diff --git a/plugins/terminal/tests/src/com/intellij/terminal/tests/reworked/frontend/TerminalOsc8HyperlinksEndToEndTest.kt b/plugins/terminal/tests/src/com/intellij/terminal/tests/reworked/frontend/TerminalOsc8HyperlinksEndToEndTest.kt
index f48d948fc87b..e91455748342 100644
--- a/plugins/terminal/tests/src/com/intellij/terminal/tests/reworked/frontend/TerminalOsc8HyperlinksEndToEndTest.kt
+++ b/plugins/terminal/tests/src/com/intellij/terminal/tests/reworked/frontend/TerminalOsc8HyperlinksEndToEndTest.kt
@@ -19,9 +19,11 @@ import kotlinx.coroutines.withContext
 import org.assertj.core.api.Assertions.assertThat
 import org.jetbrains.plugins.terminal.JBTerminalSystemSettingsProvider
 import org.jetbrains.plugins.terminal.util.terminalProjectScope
+import org.jetbrains.plugins.terminal.view.TerminalOutputModel
 import org.junit.Test
 import org.junit.runner.RunWith
 import org.junit.runners.JUnit4
+import java.awt.event.MouseEvent
 import kotlin.time.Duration.Companion.milliseconds
 import kotlin.time.Duration.Companion.seconds
 
@@ -37,11 +39,54 @@ internal class TerminalOsc8HyperlinksEndToEndTest : BasePlatformTestCase() {
   override fun runInDispatchThread(): Boolean = false
 
   @Test
-  fun `OSC8 hyperlink is rendered as a hyperlink highlighter in the editor markup model`(): Unit = doTest { fixture ->
+  fun `OSC8 hyperlink text can differ from its target URI`(): Unit = doTest { fixture ->
     fixture.connector.feed("before ${osc8("https://example.com", "link text")} after")
 
-    val highlighter = fixture.awaitHyperlinkHighlighter()
+    val highlighter = fixture.awaitHyperlink()
     assertThat(fixture.textOf(highlighter)).isEqualTo("link text")
+    assertThat(fixture.uriOf(highlighter)).isEqualTo("https://example.com")
+  }
+
+  @Test
+  fun `several OSC8 hyperlinks in the same output are each rendered separately`(): Unit = doTest { fixture ->
+    fixture.connector.feed("${osc8("https://jetbrains.com", "FIRST")} middle ${osc8("https://example.com", "SECOND")}")
+
+    val highlighters = fixture.awaitHyperlinks(2)
+    assertThat(highlighters.map { fixture.textOf(it) }).containsExactly("FIRST", "SECOND")
+    assertThat(highlighters.map { fixture.uriOf(it) }).containsExactly("https://jetbrains.com", "https://example.com")
+  }
+
+  @Test
+  fun `a target that is not a recognized URL is not rendered as a hyperlink`(): Unit = doTest { fixture ->
+    fixture.connector.feed(osc8("definitely-not-a-url", "click me"))
+    // A real link fed right after: once it's rendered, reconciliation has scanned the whole link list
+    // (including the one above) at least once, so a missing highlighter for "click me" isn't just a timing fluke.
+    fixture.connector.feed(osc8("https://jetbrains.com", "SENTINEL"))
+
+    val highlighters = fixture.awaitHyperlinks(1)
+    assertThat(fixture.textOf(highlighters.single())).isEqualTo("SENTINEL")
+  }
+
+  @Test
+  fun `hyperlink is removed from the markup model once its line is overwritten with plain text`(): Unit = doTest { fixture ->
+    fixture.connector.feed(osc8("https://jetbrains.com", "LINK"))
+    fixture.awaitHyperlink()
+
+    // Move the cursor back to the start of the line and overwrite it with plain text at least as long as "LINK".
+    fixture.connector.feed("\rplain text, no links here")
+
+    fixture.awaitHyperlinks(0)
+  }
+
+  @Test
+  fun `hovering an OSC8 hyperlink shows its target URI as a tooltip`(): Unit = doTest { fixture ->
+    fixture.connector.feed("x ${osc8("https://jetbrains.com", "JB")} y")
+
+    val highlighter = fixture.awaitHyperlink()
+    fixture.hover(highlighter)
+
+    // The link text ("JB") says nothing about the destination - the tooltip is what reveals it.
+    assertThat(fixture.editor.contentComponent.toolTipText).contains("https://jetbrains.com")
   }
 
   private fun doTest(test: suspend (Fixture) -> Unit) {
@@ -70,6 +115,8 @@ internal class TerminalOsc8HyperlinksEndToEndTest : BasePlatformTestCase() {
       val terminalView = TerminalViewImpl(project, JBTerminalSystemSettingsProvider(), null, scope)
       terminalView.connectToSession(session)
       editor = terminalView.outputEditor as EditorImpl
+      // So offsetToXY (used by hover()) produces valid screen coordinates in a headless test.
+      editor.component.setSize(800, 600)
     }
 
     fun textOf(highlighter: RangeHighlighter): String {
@@ -77,16 +124,39 @@ internal class TerminalOsc8HyperlinksEndToEndTest : BasePlatformTestCase() {
     }
 
     /**
-     * Polls the output editor's markup model until exactly one hyperlink highlighter is present.
-     * Reconciliation between the output model and the markup model runs on its own delay
-     * (see `installOsc8HyperlinksProcessing`), not synchronously with every output model change.
+     * The target URI of the OSC8 link rendered as [highlighter], read from the output model - the
+     * markup model's own decoration doesn't expose it (it's only used internally to build the click action).
      */
-    suspend fun awaitHyperlinkHighlighter(): RangeHighlighter {
+    fun uriOf(highlighter: RangeHighlighter): String {
+      val model = editor.getUserData(TerminalOutputModel.KEY)!!
+      return model.getOsc8Hyperlinks().single {
+        (it.startOffset - model.startOffset).toInt() == highlighter.startOffset &&
+        (it.endOffset - model.startOffset).toInt() == highlighter.endOffset
+      }.uri
+    }
+
+    /** Moves the mouse over the middle of [highlighter]'s range, as a real mouse move would. */
+    fun hover(highlighter: RangeHighlighter) {
+      val offset = (highlighter.startOffset + highlighter.endOffset) / 2
+      val point = editor.offsetToXY(offset)
+      val event = MouseEvent(
+        editor.contentComponent, MouseEvent.MOUSE_MOVED, System.currentTimeMillis(), 0, point.x, point.y, 1, false, MouseEvent.BUTTON1
+      )
+      editor.contentComponent.mouseMotionListeners.forEach { it.mouseMoved(event) }
+    }
+
+    suspend fun awaitHyperlink(): RangeHighlighter = awaitHyperlinks(1).single()
+
+    /**
+     * Polls the output editor's markup model until exactly [count] hyperlink highlighters are present,
+     * then returns them sorted by position.
+     */
+    suspend fun awaitHyperlinks(count: Int): List<RangeHighlighter> {
       while (true) {
         val highlighters = withContext(Dispatchers.EDT) {
           editor.markupModel.allHighlighters.filter { it.isValid && it.layer == HighlighterLayer.HYPERLINK }
         }
-        if (highlighters.size == 1) return highlighters.single()
+        if (highlighters.size == count) return highlighters.sortedBy { it.startOffset }
         delay(50.milliseconds)
       }
     }