diff --git a/apps/vs-code-designer/src/app/utils/__test__/binaries.test.ts b/apps/vs-code-designer/src/app/utils/__test__/binaries.test.ts
index b904d0f8e99..97733354522 100644
--- a/apps/vs-code-designer/src/app/utils/__test__/binaries.test.ts
+++ b/apps/vs-code-designer/src/app/utils/__test__/binaries.test.ts
@@ -143,14 +143,14 @@ describe('binaries', () => {
       vscode.window.showErrorMessage = showErrorMessage;
 
       const result = await getLatestDotNetVersion(context, majorVersion);
-      expect(result).toBe(DependencyVersion.dotnet6);
+      expect(result).toBe(DependencyVersion.dotnet8);
       expect(showErrorMessage).toHaveBeenCalled();
     });
 
     it('should return fallback dotnet version when no major version is sent', async () => {
       const result = await getLatestDotNetVersion(context);
 
-      expect(result).toBe(DependencyVersion.dotnet6);
+      expect(result).toBe(DependencyVersion.dotnet8);
     });
   });
 
@@ -245,6 +245,17 @@ describe('binaries', () => {
       expect(showErrorMessage).toHaveBeenCalled();
     });
 
+    it('should return fallback nodejs version when requested version is not found in the list', async () => {
+      const response = [{ tag_name: 'v20.0.0' }, { tag_name: 'v18.0.0' }, { tag_name: 'v16.0.0' }];
+      (axios.get as any).mockResolvedValue({ data: response, status: 200 });
+
+      const result = await getLatestNodeJsVersion(context, '99');
+
+      expect(result).toBe(DependencyVersion.nodeJs);
+      expect(context.telemetry.properties.latestNodeJSVersion).toBe('fallback-no-match');
+      expect(context.telemetry.properties.errorLatestNodeJsVersion).toBe('No matching Node JS version found.');
+    });
+
     it('should return fallback nodejs version when no major version is sent', async () => {
       const result = await getLatestNodeJsVersion(context);
       expect(result).toBe(DependencyVersion.nodeJs);
diff --git a/apps/vs-code-designer/src/app/utils/azurite/activateAzurite.ts b/apps/vs-code-designer/src/app/utils/azurite/activateAzurite.ts
index 6986287b90d..6d82355dd78 100644
--- a/apps/vs-code-designer/src/app/utils/azurite/activateAzurite.ts
+++ b/apps/vs-code-designer/src/app/utils/azurite/activateAzurite.ts
@@ -86,10 +86,12 @@ export async function activateAzurite(context: IActionContext, projectPath?: str
       const isAzuriteRunning = await validateEmulatorIsRunning(context, projectPath, false);
 
       if (autoStartAzurite && !isAzuriteRunning) {
-        await updateWorkspaceSetting(azuriteLocationSetting, azuriteLocationExtSetting, projectPath, azuriteExtensionPrefix);
+        // Use the configured location, or default to the global default path
+        const azuriteLocation = azuriteLocationExtSetting || defaultAzuritePathValue;
+        await updateWorkspaceSetting(azuriteLocationSetting, azuriteLocation, projectPath, azuriteExtensionPrefix);
         await executeOnAzurite(context, extensionCommand.azureAzuriteStart);
         context.telemetry.properties.azuriteStart = 'true';
-        context.telemetry.properties.azuriteLocation = azuriteLocationExtSetting;
+        context.telemetry.properties.azuriteLocation = azuriteLocation;
       }
     }
   }
diff --git a/apps/vs-code-designer/src/app/utils/binaries.ts b/apps/vs-code-designer/src/app/utils/binaries.ts
index 63fb5fd759e..3a28fd3f88a 100644
--- a/apps/vs-code-designer/src/app/utils/binaries.ts
+++ b/apps/vs-code-designer/src/app/utils/binaries.ts
@@ -82,7 +82,7 @@ export async function downloadAndExtractDependency(
 
       // Extract to targetFolder
       if (dependencyName === dotnetDependencyName) {
-        const version = dotNetVersion ?? semver.major(DependencyVersion.dotnet6);
+        const version = dotNetVersion ?? semver.major(DependencyVersion.dotnet8);
         if (process.platform === Platform.windows) {
           await executeCommand(
             ext.outputChannel,
@@ -216,12 +216,12 @@ export async function getLatestDotNetVersion(context: IActionContext, majorVersi
       .catch((error) => {
         context.telemetry.properties.latestVersionSource = 'fallback';
         context.telemetry.properties.errorNewestDotNetVersion = `Error getting latest .NET SDK version: ${error}`;
-        return DependencyVersion.dotnet6;
+        return DependencyVersion.dotnet8;
       });
   }
 
   context.telemetry.properties.latestVersionSource = 'fallback';
-  return DependencyVersion.dotnet6;
+  return DependencyVersion.dotnet8;
 }
 
 export async function getLatestNodeJsVersion(context: IActionContext, majorVersion?: string): Promise<string> {
@@ -238,6 +238,9 @@ export async function getLatestNodeJsVersion(context: IActionContext, majorVersi
             return releaseVersion;
           }
         }
+        context.telemetry.properties.latestNodeJSVersion = 'fallback-no-match';
+        context.telemetry.properties.errorLatestNodeJsVersion = 'No matching Node JS version found.';
+        return DependencyVersion.nodeJs;
       })
       .catch((error) => {
         context.telemetry.properties.latestNodeJSVersion = 'fallback';
diff --git a/apps/vs-code-designer/src/constants.ts b/apps/vs-code-designer/src/constants.ts
index c0a7acc7a2f..2308ba5a281 100644
--- a/apps/vs-code-designer/src/constants.ts
+++ b/apps/vs-code-designer/src/constants.ts
@@ -98,7 +98,7 @@ export const azureWebJobsStorageKey = 'AzureWebJobsStorage';
 export const functionsInprocNet8Enabled = 'FUNCTIONS_INPROC_NET8_ENABLED';
 export const functionsInprocNet8EnabledTrue = '1';
 export const azureWebJobsSecretStorageTypeKey = 'AzureWebJobsSecretStorageType';
-export const workflowappRuntime = 'node|18';
+export const workflowappRuntime = 'node|20';
 export const viewOutput = localize('viewOutput', 'View Output');
 export const webhookRedirectHostUri = 'Workflows.WebhookRedirectHostUri';
 export const workflowAppAADClientId = 'WORKFLOWAPP_AAD_CLIENTID';
@@ -311,9 +311,9 @@ export const defaultDataMapperVersion = 2;
 
 // Fallback Dependency Versions
 export const DependencyVersion = {
-  dotnet6: '6.0.413',
+  dotnet8: '8.0.318',
   funcCoreTools: '4.0.7030',
-  nodeJs: '18.17.1',
+  nodeJs: '20.18.3',
 } as const;
 export type DependencyVersion = (typeof DependencyVersion)[keyof typeof DependencyVersion];
 
diff --git a/e2e/testSetup/BlankLogicApp/logicAppStandard.bicep b/e2e/testSetup/BlankLogicApp/logicAppStandard.bicep
index 7aa2a70a40f..933c3da5f93 100644
--- a/e2e/testSetup/BlankLogicApp/logicAppStandard.bicep
+++ b/e2e/testSetup/BlankLogicApp/logicAppStandard.bicep
@@ -60,7 +60,7 @@ resource appService 'Microsoft.Web/sites@2020-06-01' = {
         }
         {
           name: 'WEBSITE_NODE_DEFAULT_VERSION'
-          value: '~18'
+          value: '~20'
         }
         {
           name: 'AzureWebJobsStorage'