diff --git a/.github/workflows/nightly-version-bump.yml b/.github/workflows/nightly-version-bump.yml
new file mode 100644
index 0000000..629875c
--- /dev/null
+++ b/.github/workflows/nightly-version-bump.yml
@@ -0,0 +1,45 @@
+name: Nightly SDK Version Bump
+
+permissions:
+  contents: write
+  pull-requests: write
+
+on:
+  schedule:
+    - cron: "0 3 * * *" # 03:00 UTC every night
+  workflow_dispatch: {}
+
+jobs:
+  bump:
+    name: Update SDK versions and create PR
+    runs-on: ubuntu-latest
+
+    steps:
+      - name: Checkout repo
+        uses: actions/checkout@v4
+        with:
+          token: ${{ secrets.GITHUB_TOKEN }}
+          fetch-depth: 0
+
+      - name: Set up Python
+        uses: actions/setup-python@v5
+        with:
+          python-version: "3.x"
+
+      - name: Install Python dependencies for script
+        run: pip install requests
+
+      - name: Run update_versions.py
+        run: python scripts/update_versions.py
+
+      - name: Create Pull Request
+        uses: peter-evans/create-pull-request@v5
+        with:
+          token: ${{ secrets.GITHUB_TOKEN }}
+          commit-message: "chore: bump kernel sdk versions to latest"
+          title: "chore: nightly SDK version bump"
+          body: |
+            This PR updates Python `kernel` and TypeScript `@onkernel/sdk` version constraints to the latest published releases.
+          branch: "github-actions/nightly-sdk-bump"
+          signoff: false
+          delete-branch: true 
diff --git a/scripts/update_versions.py b/scripts/update_versions.py
new file mode 100644
index 0000000..e170399
--- /dev/null
+++ b/scripts/update_versions.py
@@ -0,0 +1,130 @@
+#!/usr/bin/env python3
+"""update_versions.py
+
+Fetch the latest released versions of:
+* PyPI package `kernel`
+* npm package `@onkernel/sdk`
+
+and update every version constraint inside:
+* templates/python/*/pyproject.toml  -> "kernel>=<latest>"
+* templates/typescript/*/package.json -> "@onkernel/sdk": ">=<latest>"
+
+If a file is modified, it is overwritten in-place. The script exits with code 0
+whether or not modifications were required. However, it prints a summary that is
+useful inside CI to decide if a commit is necessary.
+"""
+from __future__ import annotations
+
+import json
+import os
+import re
+import subprocess
+import sys
+from pathlib import Path
+from typing import List
+
+try:
+    import requests  # type: ignore
+except ImportError:
+    subprocess.check_call([sys.executable, "-m", "pip", "install", "requests"])
+    import requests  # type: ignore
+
+REPO_ROOT = Path(__file__).resolve().parent.parent
+PY_TEMPLATES_GLOB = REPO_ROOT / "templates" / "python" / "*" / "pyproject.toml"
+TS_TEMPLATES_GLOB = REPO_ROOT / "templates" / "typescript" / "*" / "package.json"
+
+
+# ---------------------------------------------------------------------------
+# Helpers to fetch latest versions
+# ---------------------------------------------------------------------------
+
+def _get_latest_pypi_version(package: str) -> str:
+    url = f"https://pypi.org/pypi/{package}/json"
+    resp = requests.get(url, timeout=10)
+    resp.raise_for_status()
+    data = resp.json()
+    return data["info"]["version"]
+
+
+def _get_latest_npm_version(package: str) -> str:
+    # NPM package names are url-encoded
+    import urllib.parse as _up
+
+    encoded = _up.quote(package, safe="")
+    url = f"https://registry.npmjs.org/{encoded}"
+    resp = requests.get(url, timeout=10)
+    resp.raise_for_status()
+    data = resp.json()
+    return data["dist-tags"]["latest"]
+
+
+# ---------------------------------------------------------------------------
+# Updaters
+# ---------------------------------------------------------------------------
+
+_KERN_DEP_REGEX = re.compile(r"(\"kernel)([^\"]*)(\")")
+
+
+def _update_pyproject(file_path: Path, new_version: str) -> bool:
+    """Return True if file changed."""
+    text = file_path.read_text()
+
+    # Replace any appearance like "kernel>=0.8.0", "kernel==0.5.0", "kernel~=0.7"
+    new_constraint = f'"kernel>={new_version}"'
+    new_text = re.sub(r'"kernel[<>=~!0-9.]*"', new_constraint, text)
+
+    if new_text != text:
+        file_path.write_text(new_text)
+        return True
+    return False
+
+
+def _update_package_json(file_path: Path, new_version: str) -> bool:
+    data = json.loads(file_path.read_text())
+    changed = False
+
+    for section in ("dependencies", "peerDependencies" , "devDependencies"):
+        deps = data.get(section)
+        if deps and "@onkernel/sdk" in deps:
+            if deps["@onkernel/sdk"] != f">={new_version}":
+                deps["@onkernel/sdk"] = f">={new_version}"
+                changed = True
+
+    if changed:
+        file_path.write_text(json.dumps(data, indent=2, ensure_ascii=False) + "\n")
+    return changed
+
+
+# ---------------------------------------------------------------------------
+# Main execution
+# ---------------------------------------------------------------------------
+
+def main() -> None:
+    latest_kernel = _get_latest_pypi_version("kernel")
+    latest_sdk = _get_latest_npm_version("@onkernel/sdk")
+
+    print(f"Latest kernel version on PyPI: {latest_kernel}")
+    print(f"Latest @onkernel/sdk version on npm: {latest_sdk}")
+
+    modified_files: List[Path] = []
+
+    # Python templates
+    for file_path in REPO_ROOT.glob("templates/python/*/pyproject.toml"):
+        if _update_pyproject(file_path, latest_kernel):
+            modified_files.append(file_path.relative_to(REPO_ROOT))
+
+    # Typescript templates
+    for file_path in REPO_ROOT.glob("templates/typescript/*/package.json"):
+        if _update_package_json(file_path, latest_sdk):
+            modified_files.append(file_path.relative_to(REPO_ROOT))
+
+    if modified_files:
+        print("Updated the following files:")
+        for p in modified_files:
+            print(f" - {p}")
+    else:
+        print("All template files already up-to-date. No changes made.")
+
+
+if __name__ == "__main__":
+    main() 
diff --git a/templates/python/advanced-sample/pyproject.toml b/templates/python/advanced-sample/pyproject.toml
index 7661088..ab0f60f 100644
--- a/templates/python/advanced-sample/pyproject.toml
+++ b/templates/python/advanced-sample/pyproject.toml
@@ -5,7 +5,7 @@ description = "Sample application implementing advanced Kernel configs"
 readme = "README.md"
 requires-python = ">=3.11"
 dependencies = [
-    "kernel>=0.6.0",
+    "kernel>=0.8.0",
     "playwright>=1.52.0"
 ]
 
diff --git a/templates/python/browser-use/pyproject.toml b/templates/python/browser-use/pyproject.toml
index 735d660..11d1ffe 100644
--- a/templates/python/browser-use/pyproject.toml
+++ b/templates/python/browser-use/pyproject.toml
@@ -6,6 +6,6 @@ readme = "README.md"
 requires-python = ">=3.11"
 dependencies = [
     "browser-use~=0.5.3",
-    "kernel>=0.7.1",
+    "kernel>=0.8.0",
     "pydantic>=2.10.6",
 ]
diff --git a/templates/python/cua/pyproject.toml b/templates/python/cua/pyproject.toml
index 5abc9a7..a8b1211 100644
--- a/templates/python/cua/pyproject.toml
+++ b/templates/python/cua/pyproject.toml
@@ -17,7 +17,7 @@ dependencies = [
     "idna==3.10",
     "jiter==0.10.0",
     "pillow==11.2.1",
-    "kernel>=0.6.0",
+    "kernel>=0.8.0",
     "playwright==1.52.0",
     "pydantic==2.11.7",
     "pydantic_core==2.33.2",
diff --git a/templates/python/sample-app/pyproject.toml b/templates/python/sample-app/pyproject.toml
index 9b16b02..90590e1 100644
--- a/templates/python/sample-app/pyproject.toml
+++ b/templates/python/sample-app/pyproject.toml
@@ -4,7 +4,7 @@ version = "0.1.0"
 description = "Kernel application template - Python"
 readme = "README.md"
 requires-python = ">=3.11"
-dependencies = ["kernel>=0.6.0", "playwright>=1.52.0"]
+dependencies = ["kernel>=0.8.0", "playwright>=1.52.0"]
 
 [dependency-groups]
 dev = ["mypy>=1.15.0"]
diff --git a/templates/typescript/advanced-sample/package.json b/templates/typescript/advanced-sample/package.json
index e94eaa2..846688c 100644
--- a/templates/typescript/advanced-sample/package.json
+++ b/templates/typescript/advanced-sample/package.json
@@ -7,7 +7,7 @@
       "typescript": "^5"
     },
     "dependencies": {
-      "@onkernel/sdk": "^0.6.0",
+      "@onkernel/sdk": ">=0.8.0",
       "playwright": "^1.52.0"
     }
   }
diff --git a/templates/typescript/computer-use/package.json b/templates/typescript/computer-use/package.json
index fa8b15e..5f475fb 100644
--- a/templates/typescript/computer-use/package.json
+++ b/templates/typescript/computer-use/package.json
@@ -7,7 +7,7 @@
     "typescript": "^5"
   },
   "dependencies": {
-    "@onkernel/sdk": "^0.6.0",
+    "@onkernel/sdk": ">=0.8.0",
     "playwright": "^1.52.0",
     "@anthropic-ai/sdk": "0.52.0",
     "luxon": "3.6.0"
diff --git a/templates/typescript/cua/package.json b/templates/typescript/cua/package.json
index dfbb715..405ac85 100644
--- a/templates/typescript/cua/package.json
+++ b/templates/typescript/cua/package.json
@@ -5,7 +5,7 @@
     "build": "tsc"
   },
   "dependencies": {
-    "@onkernel/sdk": "^0.6.0",
+    "@onkernel/sdk": ">=0.8.0",
     "dotenv": "^16.5.0",
     "openai": "^5.7.0",
     "playwright": "^1.53.0",
diff --git a/templates/typescript/sample-app/package.json b/templates/typescript/sample-app/package.json
index e94eaa2..846688c 100644
--- a/templates/typescript/sample-app/package.json
+++ b/templates/typescript/sample-app/package.json
@@ -7,7 +7,7 @@
       "typescript": "^5"
     },
     "dependencies": {
-      "@onkernel/sdk": "^0.6.0",
+      "@onkernel/sdk": ">=0.8.0",
       "playwright": "^1.52.0"
     }
   }
diff --git a/templates/typescript/stagehand/package.json b/templates/typescript/stagehand/package.json
index 81a3af5..0ca0cf0 100644
--- a/templates/typescript/stagehand/package.json
+++ b/templates/typescript/stagehand/package.json
@@ -8,7 +8,7 @@
     },
     "dependencies": {
         "@browserbasehq/stagehand": "^2.2.1",
-        "@onkernel/sdk": "^0.6.0",
+        "@onkernel/sdk": ">=0.8.0",
         "zod": "^3.25.7"
     }
 }