playwright/issues/41840' },
+}, async ({ browserWithExtension, startClient, server }) => {
+  const browserContext = await browserWithExtension.launch();
+  const token = await readExtensionToken(browserContext);
+
+  const client = await connectWithName(browserWithExtension, startClient, token, 'client-a');
+  await client.callTool({ name: 'browser_navigate', arguments: { url: server.HELLO_WORLD } });
+
+  const { tools } = await client.listTools();
+  expect(tools.map(tool => tool.name)).toContain('browser_set_group_label');
+
+  expect(await setGroupLabel(client, 'checkout flow bug')).toContain('Tab group renamed to "Playwright · checkout flow bug"');
+  await expect.poll(() => playwrightGroupTitles(browserContext)).toEqual([
+    'Playwright · checkout flow bug',
+  ]);
+
+  // Relabeling replaces the previous label.
+  expect(await setGroupLabel(client, 'login flow bug')).toContain('Tab group renamed to "Playwright · login flow bug"');
+  await expect.poll(() => playwrightGroupTitles(browserContext)).toEqual([
+    'Playwright · login flow bug',
+  ]);
+});
+
+test(`labels are deduplicated across connections`, {
+  annotation: { type: 'issue', description: 'https://github.com/microsoft/playwright/issues/41840' },
+}, async ({ browserWithExtension, startClient, server }) => {
+  server.setContent('/second', '<title>Second</title><body>Second page</body>', 'text/html');
+
+  const browserContext = await browserWithExtension.launch();
+  const token = await readExtensionToken(browserContext);
+
+  const clientA = await connectWithName(browserWithExtension, startClient, token, 'client-a');
+  await clientA.callTool({ name: 'browser_navigate', arguments: { url: server.HELLO_WORLD } });
+
+  const clientB = await connectWithName(browserWithExtension, startClient, token, 'client-b');
+  await clientB.callTool({ name: 'browser_navigate', arguments: { url: server.PREFIX + '/second' } });
+
+  // Labeling one group leaves the other connection's group alone.
+  expect(await setGroupLabel(clientA, 'checkout flow bug')).toContain('Tab group renamed to "Playwright · checkout flow bug"');
+  await expect.poll(() => playwrightGroupTitles(browserContext)).toEqual([
+    'Playwright · checkout flow bug',
+    'Playwright · client-b',
+  ]);
+
+  // The same label from another connection gets a suffix.
+  expect(await setGroupLabel(clientB, 'checkout flow bug')).toContain('Tab group renamed to "Playwright · checkout flow bug (2)"');
+  await expect.poll(() => playwrightGroupTitles(browserContext)).toEqual([
+    'Playwright · checkout flow bug',
+    'Playwright · checkout flow bug (2)',
+  ]);
+});