diff --git a/extensions/vscode-vue-language-features/package.json b/extensions/vscode-vue-language-features/package.json
index 5dd5c2a9c..10912410b 100644
--- a/extensions/vscode-vue-language-features/package.json
+++ b/extensions/vscode-vue-language-features/package.json
@@ -291,6 +291,11 @@
 					"default": "off",
 					"description": "Traces the communication between VS Code and the language server."
 				},
+				"volar.vueserver.maxFileSize": {
+					"type": "number",
+					"default": 20971520,
+					"description": "Maximum file size for Vue Server to load. (default: 20MB)"
+				},
 				"volar.vueserver.petiteVue.processHtmlFile": {
 					"type": "boolean",
 					"default": false
diff --git a/extensions/vscode-vue-language-features/src/common.ts b/extensions/vscode-vue-language-features/src/common.ts
index f32cd454c..d159eb6bb 100644
--- a/extensions/vscode-vue-language-features/src/common.ts
+++ b/extensions/vscode-vue-language-features/src/common.ts
@@ -167,6 +167,7 @@ async function doActivate(context: vscode.ExtensionContext, createLc: CreateLang
 				|| e.affectsConfiguration('volar.vueserver.petiteVue.processHtmlFile')
 				|| e.affectsConfiguration('volar.vueserver.vitePress.processMdFile')
 				|| e.affectsConfiguration('volar.vueserver.additionalExtensions')
+				|| e.affectsConfiguration('volar.vueserver.maxFileSize')
 			) {
 				requestReloadVscode();
 			}
@@ -326,6 +327,7 @@ function getInitializationOptions(
 			customBlockSchemaUrls: vscode.workspace.getConfiguration('volar').get<Record<string, string>>('vueserver.json.customBlockSchemaUrls')
 		},
 		additionalExtensions: additionalExtensions(),
+		maxFileSize: vscode.workspace.getConfiguration('volar').get<number>('vueserver.maxFileSize'),
 	};
 	return initializationOptions;
 }
diff --git a/packages/language-server/src/types.ts b/packages/language-server/src/types.ts
index 619324577..902c98d56 100644
--- a/packages/language-server/src/types.ts
+++ b/packages/language-server/src/types.ts
@@ -118,4 +118,5 @@ export interface LanguageServerInitializationOptions {
 	 * Enable this option to make language server setup server capabilities based on client capabilities to support multiple servers.
 	 */
 	respectClientCapabilities?: boolean;
+	maxFileSize?: number;
 }
diff --git a/packages/language-server/src/utils/project.ts b/packages/language-server/src/utils/project.ts
index 265396836..45ef7c4a3 100644
--- a/packages/language-server/src/utils/project.ts
+++ b/packages/language-server/src/utils/project.ts
@@ -219,6 +219,13 @@ export async function createProject(
 			}
 
 			if (sys.fileExists(fileName)) {
+				if (serverOptions.maxFileSize) {
+					const fileSize = sys.getFileSize?.(fileName);
+					if (fileSize !== undefined && fileSize > serverOptions.maxFileSize) {
+						console.warn(`IGNORING "${fileName}" because it is too large (${fileSize}bytes > ${serverOptions.maxFileSize}bytes)`);
+						return ts.ScriptSnapshot.fromString('');
+					}
+				}
 				const text = sys.readFile(fileName, 'utf8');
 				if (text !== undefined) {
 					const snapshot = ts.ScriptSnapshot.fromString(text);