diff --git a/crates/collab_ui/src/contacts_popover.rs b/crates/collab_ui/src/contacts_popover.rs
index 388b344879..074e816163 100644
--- a/crates/collab_ui/src/contacts_popover.rs
+++ b/crates/collab_ui/src/contacts_popover.rs
@@ -522,10 +522,31 @@ impl ContactsPopover {
             MouseEventHandler::<Contact>::new(contact.user.id as usize, cx, |_, _| {
                 Flex::row()
                     .with_children(contact.user.avatar.clone().map(|avatar| {
-                        Image::new(avatar)
-                            .with_style(theme.contact_avatar)
-                            .aligned()
-                            .left()
+                        let status_badge = if contact.online {
+                            Some(
+                                Empty::new()
+                                    .collapsed()
+                                    .contained()
+                                    .with_style(if contact.busy {
+                                        theme.contact_status_busy
+                                    } else {
+                                        theme.contact_status_free
+                                    })
+                                    .aligned()
+                                    .boxed(),
+                            )
+                        } else {
+                            None
+                        };
+                        Stack::new()
+                            .with_child(
+                                Image::new(avatar)
+                                    .with_style(theme.contact_avatar)
+                                    .aligned()
+                                    .left()
+                                    .boxed(),
+                            )
+                            .with_children(status_badge)
                             .boxed()
                     }))
                     .with_child(
diff --git a/crates/theme/src/theme.rs b/crates/theme/src/theme.rs
index b9de72065a..d70aaed189 100644
--- a/crates/theme/src/theme.rs
+++ b/crates/theme/src/theme.rs
@@ -95,6 +95,8 @@ pub struct ContactsPopover {
     pub project_row: Interactive<ProjectRow>,
     pub row_height: f32,
     pub contact_avatar: ImageStyle,
+    pub contact_status_free: ContainerStyle,
+    pub contact_status_busy: ContainerStyle,
     pub contact_username: ContainedText,
     pub contact_button: Interactive<IconButton>,
     pub contact_button_spacing: f32,
diff --git a/styles/src/styleTree/contactsPopover.ts b/styles/src/styleTree/contactsPopover.ts
index 82174fd672..16656c3fcd 100644
--- a/styles/src/styleTree/contactsPopover.ts
+++ b/styles/src/styleTree/contactsPopover.ts
@@ -116,6 +116,18 @@ export default function contactsPopover(theme: Theme) {
       cornerRadius: 10,
       width: 18,
     },
+    contactStatusFree: {
+      cornerRadius: 4,
+      padding: 4,
+      margin: { top: 12, left: 12 },
+      background: iconColor(theme, "success"),
+    },
+    contactStatusBusy: {
+      cornerRadius: 3,
+      padding: 2,
+      margin: { top: 3, left: 3 },
+      background: iconColor(theme, "feature"),
+    },
     contactUsername: {
       ...text(theme, "mono", "primary", { size: "sm" }),
       margin: {
diff --git a/styles/src/styleTree/workspace.ts b/styles/src/styleTree/workspace.ts
index 7ad99ef6ab..c970c38296 100644
--- a/styles/src/styleTree/workspace.ts
+++ b/styles/src/styleTree/workspace.ts
@@ -5,7 +5,6 @@ import {
   border,
   iconColor,
   modalShadow,
-  popoverShadow,
   text,
 } from "./components";
 import statusBar from "./statusBar";
diff --git a/styles/src/themes/common/base16.ts b/styles/src/themes/common/base16.ts
index 7aa72ef137..3612988075 100644
--- a/styles/src/themes/common/base16.ts
+++ b/styles/src/themes/common/base16.ts
@@ -137,6 +137,7 @@ export function createTheme(
     ok: sample(ramps.green, 0.5),
     error: sample(ramps.red, 0.5),
     warning: sample(ramps.yellow, 0.5),
+    success: sample(ramps.green, 0.5),
     info: sample(ramps.blue, 0.5),
     onMedia: darkest,
   };
diff --git a/styles/src/themes/common/theme.ts b/styles/src/themes/common/theme.ts
index e01435b846..18ad8122e0 100644
--- a/styles/src/themes/common/theme.ts
+++ b/styles/src/themes/common/theme.ts
@@ -123,6 +123,7 @@ export default interface Theme {
     error: string;
     warning: string;
     info: string;
+    success: string;
   };
   editor: {
     background: string;