diff --git a/docs/JAEGER.md b/docs/JAEGER.md
index ce13bc1..79e6b96 100644
--- a/docs/JAEGER.md
+++ b/docs/JAEGER.md
@@ -56,7 +56,8 @@ curl -X POST https://app.roussev.com/items/v1/items \
 
 **Components:**
 - **Items Service**: Sends traces via OpenTelemetry Protocol (OTLP)
-- **Jaeger Collector**: Receives traces on port 4318 (HTTP) and 4317 (gRPC)
+- **Jaeger v2**: All-in-one binary that includes collector, query, and UI
+- **OTLP Receivers**: Receives traces on port 4318 (HTTP) and 4317 (gRPC)
 - **Jaeger UI**: Web interface for viewing and analyzing traces
 - **Storage**: In-memory (configurable to use Elasticsearch, Cassandra, etc.)
 
@@ -69,29 +70,27 @@ curl -X POST https://app.roussev.com/items/v1/items \
 Location: `infra/k8s/observability/jaeger-deployment.yaml`
 
 **Key settings:**
-- **Image**: `jaegertracing/all-in-one:1.52`
-- **Storage**: In-memory (stores up to 10,000 traces)
+- **Image**: `jaegertracing/jaeger:2.11.0` (Jaeger v2)
+- **Storage**: In-memory (default for all-in-one mode)
 - **Resources**: 512Mi-1Gi memory, 200m-500m CPU
-- **Base Path**: `/jaeger` (configured via `QUERY_BASE_PATH` env var)
+- **Base Path**: `/jaeger` (configured via command-line args)
 
 **Ports:**
 - `16686`: Jaeger UI
 - `4318`: OTLP HTTP collector
 - `4317`: OTLP gRPC collector
 
-**Environment Variables:**
+**Configuration (Jaeger v2):**
+Jaeger v2 uses command-line arguments instead of environment variables:
 ```yaml
-env:
-  - name: COLLECTOR_OTLP_ENABLED
-    value: "true"
-  - name: QUERY_BASE_PATH
-    value: "/jaeger"
-  - name: SPAN_STORAGE_TYPE
-    value: "memory"
-  - name: MEMORY_MAX_TRACES
-    value: "10000"
+args:
+  - "--set=receivers.otlp.protocols.grpc.endpoint=0.0.0.0:4317"
+  - "--set=receivers.otlp.protocols.http.endpoint=0.0.0.0:4318"
+  - "--set=extensions.jaeger_query.base_path=/jaeger"
 ```
 
+**Note:** Jaeger v2 uses the OpenTelemetry Collector configuration format. OTLP is enabled by default in all-in-one mode.
+
 ### Items Service Configuration
 
 Location: `infra/k8s/apps/items-service-deployment.yaml`
diff --git a/infra/k8s/local/jaeger-local.yaml b/infra/k8s/local/jaeger-local.yaml
index 5005825..cd177a7 100644
--- a/infra/k8s/local/jaeger-local.yaml
+++ b/infra/k8s/local/jaeger-local.yaml
@@ -43,7 +43,7 @@ spec:
     spec:
       containers:
         - name: jaeger
-          image: jaegertracing/all-in-one:latest
+          image: jaegertracing/jaeger:2.11.0
           ports:
             - containerPort: 16686
               name: jaeger-ui
@@ -51,9 +51,6 @@ spec:
               name: otlp-http
             - containerPort: 4317
               name: otlp-grpc
-          env:
-            - name: COLLECTOR_OTLP_ENABLED
-              value: "true"
           resources:
             requests:
               memory: "256Mi"
diff --git a/infra/k8s/observability/jaeger-deployment.yaml b/infra/k8s/observability/jaeger-deployment.yaml
index c3027ad..c183723 100644
--- a/infra/k8s/observability/jaeger-deployment.yaml
+++ b/infra/k8s/observability/jaeger-deployment.yaml
@@ -43,7 +43,11 @@ spec:
     spec:
       containers:
         - name: jaeger
-          image: jaegertracing/all-in-one:1.52
+          image: jaegertracing/jaeger:2.11.0
+          args:
+            - "--set=receivers.otlp.protocols.grpc.endpoint=0.0.0.0:4317"
+            - "--set=receivers.otlp.protocols.http.endpoint=0.0.0.0:4318"
+            - "--set=extensions.jaeger_query.base_path=/jaeger"
           ports:
             - containerPort: 16686
               name: jaeger-ui
@@ -51,17 +55,6 @@ spec:
               name: otlp-http
             - containerPort: 4317
               name: otlp-grpc
-          env:
-            - name: COLLECTOR_OTLP_ENABLED
-              value: "true"
-            # Configure Jaeger to work with /jaeger base path
-            - name: QUERY_BASE_PATH
-              value: "/jaeger"
-            # Memory storage settings (for production, consider using Elasticsearch or Cassandra)
-            - name: SPAN_STORAGE_TYPE
-              value: "memory"
-            - name: MEMORY_MAX_TRACES
-              value: "10000"
           resources:
             requests:
               memory: "512Mi"
@@ -71,13 +64,13 @@ spec:
               cpu: "500m"
           livenessProbe:
             httpGet:
-              path: /
+              path: /jaeger
               port: 16686
             initialDelaySeconds: 30
             periodSeconds: 10
           readinessProbe:
             httpGet:
-              path: /
+              path: /jaeger
               port: 16686
             initialDelaySeconds: 10
             periodSeconds: 5