diff --git a/playground/AzureAppService/AzureAppService.AppHost/api.module.bicep b/playground/AzureAppService/AzureAppService.AppHost/api.module.bicep
index c5b1d87d429..aaa175d0bb7 100644
--- a/playground/AzureAppService/AzureAppService.AppHost/api.module.bicep
+++ b/playground/AzureAppService/AzureAppService.AppHost/api.module.bicep
@@ -26,6 +26,17 @@ param api_identity_outputs_id string
 
 param api_identity_outputs_clientid string
 
+resource mainContainer 'Microsoft.Web/sites/sitecontainers@2024-04-01' = {
+  name: 'main'
+  properties: {
+    authType: 'UserAssigned'
+    image: api_containerimage
+    isMain: true
+    userManagedIdentityClientId: infra_outputs_azure_container_registry_managed_identity_client_id
+  }
+  parent: webapp
+}
+
 resource webapp 'Microsoft.Web/sites@2024-04-01' = {
   name: take('${toLower('api')}-${uniqueString(resourceGroup().id)}', 60)
   location: location
@@ -33,7 +44,7 @@ resource webapp 'Microsoft.Web/sites@2024-04-01' = {
     serverFarmId: infra_outputs_planid
     keyVaultReferenceIdentity: api_identity_outputs_id
     siteConfig: {
-      linuxFxVersion: 'DOCKER|${api_containerimage}'
+      linuxFxVersion: 'SITECONTAINERS'
       acrUseManagedIdentityCreds: true
       acrUserManagedIdentityID: infra_outputs_azure_container_registry_managed_identity_client_id
       appSettings: [
diff --git a/playground/AzureAppService/AzureAppService.AppHost/infra.module.bicep b/playground/AzureAppService/AzureAppService.AppHost/infra.module.bicep
index 4cd6db10e5e..cfc3f265819 100644
--- a/playground/AzureAppService/AzureAppService.AppHost/infra.module.bicep
+++ b/playground/AzureAppService/AzureAppService.AppHost/infra.module.bicep
@@ -38,8 +38,8 @@ resource infra_asplan 'Microsoft.Web/serverfarms@2024-04-01' = {
   }
   kind: 'Linux'
   sku: {
-    name: 'B1'
-    tier: 'Basic'
+    name: 'P0V3'
+    tier: 'Premium'
   }
 }
 
diff --git a/src/Aspire.Hosting.Azure.AppService/AzureAppServiceEnvironmentExtensions.cs b/src/Aspire.Hosting.Azure.AppService/AzureAppServiceEnvironmentExtensions.cs
index 2bf9d108d1a..c9ad2dc78d5 100644
--- a/src/Aspire.Hosting.Azure.AppService/AzureAppServiceEnvironmentExtensions.cs
+++ b/src/Aspire.Hosting.Azure.AppService/AzureAppServiceEnvironmentExtensions.cs
@@ -86,8 +86,8 @@ public static IResourceBuilder<AzureAppServiceEnvironmentResource> AddAzureAppSe
             {
                 Sku = new AppServiceSkuDescription
                 {
-                    Name = "B1",
-                    Tier = "Basic"
+                    Name = "P0V3",
+                    Tier = "Premium"
                 },
                 Kind = "Linux",
                 IsReserved = true
diff --git a/src/Aspire.Hosting.Azure.AppService/AzureAppServiceWebsiteContext.cs b/src/Aspire.Hosting.Azure.AppService/AzureAppServiceWebsiteContext.cs
index 18c4b92c0fe..2021365f225 100644
--- a/src/Aspire.Hosting.Azure.AppService/AzureAppServiceWebsiteContext.cs
+++ b/src/Aspire.Hosting.Azure.AppService/AzureAppServiceWebsiteContext.cs
@@ -212,9 +212,10 @@ public void BuildWebSite(AzureResourceInfrastructure infra)
             // Use the host name as the name of the web app
             Name = HostName,
             AppServicePlanId = appServicePlanParameter,
+            // Creating the app service with new sidecar configuration
             SiteConfig = new SiteConfigProperties()
             {
-                LinuxFxVersion = BicepFunction.Interpolate($"DOCKER|{containerImage}"),
+                LinuxFxVersion = "SITECONTAINERS",
                 AcrUserManagedIdentityId = acrClientIdParameter,
                 UseManagedIdentityCreds = true,
                 AppSettings = []
@@ -226,6 +227,19 @@ public void BuildWebSite(AzureResourceInfrastructure infra)
             },
         };
 
+        // Defining the main container for the app service
+        var mainContainer = new SiteContainer("mainContainer")
+        {
+            Parent = webSite,
+            Name = "main",
+            Image = containerImage,
+            AuthType = SiteContainerAuthType.UserAssigned,
+            UserManagedIdentityClientId = acrClientIdParameter,
+            IsMain = true
+        };
+
+        infra.Add(mainContainer);
+
         foreach (var kv in EnvironmentVariables)
         {
             var (val, secretType) = ProcessValue(kv.Value);
diff --git a/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureAppServiceTests.AddContainerAppEnvironmentAddsDeploymentTargetWithContainerAppToProjectResources.verified.bicep b/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureAppServiceTests.AddContainerAppEnvironmentAddsDeploymentTargetWithContainerAppToProjectResources.verified.bicep
index ab46365a6f2..2ddd65a51ff 100644
--- a/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureAppServiceTests.AddContainerAppEnvironmentAddsDeploymentTargetWithContainerAppToProjectResources.verified.bicep
+++ b/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureAppServiceTests.AddContainerAppEnvironmentAddsDeploymentTargetWithContainerAppToProjectResources.verified.bicep
@@ -13,13 +13,24 @@ param api_containerimage string
 
 param api_containerport string
 
+resource mainContainer 'Microsoft.Web/sites/sitecontainers@2024-04-01' = {
+  name: 'main'
+  properties: {
+    authType: 'UserAssigned'
+    image: api_containerimage
+    isMain: true
+    userManagedIdentityClientId: env_outputs_azure_container_registry_managed_identity_client_id
+  }
+  parent: webapp
+}
+
 resource webapp 'Microsoft.Web/sites@2024-04-01' = {
   name: take('${toLower('api')}-${uniqueString(resourceGroup().id)}', 60)
   location: location
   properties: {
     serverFarmId: env_outputs_planid
     siteConfig: {
-      linuxFxVersion: 'DOCKER|${api_containerimage}'
+      linuxFxVersion: 'SITECONTAINERS'
       acrUseManagedIdentityCreds: true
       acrUserManagedIdentityID: env_outputs_azure_container_registry_managed_identity_client_id
       appSettings: [
diff --git a/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureAppServiceTests.AddContainerAppEnvironmentAddsEnvironmentResource.verified.bicep b/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureAppServiceTests.AddContainerAppEnvironmentAddsEnvironmentResource.verified.bicep
index b1f6b0e63e9..5bc76334a8a 100644
--- a/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureAppServiceTests.AddContainerAppEnvironmentAddsEnvironmentResource.verified.bicep
+++ b/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureAppServiceTests.AddContainerAppEnvironmentAddsEnvironmentResource.verified.bicep
@@ -38,8 +38,8 @@ resource env_asplan 'Microsoft.Web/serverfarms@2024-04-01' = {
   }
   kind: 'Linux'
   sku: {
-    name: 'B1'
-    tier: 'Basic'
+    name: 'P0V3'
+    tier: 'Premium'
   }
 }
 
@@ -51,4 +51,4 @@ output AZURE_CONTAINER_REGISTRY_ENDPOINT string = env_acr.properties.loginServer
 
 output AZURE_CONTAINER_REGISTRY_MANAGED_IDENTITY_ID string = env_mi.id
 
-output AZURE_CONTAINER_REGISTRY_MANAGED_IDENTITY_CLIENT_ID string = env_mi.properties.clientId
+output AZURE_CONTAINER_REGISTRY_MANAGED_IDENTITY_CLIENT_ID string = env_mi.properties.clientId
\ No newline at end of file
diff --git a/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureAppServiceTests.EndpointReferencesAreResolvedAcrossProjects.verified.bicep b/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureAppServiceTests.EndpointReferencesAreResolvedAcrossProjects.verified.bicep
index 24905dcea9f..4cb9011e459 100644
--- a/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureAppServiceTests.EndpointReferencesAreResolvedAcrossProjects.verified.bicep
+++ b/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureAppServiceTests.EndpointReferencesAreResolvedAcrossProjects.verified.bicep
@@ -13,13 +13,24 @@ param project2_containerimage string
 
 param project2_containerport string
 
+resource mainContainer 'Microsoft.Web/sites/sitecontainers@2024-04-01' = {
+  name: 'main'
+  properties: {
+    authType: 'UserAssigned'
+    image: project2_containerimage
+    isMain: true
+    userManagedIdentityClientId: env_outputs_azure_container_registry_managed_identity_client_id
+  }
+  parent: webapp
+}
+
 resource webapp 'Microsoft.Web/sites@2024-04-01' = {
   name: take('${toLower('project2')}-${uniqueString(resourceGroup().id)}', 60)
   location: location
   properties: {
     serverFarmId: env_outputs_planid
     siteConfig: {
-      linuxFxVersion: 'DOCKER|${project2_containerimage}'
+      linuxFxVersion: 'SITECONTAINERS'
       acrUseManagedIdentityCreds: true
       acrUserManagedIdentityID: env_outputs_azure_container_registry_managed_identity_client_id
       appSettings: [
diff --git a/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureAppServiceTests.KeyvaultReferenceHandling.verified.bicep b/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureAppServiceTests.KeyvaultReferenceHandling.verified.bicep
index c1446f9b50b..bdd164765cd 100644
--- a/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureAppServiceTests.KeyvaultReferenceHandling.verified.bicep
+++ b/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureAppServiceTests.KeyvaultReferenceHandling.verified.bicep
@@ -17,6 +17,17 @@ param api_identity_outputs_id string
 
 param api_identity_outputs_clientid string
 
+resource mainContainer 'Microsoft.Web/sites/sitecontainers@2024-04-01' = {
+  name: 'main'
+  properties: {
+    authType: 'UserAssigned'
+    image: api_containerimage
+    isMain: true
+    userManagedIdentityClientId: env_outputs_azure_container_registry_managed_identity_client_id
+  }
+  parent: webapp
+}
+
 resource mydb_kv_outputs_name_kv 'Microsoft.KeyVault/vaults@2023-07-01' existing = {
   name: mydb_kv_outputs_name
 }
@@ -33,7 +44,7 @@ resource webapp 'Microsoft.Web/sites@2024-04-01' = {
     serverFarmId: env_outputs_planid
     keyVaultReferenceIdentity: api_identity_outputs_id
     siteConfig: {
-      linuxFxVersion: 'DOCKER|${api_containerimage}'
+      linuxFxVersion: 'SITECONTAINERS'
       acrUseManagedIdentityCreds: true
       acrUserManagedIdentityID: env_outputs_azure_container_registry_managed_identity_client_id
       appSettings: [