Describe the bug

I encountered an issue during the Isaac Lab pip installation (develop branch) where the installation appears to complete, but the verification step hangs and Isaac Lab does not launch.

My goal is to use teleoperation with CloudXR, and I followed the official guide accordingly.
The CloudXR runtime starts successfully, but Isaac Lab itself does not launch after installation.

Steps to reproduce

1. Clone Isaac Lab develop branch:
   git clone --branch develop https://github.com/isaac-sim/IsaacLab.git
2. Create and activate a Python 3.12 virtual environment
3. Run IsaacLab installation:
   cd IsaacLab
   ./isaaclab.sh --install
4. Run verification script:
   ./isaaclab.sh -p scripts/tutorials/00_sim/create_empty.py
5. Accept EULA when prompted
6. Observe that execution stops after:
   [INFO]: Setup complete...

Terminal Output

[INFO] Using Python: "/home/daeyun/isaaclab_versions/version_dev/env_isaaclab/bin/python"

Do you accept the EULA? (Yes/No): Yes
The EULA was accepted.

[WARN][AppLauncher]: There are no arguments attached to the ArgumentParser object.
2026-04-07T06:57:01Z [Warning] [omni.ext.plugin] Extensions config 'extension.toml' doesn't exist ...
WARNING: All log messages before absl::InitializeLog() is called are written to STDERR
E0000 ... descriptor_database.cc:633] File already exists in database: grpc/health/v1/health.proto
W0000 ... message.cc:301] Protobuf GeneratedMessageFactory: File is already registered: grpc/health/v1/health.proto

2026-04-07T06:57:01Z [Warning] [omni.usd_config.extension] Enable omni.materialx.libs extension to use MaterialX

| Driver Version: 580.126.09 | Graphics API: Vulkan
| GPU: NVIDIA GeForce RTX 4090

2026-04-07T06:57:03Z [Warning] CPU performance profile is set to powersave
2026-04-07T06:57:03Z [Warning] IOMMU is enabled
2026-04-07T06:57:03Z [Warning] TGS solver may cause noisy velocities

Warp 1.12.0 initialized:
CUDA Toolkit 12.9, Driver 13.0

[INFO]: Setup complete...

(No further output, no simulation window appears)

System Info

Commit: 33fb3ee (develop branch) and c2b1b74
Isaac Sim Version: 6.0.0 (pip installation)
OS: Ubuntu 22.04.5 LTS
GPU: NVIDIA GeForce RTX 4090
CUDA: 12.9 (runtime), Driver CUDA Version: 13.0
GPU Driver: 580.126.09

Additional context

CloudXR runtime (python -m isaacteleop.cloudxr) runs without issues
The issue occurs when launching Isaac Lab after installation
No explicit errors are shown; the application silently hangs

Additionally, I noticed that installing from the main branch installs Isaac Sim 5.1.0, which seems incompatible with the CloudXR / Isaac Teleop workflow described in the latest documentation.

So I switched to the develop branch to match the documentation.

👉 Is using the develop branch the correct approach for CloudXR teleoperation with Isaac Lab + Isaac Sim 6.x?

Checklist

• [O] I have checked that there is no similar issue in the repo (required)
• [O] I have checked that the issue is not in running Isaac Sim itself and is related to the repo

Acceptance Criteria

• Isaac Lab installs and launches successfully
• Verification script runs and opens simulation window
• Teleoperation with CloudXR workflow can proceed after installation