diff --git a/openhands/core/config/openhands_config.py b/openhands/core/config/openhands_config.py
index 65ea78ddce..792aabb7c0 100644
--- a/openhands/core/config/openhands_config.py
+++ b/openhands/core/config/openhands_config.py
@@ -72,6 +72,7 @@ class OpenHandsConfig(BaseModel):
     file_store_path: str = Field(default='~/.openhands')
     file_store_web_hook_url: str | None = Field(default=None)
     file_store_web_hook_headers: dict | None = Field(default=None)
+    file_store_web_hook_batch: bool = Field(default=False)
     enable_browser: bool = Field(default=True)
     save_trajectory_path: str | None = Field(default=None)
     save_screenshots_in_trajectory: bool = Field(default=False)
diff --git a/openhands/server/shared.py b/openhands/server/shared.py
index 715cd0e630..94a910fb62 100644
--- a/openhands/server/shared.py
+++ b/openhands/server/shared.py
@@ -31,6 +31,7 @@ file_store: FileStore = get_file_store(
     config.file_store_path,
     config.file_store_web_hook_url,
     config.file_store_web_hook_headers,
+    batch=config.file_store_web_hook_batch,
 )
 
 client_manager = None
diff --git a/openhands/storage/README.md b/openhands/storage/README.md
index 07935c0538..7a638a6cc7 100644
--- a/openhands/storage/README.md
+++ b/openhands/storage/README.md
@@ -61,9 +61,12 @@ The `WebHookFileStore` wraps another `FileStore` implementation and sends HTTP r
 **Configuration Options:**
 - `file_store_web_hook_url`: The base URL for webhook requests
 - `file_store_web_hook_headers`: HTTP headers to include in webhook requests
+- `file_store_web_hook_batch`: Whether to use batched webhook requests (default: false)
 
 ### Protocol Details
 
+#### Standard Webhook Protocol (Non-Batched)
+
 1. **File Write Operation**:
    - When a file is written, a POST request is sent to `{base_url}{path}`
    - The request body contains the file contents
@@ -73,6 +76,27 @@ The `WebHookFileStore` wraps another `FileStore` implementation and sends HTTP r
    - When a file is deleted, a DELETE request is sent to `{base_url}{path}`
    - The operation is retried up to 3 times with a 1-second delay between attempts
 
+#### Batched Webhook Protocol
+
+The `BatchedWebHookFileStore` extends the webhook functionality by batching multiple file operations into a single request, which can significantly improve performance when many files are being modified in a short period of time.
+
+1. **Batch Request**:
+   - A single POST request is sent to `{base_url}` with a JSON array in the body
+   - Each item in the array contains:
+     - `method`: "POST" for write operations, "DELETE" for delete operations
+     - `path`: The file path
+     - `content`: The file contents (for write operations only)
+     - `encoding`: "base64" if binary content was base64-encoded (optional)
+
+2. **Batch Triggering**:
+   - Batches are sent when one of the following conditions is met:
+     - A timeout period has elapsed (defaults to 5 seconds, configurable via constructor parameter)
+     - The total size of batched content exceeds a size limit (defaults to 1MB, configurable via constructor parameter)
+     - The `flush()` method is explicitly called
+
+3. **Error Handling**:
+   - The batch request is retried up to 3 times with a 1-second delay between attempts
+
 ## Configuration
 
 To configure the storage module in OpenHands, use the following configuration options:
@@ -90,4 +114,14 @@ file_store_web_hook_url = "https://example.com/api/files"
 
 # Optional webhook headers (JSON string)
 file_store_web_hook_headers = '{"Authorization": "Bearer token"}'
+
+# Optional batched webhook mode (default: false)
+file_store_web_hook_batch = true
 ```
+
+**Batched Webhook Configuration:**
+The batched webhook behavior uses predefined constants with the following default values:
+- Batch timeout: 5 seconds
+- Batch size limit: 1MB (1048576 bytes)
+
+These values can be customized by passing `batch_timeout_seconds` and `batch_size_limit_bytes` parameters to the `BatchedWebHookFileStore` constructor.
diff --git a/openhands/storage/__init__.py b/openhands/storage/__init__.py
index 262668ffd5..d5f7dd7089 100644
--- a/openhands/storage/__init__.py
+++ b/openhands/storage/__init__.py
@@ -2,6 +2,7 @@ import os
 
 import httpx
 
+from openhands.storage.batched_web_hook import BatchedWebHookFileStore
 from openhands.storage.files import FileStore
 from openhands.storage.google_cloud import GoogleCloudFileStore
 from openhands.storage.local import LocalFileStore
@@ -15,6 +16,7 @@ def get_file_store(
     file_store_path: str | None = None,
     file_store_web_hook_url: str | None = None,
     file_store_web_hook_headers: dict | None = None,
+    batch: bool = False,
 ) -> FileStore:
     store: FileStore
     if file_store_type == 'local':
@@ -35,9 +37,21 @@ def get_file_store(
                 file_store_web_hook_headers['X-Session-API-Key'] = os.getenv(
                     'SESSION_API_KEY'
                 )
-        store = WebHookFileStore(
-            store,
-            file_store_web_hook_url,
-            httpx.Client(headers=file_store_web_hook_headers or {}),
-        )
+
+        client = httpx.Client(headers=file_store_web_hook_headers or {})
+
+        if batch:
+            # Use batched webhook file store
+            store = BatchedWebHookFileStore(
+                store,
+                file_store_web_hook_url,
+                client,
+            )
+        else:
+            # Use regular webhook file store
+            store = WebHookFileStore(
+                store,
+                file_store_web_hook_url,
+                client,
+            )
     return store
diff --git a/openhands/storage/batched_web_hook.py b/openhands/storage/batched_web_hook.py
new file mode 100644
index 0000000000..057b7f0a96
--- /dev/null
+++ b/openhands/storage/batched_web_hook.py
@@ -0,0 +1,274 @@
+import threading
+from typing import Optional, Union
+
+import httpx
+import tenacity
+
+from openhands.storage.files import FileStore
+from openhands.utils.async_utils import EXECUTOR
+
+# Constants for batching configuration
+WEBHOOK_BATCH_TIMEOUT_SECONDS = 5.0
+WEBHOOK_BATCH_SIZE_LIMIT_BYTES = 1048576  # 1MB
+
+
+class BatchedWebHookFileStore(FileStore):
+    """
+    File store which batches updates before sending them to a webhook.
+
+    This class wraps another FileStore implementation and sends HTTP requests
+    to a specified URL when files are written or deleted. Updates are batched
+    and sent together after a certain amount of time passes or if the content
+    size exceeds a threshold.
+
+    Attributes:
+        file_store: The underlying FileStore implementation
+        base_url: The base URL for webhook requests
+        client: The HTTP client used to make webhook requests
+        batch_timeout_seconds: Time in seconds after which a batch is sent (default: WEBHOOK_BATCH_TIMEOUT_SECONDS)
+        batch_size_limit_bytes: Size limit in bytes after which a batch is sent (default: WEBHOOK_BATCH_SIZE_LIMIT_BYTES)
+        _batch_lock: Lock for thread-safe access to the batch
+        _batch: Dictionary of pending file updates
+        _batch_timer: Timer for sending batches after timeout
+        _batch_size: Current size of the batch in bytes
+    """
+
+    file_store: FileStore
+    base_url: str
+    client: httpx.Client
+    batch_timeout_seconds: float
+    batch_size_limit_bytes: int
+    _batch_lock: threading.Lock
+    _batch: dict[str, tuple[str, Optional[Union[str, bytes]]]]
+    _batch_timer: Optional[threading.Timer]
+    _batch_size: int
+
+    def __init__(
+        self,
+        file_store: FileStore,
+        base_url: str,
+        client: Optional[httpx.Client] = None,
+        batch_timeout_seconds: Optional[float] = None,
+        batch_size_limit_bytes: Optional[int] = None,
+    ):
+        """
+        Initialize a BatchedWebHookFileStore.
+
+        Args:
+            file_store: The underlying FileStore implementation
+            base_url: The base URL for webhook requests
+            client: Optional HTTP client to use for requests. If None, a new client will be created.
+            batch_timeout_seconds: Time in seconds after which a batch is sent.
+                If None, uses the default constant WEBHOOK_BATCH_TIMEOUT_SECONDS.
+            batch_size_limit_bytes: Size limit in bytes after which a batch is sent.
+                If None, uses the default constant WEBHOOK_BATCH_SIZE_LIMIT_BYTES.
+        """
+        self.file_store = file_store
+        self.base_url = base_url
+        if client is None:
+            client = httpx.Client()
+        self.client = client
+
+        # Use provided values or default constants
+        self.batch_timeout_seconds = (
+            batch_timeout_seconds or WEBHOOK_BATCH_TIMEOUT_SECONDS
+        )
+        self.batch_size_limit_bytes = (
+            batch_size_limit_bytes or WEBHOOK_BATCH_SIZE_LIMIT_BYTES
+        )
+
+        # Initialize batch state
+        self._batch_lock = threading.Lock()
+        self._batch = {}  # Maps path -> (operation, content)
+        self._batch_timer = None
+        self._batch_size = 0
+
+    def write(self, path: str, contents: Union[str, bytes]) -> None:
+        """
+        Write contents to a file and queue a webhook update.
+
+        Args:
+            path: The path to write to
+            contents: The contents to write
+        """
+        self.file_store.write(path, contents)
+        self._queue_update(path, 'write', contents)
+
+    def read(self, path: str) -> str:
+        """
+        Read contents from a file.
+
+        Args:
+            path: The path to read from
+
+        Returns:
+            The contents of the file
+        """
+        return self.file_store.read(path)
+
+    def list(self, path: str) -> list[str]:
+        """
+        List files in a directory.
+
+        Args:
+            path: The directory path to list
+
+        Returns:
+            A list of file paths
+        """
+        return self.file_store.list(path)
+
+    def delete(self, path: str) -> None:
+        """
+        Delete a file and queue a webhook update.
+
+        Args:
+            path: The path to delete
+        """
+        self.file_store.delete(path)
+        self._queue_update(path, 'delete', None)
+
+    def _queue_update(
+        self, path: str, operation: str, contents: Optional[Union[str, bytes]]
+    ) -> None:
+        """
+        Queue an update to be sent to the webhook.
+
+        Args:
+            path: The path that was modified
+            operation: The operation performed ("write" or "delete")
+            contents: The contents that were written (None for delete operations)
+        """
+        with self._batch_lock:
+            # Calculate content size
+            content_size = 0
+            if contents is not None:
+                if isinstance(contents, str):
+                    content_size = len(contents.encode('utf-8'))
+                else:
+                    content_size = len(contents)
+
+            # Update batch size calculation
+            # If this path already exists in the batch, subtract its previous size
+            if path in self._batch:
+                prev_op, prev_contents = self._batch[path]
+                if prev_contents is not None:
+                    if isinstance(prev_contents, str):
+                        self._batch_size -= len(prev_contents.encode('utf-8'))
+                    else:
+                        self._batch_size -= len(prev_contents)
+
+            # Add new content size
+            self._batch_size += content_size
+
+            # Add to batch
+            self._batch[path] = (operation, contents)
+
+            # Check if we need to send the batch due to size limit
+            if self._batch_size >= self.batch_size_limit_bytes:
+                # Submit to executor to avoid blocking
+                EXECUTOR.submit(self._send_batch)
+                return
+
+            # Start or reset the timer for sending the batch
+            if self._batch_timer is not None:
+                self._batch_timer.cancel()
+                self._batch_timer = None
+
+            timer = threading.Timer(
+                self.batch_timeout_seconds, self._send_batch_from_timer
+            )
+            timer.daemon = True
+            timer.start()
+            self._batch_timer = timer
+
+    def _send_batch_from_timer(self) -> None:
+        """
+        Send the batch from the timer thread.
+        This method is called by the timer and submits the actual sending to the executor.
+        """
+        EXECUTOR.submit(self._send_batch)
+
+    def _send_batch(self) -> None:
+        """
+        Send the current batch of updates to the webhook as a single request.
+        This method acquires the batch lock and processes all pending updates in one batch.
+        """
+        batch_to_send: dict[str, tuple[str, Optional[Union[str, bytes]]]] = {}
+
+        with self._batch_lock:
+            if not self._batch:
+                return
+
+            # Copy the batch and clear the current one
+            batch_to_send = self._batch.copy()
+            self._batch.clear()
+            self._batch_size = 0
+
+            # Cancel any pending timer
+            if self._batch_timer is not None:
+                self._batch_timer.cancel()
+                self._batch_timer = None
+
+        # Process the entire batch in a single request
+        if batch_to_send:
+            try:
+                self._send_batch_request(batch_to_send)
+            except Exception as e:
+                # Log the error
+                print(f'Error sending webhook batch: {e}')
+
+    @tenacity.retry(
+        wait=tenacity.wait_fixed(1),
+        stop=tenacity.stop_after_attempt(3),
+    )
+    def _send_batch_request(
+        self, batch: dict[str, tuple[str, Optional[Union[str, bytes]]]]
+    ) -> None:
+        """
+        Send a single batch request to the webhook URL with all updates.
+
+        This method is retried up to 3 times with a 1-second delay between attempts.
+
+        Args:
+            batch: Dictionary mapping paths to (operation, contents) tuples
+
+        Raises:
+            httpx.HTTPStatusError: If the webhook request fails
+        """
+        # Prepare the batch payload
+        batch_payload = []
+
+        for path, (operation, contents) in batch.items():
+            item = {
+                'method': 'POST' if operation == 'write' else 'DELETE',
+                'path': path,
+            }
+
+            if operation == 'write' and contents is not None:
+                # Convert bytes to string if needed
+                if isinstance(contents, bytes):
+                    try:
+                        # Try to decode as UTF-8
+                        item['content'] = contents.decode('utf-8')
+                    except UnicodeDecodeError:
+                        # If not UTF-8, use base64 encoding
+                        import base64
+
+                        item['content'] = base64.b64encode(contents).decode('ascii')
+                        item['encoding'] = 'base64'
+                else:
+                    item['content'] = contents
+
+            batch_payload.append(item)
+
+        # Send the batch as a single request
+        response = self.client.post(self.base_url, json=batch_payload)
+        response.raise_for_status()
+
+    def flush(self) -> None:
+        """
+        Immediately send any pending updates to the webhook.
+        This can be called to ensure all updates are sent before shutting down.
+        """
+        self._send_batch()
diff --git a/tests/unit/test_batched_web_hook.py b/tests/unit/test_batched_web_hook.py
new file mode 100644
index 0000000000..77322793b3
--- /dev/null
+++ b/tests/unit/test_batched_web_hook.py
@@ -0,0 +1,235 @@
+import time
+from unittest.mock import MagicMock
+
+import httpx
+import pytest
+
+from openhands.storage.batched_web_hook import BatchedWebHookFileStore
+from openhands.storage.files import FileStore
+
+
+class MockFileStore(FileStore):
+    def __init__(self):
+        self.files = {}
+
+    def write(self, path: str, contents: str | bytes) -> None:
+        self.files[path] = contents
+
+    def read(self, path: str) -> str:
+        return self.files.get(path, '')
+
+    def list(self, path: str) -> list[str]:
+        return [k for k in self.files.keys() if k.startswith(path)]
+
+    def delete(self, path: str) -> None:
+        if path in self.files:
+            del self.files[path]
+
+
+class TestBatchedWebHookFileStore:
+    @pytest.fixture
+    def mock_client(self):
+        client = MagicMock(spec=httpx.Client)
+        client.post.return_value.raise_for_status = MagicMock()
+        client.delete.return_value.raise_for_status = MagicMock()
+        return client
+
+    @pytest.fixture
+    def file_store(self):
+        return MockFileStore()
+
+    @pytest.fixture
+    def batched_store(self, file_store, mock_client):
+        # Use a short timeout for testing
+        return BatchedWebHookFileStore(
+            file_store=file_store,
+            base_url='http://example.com',
+            client=mock_client,
+            batch_timeout_seconds=0.1,  # Short timeout for testing
+            batch_size_limit_bytes=1000,
+        )
+
+    def test_write_operation_batched(self, batched_store, mock_client):
+        # Write a file
+        batched_store.write('/test.txt', 'Hello, world!')
+
+        # The client should not have been called yet
+        mock_client.post.assert_not_called()
+
+        # Wait for the batch timeout
+        time.sleep(0.2)
+
+        # Now the client should have been called with a batch payload
+        mock_client.post.assert_called_once()
+        args, kwargs = mock_client.post.call_args
+        assert args[0] == 'http://example.com'
+        assert 'json' in kwargs
+
+        # Check the batch payload
+        batch_payload = kwargs['json']
+        assert isinstance(batch_payload, list)
+        assert len(batch_payload) == 1
+        assert batch_payload[0]['method'] == 'POST'
+        assert batch_payload[0]['path'] == '/test.txt'
+        assert batch_payload[0]['content'] == 'Hello, world!'
+
+    def test_delete_operation_batched(self, batched_store, mock_client):
+        # Write and then delete a file
+        batched_store.write('/test.txt', 'Hello, world!')
+        batched_store.delete('/test.txt')
+
+        # The client should not have been called yet
+        mock_client.post.assert_not_called()
+
+        # Wait for the batch timeout
+        time.sleep(0.2)
+
+        # Now the client should have been called with a batch payload
+        mock_client.post.assert_called_once()
+        args, kwargs = mock_client.post.call_args
+        assert args[0] == 'http://example.com'
+        assert 'json' in kwargs
+
+        # Check the batch payload
+        batch_payload = kwargs['json']
+        assert isinstance(batch_payload, list)
+        assert len(batch_payload) == 1
+        assert batch_payload[0]['method'] == 'DELETE'
+        assert batch_payload[0]['path'] == '/test.txt'
+        assert 'content' not in batch_payload[0]
+
+    def test_batch_size_limit_triggers_send(self, batched_store, mock_client):
+        # Write a large file that exceeds the batch size limit
+        large_content = 'x' * 1001  # Exceeds the 1000 byte limit
+        batched_store.write('/large.txt', large_content)
+
+        # The batch might be sent asynchronously, so we need to wait a bit
+        time.sleep(0.2)
+
+        # The client should have been called due to size limit
+        mock_client.post.assert_called_once()
+        args, kwargs = mock_client.post.call_args
+        assert args[0] == 'http://example.com'
+        assert 'json' in kwargs
+
+        # Check the batch payload
+        batch_payload = kwargs['json']
+        assert isinstance(batch_payload, list)
+        assert len(batch_payload) == 1
+        assert batch_payload[0]['method'] == 'POST'
+        assert batch_payload[0]['path'] == '/large.txt'
+        assert batch_payload[0]['content'] == large_content
+
+    def test_multiple_updates_same_file(self, batched_store, mock_client):
+        # Write to the same file multiple times
+        batched_store.write('/test.txt', 'Version 1')
+        batched_store.write('/test.txt', 'Version 2')
+        batched_store.write('/test.txt', 'Version 3')
+
+        # Wait for the batch timeout
+        time.sleep(0.2)
+
+        # Only the latest version should be sent
+        mock_client.post.assert_called_once()
+        args, kwargs = mock_client.post.call_args
+        assert args[0] == 'http://example.com'
+        assert 'json' in kwargs
+
+        # Check the batch payload
+        batch_payload = kwargs['json']
+        assert isinstance(batch_payload, list)
+        assert len(batch_payload) == 1
+        assert batch_payload[0]['method'] == 'POST'
+        assert batch_payload[0]['path'] == '/test.txt'
+        assert batch_payload[0]['content'] == 'Version 3'
+
+    def test_flush_sends_immediately(self, batched_store, mock_client):
+        # Write a file
+        batched_store.write('/test.txt', 'Hello, world!')
+
+        # The client should not have been called yet
+        mock_client.post.assert_not_called()
+
+        # Flush the batch
+        batched_store.flush()
+
+        # Now the client should have been called without waiting for timeout
+        mock_client.post.assert_called_once()
+        args, kwargs = mock_client.post.call_args
+        assert args[0] == 'http://example.com'
+        assert 'json' in kwargs
+
+        # Check the batch payload
+        batch_payload = kwargs['json']
+        assert isinstance(batch_payload, list)
+        assert len(batch_payload) == 1
+        assert batch_payload[0]['method'] == 'POST'
+        assert batch_payload[0]['path'] == '/test.txt'
+        assert batch_payload[0]['content'] == 'Hello, world!'
+
+    def test_multiple_operations_in_single_batch(self, batched_store, mock_client):
+        # Perform multiple operations
+        batched_store.write('/file1.txt', 'Content 1')
+        batched_store.write('/file2.txt', 'Content 2')
+        batched_store.delete('/file3.txt')
+
+        # Wait for the batch timeout
+        time.sleep(0.2)
+
+        # Check that only one POST request was made with all operations
+        mock_client.post.assert_called_once()
+        args, kwargs = mock_client.post.call_args
+        assert args[0] == 'http://example.com'
+        assert 'json' in kwargs
+
+        # Check the batch payload
+        batch_payload = kwargs['json']
+        assert isinstance(batch_payload, list)
+        assert len(batch_payload) == 3
+
+        # Check each operation in the batch
+        operations = {item['path']: item for item in batch_payload}
+
+        assert '/file1.txt' in operations
+        assert operations['/file1.txt']['method'] == 'POST'
+        assert operations['/file1.txt']['content'] == 'Content 1'
+
+        assert '/file2.txt' in operations
+        assert operations['/file2.txt']['method'] == 'POST'
+        assert operations['/file2.txt']['content'] == 'Content 2'
+
+        assert '/file3.txt' in operations
+        assert operations['/file3.txt']['method'] == 'DELETE'
+        assert 'content' not in operations['/file3.txt']
+
+    def test_binary_content_handling(self, batched_store, mock_client):
+        # Write binary content
+        binary_content = b'\x00\x01\x02\x03\xff\xfe\xfd\xfc'
+        batched_store.write('/binary.bin', binary_content)
+
+        # Wait for the batch timeout
+        time.sleep(0.2)
+
+        # Check that the client was called
+        mock_client.post.assert_called_once()
+        args, kwargs = mock_client.post.call_args
+        assert args[0] == 'http://example.com'
+        assert 'json' in kwargs
+
+        # Check the batch payload
+        batch_payload = kwargs['json']
+        assert isinstance(batch_payload, list)
+        assert len(batch_payload) == 1
+
+        # Binary content should be base64 encoded
+        assert batch_payload[0]['method'] == 'POST'
+        assert batch_payload[0]['path'] == '/binary.bin'
+        assert 'content' in batch_payload[0]
+        assert 'encoding' in batch_payload[0]
+        assert batch_payload[0]['encoding'] == 'base64'
+
+        # Verify the content can be decoded back to the original binary
+        import base64
+
+        decoded = base64.b64decode(batch_payload[0]['content'].encode('ascii'))
+        assert decoded == binary_content