diff --git a/packages/jest/src/generators/configuration/configuration.spec.ts b/packages/jest/src/generators/configuration/configuration.spec.ts
index 4e894ac4f8c80..42e89d53c4255 100644
--- a/packages/jest/src/generators/configuration/configuration.spec.ts
+++ b/packages/jest/src/generators/configuration/configuration.spec.ts
@@ -5,6 +5,7 @@ import {
   Tree,
   updateProjectConfiguration,
   writeJson,
+  updateJson,
 } from '@nx/devkit';
 import { createTreeWithEmptyWorkspace } from '@nx/devkit/testing';
 import { jestConfigObject } from '../../utils/config/functions';
@@ -386,4 +387,62 @@ describe('jestProject', () => {
       `);
     });
   });
+
+  describe(`jest.preset.cjs`, () => {
+    it(`root jest.preset.cjs existing should force subsequent configs to point to it correctly`, async () => {
+      // ARRANGE
+      tree.write(
+        `jest.preset.cjs`,
+        `
+      const nxPreset = require('@nx/jest/preset').default;
+
+      module.exports = { ...nxPreset }`
+      );
+
+      // ACT
+      await configurationGenerator(tree, {
+        ...defaultOptions,
+        project: 'lib1',
+      } as JestProjectSchema);
+
+      // ASSERT
+      expect(tree.read('libs/lib1/jest.config.ts', 'utf-8'))
+        .toMatchInlineSnapshot(`
+        "/* eslint-disable */
+        export default {
+          displayName: 'lib1',
+          preset: '../../jest.preset.cjs',
+          coverageDirectory: '../../coverage/libs/lib1',
+        };
+        "
+      `);
+    });
+
+    it(`root package.json type=module should create jest.preset.cjs and force subsequent configs to point to it correctly`, async () => {
+      // ARRANGE
+      updateJson(tree, 'package.json', (pkgJson) => {
+        pkgJson.type = 'module';
+        return pkgJson;
+      });
+
+      // ACT
+      await configurationGenerator(tree, {
+        ...defaultOptions,
+        project: 'lib1',
+      } as JestProjectSchema);
+
+      // ASSERT
+      expect(tree.exists('jest.preset.cjs')).toBeTruthy();
+      expect(tree.read('libs/lib1/jest.config.ts', 'utf-8'))
+        .toMatchInlineSnapshot(`
+        "/* eslint-disable */
+        export default {
+          displayName: 'lib1',
+          preset: '../../jest.preset.cjs',
+          coverageDirectory: '../../coverage/libs/lib1',
+        };
+        "
+      `);
+    });
+  });
 });
diff --git a/packages/jest/src/generators/configuration/configuration.ts b/packages/jest/src/generators/configuration/configuration.ts
index 48fe321e4a12f..a786f6f9ed9ba 100644
--- a/packages/jest/src/generators/configuration/configuration.ts
+++ b/packages/jest/src/generators/configuration/configuration.ts
@@ -17,6 +17,7 @@ import {
 } from '@nx/devkit';
 import { initGenerator as jsInitGenerator } from '@nx/js';
 import { JestPluginOptions } from '../../plugins/plugin';
+import { isPresetCjs } from '../../utils/config/is-preset-cjs';
 
 const schemaDefaults = {
   setupFile: 'none',
@@ -84,9 +85,11 @@ export async function configurationGeneratorInternal(
     tasks.push(ensureDependencies(tree, options));
   }
 
-  await createJestConfig(tree, options);
+  const presetExt = isPresetCjs(tree) ? 'cjs' : 'js';
+
+  await createJestConfig(tree, options, presetExt);
   checkForTestTarget(tree, options);
-  createFiles(tree, options);
+  createFiles(tree, options, presetExt);
   updateTsConfig(tree, options);
   updateVsCodeRecommendedExtensions(tree);
 
diff --git a/packages/jest/src/generators/configuration/files-angular/jest.config.ts__tmpl__ b/packages/jest/src/generators/configuration/files-angular/jest.config.ts__tmpl__
index 1db519aa49ac3..f3945726987bf 100644
--- a/packages/jest/src/generators/configuration/files-angular/jest.config.ts__tmpl__
+++ b/packages/jest/src/generators/configuration/files-angular/jest.config.ts__tmpl__
@@ -1,7 +1,7 @@
 /* eslint-disable */
 <% if(js){ %>module.exports =<% } else{ %>export default<% } %> {
   displayName: '<%= project %>',
-  preset: '<%= offsetFromRoot %>jest.preset.js',
+  preset: '<%= offsetFromRoot %>jest.preset.<%= presetExt %>',
   setupFilesAfterEnv: ['<rootDir>/src/test-setup.ts'],<% if(testEnvironment) { %>
   testEnvironment: '<%= testEnvironment %>',<% } %>
   coverageDirectory: '<%= offsetFromRoot %>coverage/<%= projectRoot %>',
diff --git a/packages/jest/src/generators/configuration/files/jest.config.ts__tmpl__ b/packages/jest/src/generators/configuration/files/jest.config.ts__tmpl__
index bf46ea8d95518..af8daaf4cd3f2 100644
--- a/packages/jest/src/generators/configuration/files/jest.config.ts__tmpl__
+++ b/packages/jest/src/generators/configuration/files/jest.config.ts__tmpl__
@@ -1,7 +1,7 @@
 /* eslint-disable */
 <% if(js){ %>module.exports =<% } else{ %>export default<% } %> {
   displayName: '<%= project %>',
-  preset: '<%= offsetFromRoot %>jest.preset.js',<% if(setupFile !== 'none') { %>
+  preset: '<%= offsetFromRoot %>jest.preset.<%= presetExt %>',<% if(setupFile !== 'none') { %>
   setupFilesAfterEnv: ['<rootDir>/src/test-setup.ts'],<% } %><% if(testEnvironment) { %>
   testEnvironment: '<%= testEnvironment %>',<% } %><% if(skipSerializers){ %>
   transform: {
diff --git a/packages/jest/src/generators/configuration/lib/create-files.ts b/packages/jest/src/generators/configuration/lib/create-files.ts
index e9d4a03b3dadb..1a9a0b07aa1ab 100644
--- a/packages/jest/src/generators/configuration/lib/create-files.ts
+++ b/packages/jest/src/generators/configuration/lib/create-files.ts
@@ -7,7 +7,11 @@ import {
 import { join } from 'path';
 import { NormalizedJestProjectSchema } from '../schema';
 
-export function createFiles(tree: Tree, options: NormalizedJestProjectSchema) {
+export function createFiles(
+  tree: Tree,
+  options: NormalizedJestProjectSchema,
+  presetExt: 'cjs' | 'js'
+) {
   const projectConfig = readProjectConfiguration(tree, options.project);
 
   const filesFolder =
@@ -42,6 +46,7 @@ export function createFiles(tree: Tree, options: NormalizedJestProjectSchema) {
     rootProject: options.rootProject,
     projectRoot: options.rootProject ? options.project : projectConfig.root,
     offsetFromRoot: offsetFromRoot(projectConfig.root),
+    presetExt,
   });
 
   if (options.setupFile === 'none') {
diff --git a/packages/jest/src/generators/configuration/lib/create-jest-config.spec.ts b/packages/jest/src/generators/configuration/lib/create-jest-config.spec.ts
index c52f6481024d3..3646ecdc9933a 100644
--- a/packages/jest/src/generators/configuration/lib/create-jest-config.spec.ts
+++ b/packages/jest/src/generators/configuration/lib/create-jest-config.spec.ts
@@ -46,7 +46,7 @@ describe('createJestConfig', () => {
   });
 
   it('should generate files with --js flag', async () => {
-    await createJestConfig(tree, { js: true });
+    await createJestConfig(tree, { js: true }, 'js');
 
     expect(tree.exists('jest.config.js')).toBeTruthy();
     expect(
@@ -58,7 +58,7 @@ describe('createJestConfig', () => {
   });
 
   it('should generate files ', async () => {
-    await createJestConfig(tree, {});
+    await createJestConfig(tree, {}, 'js');
 
     expect(tree.exists('jest.config.ts')).toBeTruthy();
     expect(
@@ -92,13 +92,13 @@ export default {
 `;
     tree.write('jest.config.ts', expected);
 
-    await createJestConfig(tree, {});
+    await createJestConfig(tree, {}, 'js');
 
     expect(tree.read('jest.config.ts', 'utf-8')).toEqual(expected);
   });
 
   it('should make js jest files', async () => {
-    await createJestConfig(tree, { js: true });
+    await createJestConfig(tree, { js: true }, 'js');
 
     expect(tree.exists('jest.config.js')).toBeTruthy();
     expect(tree.exists('jest.preset.js')).toBeTruthy();
@@ -106,7 +106,7 @@ export default {
 
   describe('root project', () => {
     it('should not add a monorepo jest.config.ts  to the project', async () => {
-      await createJestConfig(tree, { rootProject: true });
+      await createJestConfig(tree, { rootProject: true }, 'js');
 
       expect(tree.exists('jest.config.ts')).toBeFalsy();
     });
@@ -143,7 +143,7 @@ export default {
 `
       );
 
-      await createJestConfig(tree, { rootProject: false });
+      await createJestConfig(tree, { rootProject: false }, 'js');
 
       expect(tree.exists('jest.config.app.ts')).toBeTruthy();
       expect(tree.read('jest.config.app.ts', 'utf-8')).toMatchInlineSnapshot(`
@@ -210,7 +210,7 @@ module.exports = {
 `
       );
 
-      await createJestConfig(tree, { js: true, rootProject: false });
+      await createJestConfig(tree, { js: true, rootProject: false }, 'js');
 
       expect(tree.exists('jest.config.app.js')).toBeTruthy();
       expect(tree.read('jest.config.js', 'utf-8'))
diff --git a/packages/jest/src/generators/configuration/lib/create-jest-config.ts b/packages/jest/src/generators/configuration/lib/create-jest-config.ts
index 0e2dc961bc298..fb19843f52f35 100644
--- a/packages/jest/src/generators/configuration/lib/create-jest-config.ts
+++ b/packages/jest/src/generators/configuration/lib/create-jest-config.ts
@@ -13,12 +13,13 @@ import type { NormalizedJestProjectSchema } from '../schema';
 
 export async function createJestConfig(
   tree: Tree,
-  options: Partial<NormalizedJestProjectSchema>
+  options: Partial<NormalizedJestProjectSchema>,
+  presetExt: 'cjs' | 'js'
 ) {
-  if (!tree.exists('jest.preset.js')) {
+  if (!tree.exists(`jest.preset.${presetExt}`)) {
     // preset is always js file.
     tree.write(
-      `jest.preset.js`,
+      `jest.preset.${presetExt}`,
       `
       const nxPreset = require('@nx/jest/preset').default;
 
diff --git a/packages/jest/src/generators/init/init.ts b/packages/jest/src/generators/init/init.ts
index 740155750a86e..48d77f8e8fa5d 100644
--- a/packages/jest/src/generators/init/init.ts
+++ b/packages/jest/src/generators/init/init.ts
@@ -11,6 +11,7 @@ import {
 import { updatePackageScripts } from '@nx/devkit/src/utils/update-package-scripts';
 import { createNodes } from '../../plugins/plugin';
 import { jestVersion, nxVersion } from '../../utils/versions';
+import { isPresetCjs } from '../../utils/config/is-preset-cjs';
 import type { JestInitSchema } from './schema';
 
 function addPlugin(tree: Tree) {
@@ -34,7 +35,7 @@ function addPlugin(tree: Tree) {
   updateNxJson(tree, nxJson);
 }
 
-function updateProductionFileSet(tree: Tree) {
+function updateProductionFileSet(tree: Tree, presetExt: 'cjs' | 'js') {
   const nxJson = readNxJson(tree);
 
   const productionFileSet = nxJson.namedInputs?.production;
@@ -59,7 +60,7 @@ function updateProductionFileSet(tree: Tree) {
   updateNxJson(tree, nxJson);
 }
 
-function addJestTargetDefaults(tree: Tree) {
+function addJestTargetDefaults(tree: Tree, presetEnv: 'cjs' | 'js') {
   const nxJson = readNxJson(tree);
 
   nxJson.targetDefaults ??= {};
@@ -72,7 +73,7 @@ function addJestTargetDefaults(tree: Tree) {
   nxJson.targetDefaults['@nx/jest:jest'].inputs ??= [
     'default',
     productionFileSet ? '^production' : '^default',
-    '{workspaceRoot}/jest.preset.js',
+    `{workspaceRoot}/jest.preset.${presetEnv}`,
   ];
 
   nxJson.targetDefaults['@nx/jest:jest'].options ??= {
@@ -111,12 +112,14 @@ export async function jestInitGeneratorInternal(
 ): Promise<GeneratorCallback> {
   options.addPlugin ??= process.env.NX_ADD_PLUGINS !== 'false';
 
-  if (!tree.exists('jest.preset.js')) {
-    updateProductionFileSet(tree);
+  const presetExt = isPresetCjs(tree) ? 'cjs' : 'js';
+
+  if (!tree.exists('jest.preset.js') && !tree.exists('jest.preset.cjs')) {
+    updateProductionFileSet(tree, presetExt);
     if (options.addPlugin) {
       addPlugin(tree);
     } else {
-      addJestTargetDefaults(tree);
+      addJestTargetDefaults(tree, presetExt);
     }
   }
 
diff --git a/packages/jest/src/utils/config/find-root-jest-files.ts b/packages/jest/src/utils/config/find-root-jest-files.ts
index 72a97a18e0d86..5b88608451982 100644
--- a/packages/jest/src/utils/config/find-root-jest-files.ts
+++ b/packages/jest/src/utils/config/find-root-jest-files.ts
@@ -17,5 +17,9 @@ export function findRootJestPreset(tree: Tree): string | null {
     return 'jest.preset.js';
   }
 
+  if (tree.exists('jest.preset.cjs')) {
+    return 'jest.preset.cjs';
+  }
+
   return null;
 }
diff --git a/packages/jest/src/utils/config/is-preset-cjs.ts b/packages/jest/src/utils/config/is-preset-cjs.ts
new file mode 100644
index 0000000000000..c1ba4752bf1e2
--- /dev/null
+++ b/packages/jest/src/utils/config/is-preset-cjs.ts
@@ -0,0 +1,14 @@
+import { type Tree, readJson } from '@nx/devkit';
+
+export function isPresetCjs(tree: Tree) {
+  if (tree.exists('jest.preset.cjs')) {
+    return true;
+  }
+
+  const rootPkgJson = readJson(tree, 'package.json');
+  if (rootPkgJson.type && rootPkgJson.type === 'module') {
+    return true;
+  }
+
+  return false;
+}