diff --git a/examples/server/public/index.html.gz b/examples/server/public/index.html.gz
index 941815c22efb0..674e227571e2d 100644
Binary files a/examples/server/public/index.html.gz and b/examples/server/public/index.html.gz differ
diff --git a/examples/server/webui/src/components/ChatScreen.tsx b/examples/server/webui/src/components/ChatScreen.tsx
index d12b06e125e5a..29ab5ea64f76f 100644
--- a/examples/server/webui/src/components/ChatScreen.tsx
+++ b/examples/server/webui/src/components/ChatScreen.tsx
@@ -1,4 +1,4 @@
-import { useEffect, useMemo, useRef, useState } from 'react';
+import { useEffect, useMemo, useState } from 'react';
 import { CallbackGeneratedChunk, useAppContext } from '../utils/app.context';
 import ChatMessage from './ChatMessage';
 import { CanvasType, Message, PendingMessage } from '../utils/types';
@@ -6,6 +6,7 @@ import { classNames, cleanCurrentUrl, throttle } from '../utils/misc';
 import CanvasPyInterpreter from './CanvasPyInterpreter';
 import StorageUtils from '../utils/storage';
 import { useVSCodeContext } from '../utils/llama-vscode';
+import { useChatTextarea, ChatTextareaApi } from './useChatTextarea.ts';
 
 /**
  * A message display is a message node with additional information for rendering.
@@ -99,7 +100,8 @@ export default function ChatScreen() {
     canvasData,
     replaceMessageAndGenerate,
   } = useAppContext();
-  const textarea = useOptimizedTextarea(prefilledMsg.content());
+
+  const textarea: ChatTextareaApi = useChatTextarea(prefilledMsg.content());
 
   const { extraContext, clearExtraContext } = useVSCodeContext(textarea);
   // TODO: improve this when we have "upload file" feature
@@ -248,14 +250,16 @@ export default function ChatScreen() {
         </div>
 
         {/* chat input */}
-        <div className="flex flex-row items-center pt-8 pb-6 sticky bottom-0 bg-base-100">
+        <div className="flex flex-row items-end pt-8 pb-6 sticky bottom-0 bg-base-100">
           <textarea
-            className="textarea textarea-bordered w-full"
+            // Default (mobile): Enable vertical resize, overflow auto for scrolling if needed
+            // Large screens (lg:): Disable manual resize, apply max-height for autosize limit
+            className="textarea textarea-bordered w-full resize-vertical lg:resize-none lg:max-h-48 lg:overflow-y-auto" // Adjust lg:max-h-48 as needed (e.g., lg:max-h-60)
             placeholder="Type a message (Shift+Enter to add a new line)"
             ref={textarea.ref}
+            onInput={textarea.onInput} // Hook's input handler (will only resize height on lg+ screens)
             onKeyDown={(e) => {
               if (e.nativeEvent.isComposing || e.keyCode === 229) return;
-              if (e.key === 'Enter' && e.shiftKey) return;
               if (e.key === 'Enter' && !e.shiftKey) {
                 e.preventDefault();
                 sendNewMessage();
@@ -263,7 +267,11 @@ export default function ChatScreen() {
             }}
             id="msg-input"
             dir="auto"
+            // Set a base height of 2 rows for mobile views
+            // On lg+ screens, the hook will calculate and set the initial height anyway
+            rows={2}
           ></textarea>
+
           {isGenerating(currConvId ?? '') ? (
             <button
               className="btn btn-neutral ml-2"
@@ -286,43 +294,3 @@ export default function ChatScreen() {
     </div>
   );
 }
-
-export interface OptimizedTextareaValue {
-  value: () => string;
-  setValue: (value: string) => void;
-  focus: () => void;
-  ref: React.RefObject<HTMLTextAreaElement>;
-}
-
-// This is a workaround to prevent the textarea from re-rendering when the inner content changes
-// See https://github.com/ggml-org/llama.cpp/pull/12299
-function useOptimizedTextarea(initValue: string): OptimizedTextareaValue {
-  const [savedInitValue, setSavedInitValue] = useState<string>(initValue);
-  const textareaRef = useRef<HTMLTextAreaElement>(null);
-
-  useEffect(() => {
-    if (textareaRef.current && savedInitValue) {
-      textareaRef.current.value = savedInitValue;
-      setSavedInitValue('');
-    }
-  }, [textareaRef, savedInitValue, setSavedInitValue]);
-
-  return {
-    value: () => {
-      return textareaRef.current?.value ?? savedInitValue;
-    },
-    setValue: (value: string) => {
-      if (textareaRef.current) {
-        textareaRef.current.value = value;
-      }
-    },
-    focus: () => {
-      if (textareaRef.current) {
-        // focus and move the cursor to the end
-        textareaRef.current.focus();
-        textareaRef.current.selectionStart = textareaRef.current.value.length;
-      }
-    },
-    ref: textareaRef,
-  };
-}
diff --git a/examples/server/webui/src/components/useChatTextarea.ts b/examples/server/webui/src/components/useChatTextarea.ts
new file mode 100644
index 0000000000000..42b128194646f
--- /dev/null
+++ b/examples/server/webui/src/components/useChatTextarea.ts
@@ -0,0 +1,96 @@
+import { useEffect, useRef, useState, useCallback } from 'react';
+
+// Media Query for detecting "large" screens (matching Tailwind's lg: breakpoint)
+const LARGE_SCREEN_MQ = '(min-width: 1024px)';
+
+// Calculates and sets the textarea height based on its scrollHeight
+const adjustTextareaHeight = (textarea: HTMLTextAreaElement | null) => {
+  if (!textarea) return;
+
+  // Only perform auto-sizing on large screens
+  if (!window.matchMedia(LARGE_SCREEN_MQ).matches) {
+    // On small screens, reset inline height and max-height styles.
+    // This allows CSS (e.g., `rows` attribute or classes) to control the height,
+    // and enables manual resizing if `resize-vertical` is set.
+    textarea.style.height = ''; // Use 'auto' or '' to reset
+    textarea.style.maxHeight = '';
+    return; // Do not adjust height programmatically on small screens
+  }
+
+  const computedStyle = window.getComputedStyle(textarea);
+  // Get the max-height specified by CSS (e.g., from `lg:max-h-48`)
+  const currentMaxHeight = computedStyle.maxHeight;
+
+  // Temporarily remove max-height to allow scrollHeight to be calculated correctly
+  textarea.style.maxHeight = 'none';
+  // Reset height to 'auto' to measure the actual scrollHeight needed
+  textarea.style.height = 'auto';
+  // Set the height to the calculated scrollHeight
+  textarea.style.height = `${textarea.scrollHeight}px`;
+  // Re-apply the original max-height from CSS to enforce the limit
+  textarea.style.maxHeight = currentMaxHeight;
+};
+
+// Interface describing the API returned by the hook
+export interface ChatTextareaApi {
+  value: () => string;
+  setValue: (value: string) => void;
+  focus: () => void;
+  ref: React.RefObject<HTMLTextAreaElement>;
+  onInput: (event: React.FormEvent<HTMLTextAreaElement>) => void; // Input handler
+}
+
+// This is a workaround to prevent the textarea from re-rendering when the inner content changes
+// See https://github.com/ggml-org/llama.cpp/pull/12299
+// combined now with auto-sizing logic.
+export function useChatTextarea(initValue: string): ChatTextareaApi {
+  const [savedInitValue, setSavedInitValue] = useState<string>(initValue);
+  const textareaRef = useRef<HTMLTextAreaElement>(null);
+
+  // Effect to set initial value and height on mount or when initValue changes
+  useEffect(() => {
+    const textarea = textareaRef.current;
+    if (textarea) {
+      if (typeof savedInitValue === 'string' && savedInitValue.length > 0) {
+        textarea.value = savedInitValue;
+        // Call adjustTextareaHeight - it will check screen size internally
+        setTimeout(() => adjustTextareaHeight(textarea), 0);
+        setSavedInitValue(''); // Reset after applying
+      } else {
+        // Adjust height even if there's no initial value (for initial render)
+        setTimeout(() => adjustTextareaHeight(textarea), 0);
+      }
+    }
+  }, [textareaRef, savedInitValue]); // Depend on ref and savedInitValue
+
+  const handleInput = useCallback(
+    (event: React.FormEvent<HTMLTextAreaElement>) => {
+      // Call adjustTextareaHeight on every input - it will decide whether to act
+      adjustTextareaHeight(event.currentTarget);
+    },
+    []
+  );
+
+  return {
+    // Method to get the current value directly from the textarea
+    value: () => {
+      return textareaRef.current?.value ?? '';
+    },
+    // Method to programmatically set the value and trigger height adjustment
+    setValue: (value: string) => {
+      const textarea = textareaRef.current;
+      if (textarea) {
+        textarea.value = value;
+        // Call adjustTextareaHeight - it will check screen size internally
+        setTimeout(() => adjustTextareaHeight(textarea), 0);
+      }
+    },
+    focus: () => {
+      if (textareaRef.current) {
+        textareaRef.current.focus();
+      }
+    },
+    ref: textareaRef,
+    onInput: handleInput,
+  };
+}
diff --git a/examples/server/webui/src/utils/llama-vscode.ts b/examples/server/webui/src/utils/llama-vscode.ts
index 5749c14bfdc99..c45b0d3973c2c 100644
--- a/examples/server/webui/src/utils/llama-vscode.ts
+++ b/examples/server/webui/src/utils/llama-vscode.ts
@@ -1,6 +1,6 @@
 import { useEffect, useState } from 'react';
 import { MessageExtraContext } from './types';
-import { OptimizedTextareaValue } from '../components/ChatScreen';
+import { ChatTextareaApi } from '../components/useChatTextarea.ts';
 
 // Extra context when using llama.cpp WebUI from llama-vscode, inside an iframe
 // Ref: https://github.com/ggml-org/llama.cpp/pull/11940
@@ -15,7 +15,7 @@ interface SetTextEvData {
  * window.postMessage({ command: 'setText', text: 'Spot the syntax error', context: 'def test()\n  return 123' }, '*');
  */
 
-export const useVSCodeContext = (textarea: OptimizedTextareaValue) => {
+export const useVSCodeContext = (textarea: ChatTextareaApi) => {
   const [extraContext, setExtraContext] = useState<MessageExtraContext | null>(
     null
   );