diff --git a/docs/airflow3_compatibility/index.rst b/docs/airflow3_compatibility/index.rst
index f0e5d0e0af..5668e92939 100644
--- a/docs/airflow3_compatibility/index.rst
+++ b/docs/airflow3_compatibility/index.rst
@@ -4,6 +4,32 @@ Airflow 3 Compatibility (First Iteration)
 The Cosmos 1.10.0 release marks the **first iteration** of adding compatibility for `Apache Airflow® 3 <https://airflow.apache.org/>`_
 This is an important milestone as we work towards ensuring that Cosmos seamlessly integrates with the latest advancements in the Airflow ecosystem.
 
+Breaking changes
+----------------
+
+Airflow Asset (Dataset) URIs validation rules changed in Airflow 3.0.0 and OpenLineage URIs (standard used by Cosmos) are no longer valid in Airflow 3.
+
+Therefore, if using Cosmos with Airflow 3, the Airflow Dataset URIs will be changed to use backslashes instead of dots to separate the schema and table name.
+
+Example of Airflow 2 Cosmos Dataset URI:
+
+- postgres://0.0.0.0:5434/postgres.public.orders
+
+Example of Airflow 3 Cosmos Asset URI:
+
+- postgres://0.0.0.0:5434/postgres/public/orders
+
+
+If you want to use the Airflow 3 URI standard while still using Airflow 2, please set:
+
+```
+export AIRFLOW__COSMOS__USE_DATASET_AIRFLOW3_URI_STANDARD=1
+```
+
+.. warning::
+    Remember to update any DAGs that are triggered using Cosmos-generated datasets or aliases to the new URI format.
+
+
 What Works
 ----------
 
diff --git a/docs/configuration/cosmos-conf.rst b/docs/configuration/cosmos-conf.rst
index b055813f83..a3dcff0e02 100644
--- a/docs/configuration/cosmos-conf.rst
+++ b/docs/configuration/cosmos-conf.rst
@@ -178,6 +178,12 @@ This page lists all available Airflow configurations that affect ``astronomer-co
     - Default: ``True``
     - Environment Variable: ``AIRFLOW__COSMOS__ENABLE_TEARDOWN_ASYNC_TASK``
 
+`use_dataset_airflow3_uri_standard`_:
+    (Introduced in Cosmos 1.10.0): Changes Cosmos Dataset (Asset) URIs to be Airflow 3 compliant. Since this would be a breaking change, it is False by default in Cosmos 1.x.
+    - Default: ``False``
+    - Environment Variable: ``AIRFLOW__COSMOS__USE_DATASET_AIRFLOW3_URI_STANDARD``
+
+
 [openlineage]
 ~~~~~~~~~~~~~
 
diff --git a/docs/configuration/scheduling.rst b/docs/configuration/scheduling.rst
index 67ed1a10cb..da6ad9122b 100644
--- a/docs/configuration/scheduling.rst
+++ b/docs/configuration/scheduling.rst
@@ -132,6 +132,28 @@ From Cosmos 1.7 and Airflow 2.10, it is also possible to trigger DAGs be to be r
 Known Limitations
 .................
 
+Airflow 3.0 and beyond
+______________________
+
+Airflow Asset (Dataset) URIs validation rules changed in Airflow 3.0.0 and OpenLineage URIs (standard used by Cosmos) are no longer valid in Airflow 3.
+
+Therefore, if using Cosmos with Airflow 3, the Airflow Dataset URIs will be changed to use backslashes instead of dots to separate the schema and table name.
+
+Example of Airflow 2 Cosmos Dataset URI:
+- postgres://0.0.0.0:5434/postgres.public.orders
+
+Example of Airflow 3 Cosmos Asset URI:
+- postgres://0.0.0.0:5434/postgres/public/orders
+
+
+If you want to use the Airflow 3 URI standard while still using Airflow 2, please set:
+
+```
+export AIRFLOW__COSMOS__USE_DATASET_AIRFLOW3_URI_STANDARD=1
+```
+
+Remember to update any DAGs that are scheduled using this dataset.
+
 Airflow 2.9 and below
 _____________________
 
@@ -175,3 +197,5 @@ they can set this configuration to ``False``. It can also be set in the ``airflo
 
     [cosmos]
     enable_dataset_alias = False
+
+Starting in Airflow 3, Cosmos users no longer allowed to set ``AIRFLOW__COSMOS__ENABLE_DATASET_ALIAS`` to ``True``.