diff --git a/packages/webui/src/components/toolcalls/GenericToolCall.tsx b/packages/webui/src/components/toolcalls/GenericToolCall.tsx
index 4dc00fc9c..5e92ee865 100644
--- a/packages/webui/src/components/toolcalls/GenericToolCall.tsx
+++ b/packages/webui/src/components/toolcalls/GenericToolCall.tsx
@@ -6,7 +6,7 @@
  * Generic tool call component - handles all tool call types as fallback
  */
 
-import type { FC } from 'react';
+import { useState, type FC } from 'react';
 import {
   ToolCallContainer,
   ToolCallCard,
@@ -17,6 +17,45 @@ import {
 } from './shared/index.js';
 import type { BaseToolCallProps } from './shared/index.js';
 import { getToolDisplayLabel } from './labelUtils.js';
+import { MarkdownRenderer } from '../messages/MarkdownRenderer/MarkdownRenderer.js';
+
+const COLLAPSED_HEIGHT = 200;
+const EXPAND_THRESHOLD = 400;
+
+const CollapsibleOutput: FC<{ content: string }> = ({ content }) => {
+  const [isExpanded, setIsExpanded] = useState(false);
+  const isLongContent = content.length > EXPAND_THRESHOLD;
+
+  return (
+    <div className="flex flex-col gap-[3px]">
+      <div
+        className="text-[13px] opacity-90 overflow-hidden"
+        style={
+          !isExpanded && isLongContent
+            ? {
+                maxHeight: `${COLLAPSED_HEIGHT}px`,
+                maskImage: `linear-gradient(to bottom, var(--app-primary-background) 140px, transparent ${COLLAPSED_HEIGHT}px)`,
+                WebkitMaskImage: `linear-gradient(to bottom, var(--app-primary-background) 140px, transparent ${COLLAPSED_HEIGHT}px)`,
+              }
+            : undefined
+        }
+      >
+        <MarkdownRenderer content={content} enableFileLinks={false} />
+      </div>
+      {isLongContent && (
+        <div className="flex justify-center border-t border-[var(--app-input-border)] pt-1">
+          <button
+            type="button"
+            onClick={() => setIsExpanded(!isExpanded)}
+            className="text-[var(--app-secondary-foreground)] text-[0.8em] hover:text-[var(--app-primary-foreground)] cursor-pointer bg-transparent border-none px-2 py-1 rounded hover:bg-[var(--app-input-background)] transition-colors"
+          >
+            {isExpanded ? '▲ Collapse' : '▼ Show more'}
+          </button>
+        </div>
+      )}
+    </div>
+  );
+};
 
 /**
  * Generic tool call component that can display any tool call type
@@ -55,18 +94,13 @@ export const GenericToolCall: FC<BaseToolCallProps> = ({
     const isLong = output.length > 150;
 
     if (isLong) {
-      const truncatedOutput =
-        output.length > 300 ? output.substring(0, 300) + '...' : output;
-
       return (
         <ToolCallCard icon="🔧">
           <ToolCallRow label={displayLabel}>
             <div>{operationText}</div>
           </ToolCallRow>
           <ToolCallRow label="Output">
-            <div className="whitespace-pre-wrap font-mono text-[13px] opacity-90">
-              {truncatedOutput}
-            </div>
+            <CollapsibleOutput content={output} />
           </ToolCallRow>
         </ToolCallCard>
       );
diff --git a/packages/webui/src/components/toolcalls/WebFetchToolCall.tsx b/packages/webui/src/components/toolcalls/WebFetchToolCall.tsx
index 7af3da775..d6ad482cf 100644
--- a/packages/webui/src/components/toolcalls/WebFetchToolCall.tsx
+++ b/packages/webui/src/components/toolcalls/WebFetchToolCall.tsx
@@ -16,6 +16,7 @@ import {
 } from './shared/index.js';
 import type { BaseToolCallProps } from './shared/index.js';
 import { getToolDisplayLabel } from './labelUtils.js';
+import { MarkdownRenderer } from '../messages/MarkdownRenderer/MarkdownRenderer.js';
 
 type WebVariant = 'fetch' | 'search';
 
@@ -70,24 +71,28 @@ const OutputCard: FC<{
             OUT
           </div>
           <div
-            className={`whitespace-pre-wrap break-words m-0 p-1 overflow-hidden ${
-              !isExpanded && isLongContent
-                ? `max-h-[${COLLAPSED_HEIGHT}px] [mask-image:linear-gradient(to_bottom,var(--app-primary-background)_80px,transparent_${COLLAPSED_HEIGHT}px)]`
-                : ''
+            className={`break-words m-0 p-1 overflow-hidden ${
+              isError ? 'whitespace-pre-wrap' : ''
             }`}
             style={
               !isExpanded && isLongContent
-                ? { maxHeight: `${COLLAPSED_HEIGHT}px` }
+                ? {
+                    maxHeight: `${COLLAPSED_HEIGHT}px`,
+                    maskImage: `linear-gradient(to bottom, var(--app-primary-background) 80px, transparent ${COLLAPSED_HEIGHT}px)`,
+                    WebkitMaskImage: `linear-gradient(to bottom, var(--app-primary-background) 80px, transparent ${COLLAPSED_HEIGHT}px)`,
+                  }
                 : undefined
             }
           >
-            <pre
-              className={`m-0 overflow-hidden font-mono text-[0.85em] ${
-                isError ? 'text-[#c74e39]' : ''
-              }`}
-            >
-              {content}
-            </pre>
+            {isError ? (
+              <pre className="m-0 overflow-hidden font-mono text-[0.85em] text-[#c74e39]">
+                {content}
+              </pre>
+            ) : (
+              <div className="text-[0.85em]">
+                <MarkdownRenderer content={content} enableFileLinks={false} />
+              </div>
+            )}
           </div>
         </div>