diff --git a/azure-pipelines-ci.yml b/azure-pipelines-ci.yml
index ce7f16a3d0c..5bd732a3d15 100644
--- a/azure-pipelines-ci.yml
+++ b/azure-pipelines-ci.yml
@@ -27,7 +27,7 @@ extends:
         os: windows  # OS of the image. Allowed values: windows, linux, macOS
     containers:
       playwright_container:
-        image: mcr.microsoft.com/playwright:v1.47.2-noble
+        image: mcr.microsoft.com/playwright:v1.49.0-noble
     stages:
     - stage: Stage
       jobs:
diff --git a/change/@microsoft-fast-ssr-45005c89-fa17-44c9-b1ec-ef76c42e269e.json b/change/@microsoft-fast-ssr-45005c89-fa17-44c9-b1ec-ef76c42e269e.json
new file mode 100644
index 00000000000..bc971f75bd4
--- /dev/null
+++ b/change/@microsoft-fast-ssr-45005c89-fa17-44c9-b1ec-ef76c42e269e.json
@@ -0,0 +1,7 @@
+{
+  "type": "none",
+  "comment": "Update playwright image and dependency to latest",
+  "packageName": "@microsoft/fast-ssr",
+  "email": "7559015+janechu@users.noreply.github.com",
+  "dependentChangeType": "none"
+}
diff --git a/package-lock.json b/package-lock.json
index d5292382600..80ad2735e29 100644
--- a/package-lock.json
+++ b/package-lock.json
@@ -4759,12 +4759,13 @@
       }
     },
     "node_modules/@playwright/test": {
-      "version": "1.45.0",
-      "resolved": "https://registry.npmjs.org/@playwright/test/-/test-1.45.0.tgz",
-      "integrity": "sha512-TVYsfMlGAaxeUllNkywbwek67Ncf8FRGn8ZlRdO291OL3NjG9oMbfVhyP82HQF0CZLMrYsvesqoUekxdWuF9Qw==",
+      "version": "1.49.0",
+      "resolved": "https://registry.npmjs.org/@playwright/test/-/test-1.49.0.tgz",
+      "integrity": "sha512-DMulbwQURa8rNIQrf94+jPJQ4FmOVdpE5ZppRNvWVjvhC+6sOeo28r8MgIpQRYouXRtt/FCCXU7zn20jnHR4Qw==",
       "dev": true,
+      "license": "Apache-2.0",
       "dependencies": {
-        "playwright": "1.45.0"
+        "playwright": "1.49.0"
       },
       "bin": {
         "playwright": "cli.js"
@@ -23846,12 +23847,13 @@
       }
     },
     "node_modules/playwright": {
-      "version": "1.45.0",
-      "resolved": "https://registry.npmjs.org/playwright/-/playwright-1.45.0.tgz",
-      "integrity": "sha512-4z3ac3plDfYzGB6r0Q3LF8POPR20Z8D0aXcxbJvmfMgSSq1hkcgvFRXJk9rUq5H/MJ0Ktal869hhOdI/zUTeLA==",
+      "version": "1.49.0",
+      "resolved": "https://registry.npmjs.org/playwright/-/playwright-1.49.0.tgz",
+      "integrity": "sha512-eKpmys0UFDnfNb3vfsf8Vx2LEOtflgRebl0Im2eQQnYMA4Aqd+Zw8bEOB+7ZKvN76901mRnqdsiOGKxzVTbi7A==",
       "dev": true,
+      "license": "Apache-2.0",
       "dependencies": {
-        "playwright-core": "1.45.0"
+        "playwright-core": "1.49.0"
       },
       "bin": {
         "playwright": "cli.js"
@@ -23864,10 +23866,11 @@
       }
     },
     "node_modules/playwright-core": {
-      "version": "1.45.0",
-      "resolved": "https://registry.npmjs.org/playwright-core/-/playwright-core-1.45.0.tgz",
-      "integrity": "sha512-lZmHlFQ0VYSpAs43dRq1/nJ9G/6SiTI7VPqidld9TDefL9tX87bTKExWZZUF5PeRyqtXqd8fQi2qmfIedkwsNQ==",
+      "version": "1.49.0",
+      "resolved": "https://registry.npmjs.org/playwright-core/-/playwright-core-1.49.0.tgz",
+      "integrity": "sha512-R+3KKTQF3npy5GTiKH/T+kdhoJfJojjHESR1YEWhYuEKRVfVaxH3+4+GvXE5xyCngCxhxnykk0Vlah9v8fs3jA==",
       "dev": true,
+      "license": "Apache-2.0",
       "bin": {
         "playwright-core": "cli.js"
       },
@@ -23881,6 +23884,7 @@
       "integrity": "sha512-xiqMQR4xAeHTuB9uWm+fFRcIOgKBMiOBP+eXiyT7jsgVCq1bkVygt00oASowB7EdtpOHaaPgKt812P9ab+DDKA==",
       "dev": true,
       "hasInstallScript": true,
+      "license": "MIT",
       "optional": true,
       "os": [
         "darwin"
@@ -31137,7 +31141,7 @@
         "@microsoft/api-extractor": "^7.47.0",
         "@microsoft/fast-element": "^2.0.0",
         "@microsoft/fast-foundation": "^3.0.0-alpha.33",
-        "@playwright/test": "^1.41.2",
+        "@playwright/test": "^1.49.0",
         "@types/express": "^4.17.21",
         "@types/node": "^17.0.17",
         "express": "^4.19.2",
diff --git a/packages/web-components/fast-ssr/package.json b/packages/web-components/fast-ssr/package.json
index 08f1bff4620..3c898713c0a 100644
--- a/packages/web-components/fast-ssr/package.json
+++ b/packages/web-components/fast-ssr/package.json
@@ -59,10 +59,10 @@
     "@microsoft/fast-element": "^2.0.0"
   },
   "devDependencies": {
+    "@microsoft/api-extractor": "^7.47.0",
     "@microsoft/fast-element": "^2.0.0",
     "@microsoft/fast-foundation": "^3.0.0-alpha.33",
-    "@microsoft/api-extractor": "^7.47.0",
-    "@playwright/test": "^1.41.2",
+    "@playwright/test": "^1.49.0",
     "@types/express": "^4.17.21",
     "@types/node": "^17.0.17",
     "express": "^4.19.2",