Toolchain developers need to embrace newer IPC
I recently installed VS Code/NRF Connect Extensions (on Windows) and noticed the warnings about path lengths. I put my stuff in d:\nrf and felt like I was back in the DOS days. Even so, I still think I hit the Windows pathname limit issue. Not sure yet (my app is in "d:\NordicTest" which I will shorten).
I'm sure most people blame Windows. And I agree that OS does share a good part of the blame--I think it's time Microsoft puts a stake in the ground and enables long pathnames by default. However, the root cause of this problem is the developers' insistence on using 70s technology to pass all data from one app to another (the Command Line Interface). There's so many different ways that have (virtually) no limitations: (named) pipes, sockets, files, and my favorite, memory mapped files.
Think how easy it would be to parse if each parameter were on its own line. No issues with spaces. No more single/double quotes.
Now, I'm quite aware this isn't suitable for all apps, and I'm not suggesting you never have a CLI. But when you have command lines as long as this toolchain has, you should consider a different approach.