diff --git a/playground/SqlServerEndToEnd/SqlServerEndToEnd.AppHost/sql1.module.bicep b/playground/SqlServerEndToEnd/SqlServerEndToEnd.AppHost/sql1.module.bicep
index 7d58e001745..979d31e212f 100644
--- a/playground/SqlServerEndToEnd/SqlServerEndToEnd.AppHost/sql1.module.bicep
+++ b/playground/SqlServerEndToEnd/SqlServerEndToEnd.AppHost/sql1.module.bicep
@@ -35,7 +35,7 @@ resource sqlFirewallRule_AllowAllAzureIps 'Microsoft.Sql/servers/firewallRules@2
   parent: sql1
 }
 
-resource db1 'Microsoft.Sql/servers/databases@2021-11-01' = {
+resource db1 'Microsoft.Sql/servers/databases@2023-08-01' = {
   name: 'db1'
   location: location
   properties: {
diff --git a/playground/SqlServerEndToEnd/SqlServerEndToEnd.AppHost/sql2.module.bicep b/playground/SqlServerEndToEnd/SqlServerEndToEnd.AppHost/sql2.module.bicep
index ee00687f8f4..a239e49b47b 100644
--- a/playground/SqlServerEndToEnd/SqlServerEndToEnd.AppHost/sql2.module.bicep
+++ b/playground/SqlServerEndToEnd/SqlServerEndToEnd.AppHost/sql2.module.bicep
@@ -35,7 +35,7 @@ resource sqlFirewallRule_AllowAllAzureIps 'Microsoft.Sql/servers/firewallRules@2
   parent: sql2
 }
 
-resource db2 'Microsoft.Sql/servers/databases@2021-11-01' = {
+resource db2 'Microsoft.Sql/servers/databases@2023-08-01' = {
   name: 'db2'
   location: location
   properties: {
diff --git a/playground/SqlServerScript/AppHost1/mysqlserver.module.bicep b/playground/SqlServerScript/AppHost1/mysqlserver.module.bicep
index 533f983a2ba..062e31cadfc 100644
--- a/playground/SqlServerScript/AppHost1/mysqlserver.module.bicep
+++ b/playground/SqlServerScript/AppHost1/mysqlserver.module.bicep
@@ -35,7 +35,7 @@ resource sqlFirewallRule_AllowAllAzureIps 'Microsoft.Sql/servers/firewallRules@2
   parent: mysqlserver
 }
 
-resource todosdb 'Microsoft.Sql/servers/databases@2021-11-01' = {
+resource todosdb 'Microsoft.Sql/servers/databases@2023-08-01' = {
   name: 'todosdb'
   location: location
   properties: {
diff --git a/playground/bicep/BicepSample.AppHost/sql.module.bicep b/playground/bicep/BicepSample.AppHost/sql.module.bicep
index 2fb6daba3a5..eaefaa3abec 100644
--- a/playground/bicep/BicepSample.AppHost/sql.module.bicep
+++ b/playground/bicep/BicepSample.AppHost/sql.module.bicep
@@ -35,7 +35,7 @@ resource sqlFirewallRule_AllowAllAzureIps 'Microsoft.Sql/servers/firewallRules@2
   parent: sql
 }
 
-resource db 'Microsoft.Sql/servers/databases@2021-11-01' = {
+resource db 'Microsoft.Sql/servers/databases@2023-08-01' = {
   name: 'db'
   location: location
   properties: {
@@ -52,4 +52,4 @@ output sqlServerFqdn string = sql.properties.fullyQualifiedDomainName
 
 output name string = sql.name
 
-output sqlServerAdminName string = sqlServerAdminManagedIdentity.name
\ No newline at end of file
+output sqlServerAdminName string = sqlServerAdminManagedIdentity.name
diff --git a/playground/cdk/CdkSample.AppHost/sql.module.bicep b/playground/cdk/CdkSample.AppHost/sql.module.bicep
index bdba06f3874..05b889d71c6 100644
--- a/playground/cdk/CdkSample.AppHost/sql.module.bicep
+++ b/playground/cdk/CdkSample.AppHost/sql.module.bicep
@@ -35,7 +35,7 @@ resource sqlFirewallRule_AllowAllAzureIps 'Microsoft.Sql/servers/firewallRules@2
   parent: sql
 }
 
-resource sqldb 'Microsoft.Sql/servers/databases@2021-11-01' = {
+resource sqldb 'Microsoft.Sql/servers/databases@2023-08-01' = {
   name: 'sqldb'
   location: location
   properties: {
diff --git a/src/Aspire.Hosting.Azure.Sql/AzureSqlExtensions.cs b/src/Aspire.Hosting.Azure.Sql/AzureSqlExtensions.cs
index 900e6e7b243..5858120c320 100644
--- a/src/Aspire.Hosting.Azure.Sql/AzureSqlExtensions.cs
+++ b/src/Aspire.Hosting.Azure.Sql/AzureSqlExtensions.cs
@@ -252,7 +252,11 @@ private static void CreateSqlServer(
     private static SqlDatabase CreateAzureSQLDatabase(SqlServer sqlServer, string databaseKey, string databaseName)
     {
         var bicepIdentifier = Infrastructure.NormalizeBicepIdentifier(databaseKey);
-        var sqlDatabase = new SqlDatabase(bicepIdentifier)
+
+        // Force the api version to the one supporting the free SKU
+        // c.f. https://github.com/Azure/azure-sdk-for-net/issues/50281
+
+        var sqlDatabase = new SqlDatabase(bicepIdentifier, "2023-08-01")
         {
             Parent = sqlServer,
             Name = databaseName,
diff --git a/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureBicepResourceTests.AsAzureSqlDatabaseViaPublishMode.verified.bicep b/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureBicepResourceTests.AsAzureSqlDatabaseViaPublishMode.verified.bicep
index 900e2eeae22..c2a1b2266ed 100644
--- a/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureBicepResourceTests.AsAzureSqlDatabaseViaPublishMode.verified.bicep
+++ b/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureBicepResourceTests.AsAzureSqlDatabaseViaPublishMode.verified.bicep
@@ -1,4 +1,4 @@
-@description('The location for the resource(s) to be deployed.')
+@description('The location for the resource(s) to be deployed.')
 param location string = resourceGroup().location
 
 resource sqlServerAdminManagedIdentity 'Microsoft.ManagedIdentity/userAssignedIdentities@2023-01-31' = {
@@ -35,7 +35,7 @@ resource sqlFirewallRule_AllowAllAzureIps 'Microsoft.Sql/servers/firewallRules@2
   parent: sql
 }
 
-resource db 'Microsoft.Sql/servers/databases@2021-11-01' = {
+resource db 'Microsoft.Sql/servers/databases@2023-08-01' = {
   name: 'dbName'
   location: location
   parent: sql
diff --git a/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureBicepResourceTests.AsAzureSqlDatabaseViaRunMode.verified.bicep b/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureBicepResourceTests.AsAzureSqlDatabaseViaRunMode.verified.bicep
index 5488c292167..6d9fcc66e21 100644
--- a/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureBicepResourceTests.AsAzureSqlDatabaseViaRunMode.verified.bicep
+++ b/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureBicepResourceTests.AsAzureSqlDatabaseViaRunMode.verified.bicep
@@ -1,4 +1,4 @@
-@description('The location for the resource(s) to be deployed.')
+@description('The location for the resource(s) to be deployed.')
 param location string = resourceGroup().location
 
 resource sqlServerAdminManagedIdentity 'Microsoft.ManagedIdentity/userAssignedIdentities@2023-01-31' = {
@@ -44,7 +44,7 @@ resource sqlFirewallRule_AllowAllIps 'Microsoft.Sql/servers/firewallRules@2021-1
   parent: sql
 }
 
-resource db 'Microsoft.Sql/servers/databases@2021-11-01' = {
+resource db 'Microsoft.Sql/servers/databases@2023-08-01' = {
   name: 'dbName'
   location: location
   parent: sql
@@ -54,4 +54,4 @@ output sqlServerFqdn string = sql.properties.fullyQualifiedDomainName
 
 output name string = sql.name
 
-output sqlServerAdminName string = sqlServerAdminManagedIdentity.name
\ No newline at end of file
+output sqlServerAdminName string = sqlServerAdminManagedIdentity.name
diff --git a/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureContainerAppsTests.AddContainerAppEnvironmentWorksWithSqlServer.verified.bicep b/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureContainerAppsTests.AddContainerAppEnvironmentWorksWithSqlServer.verified.bicep
index fd8900dd1ef..46857d41b21 100644
--- a/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureContainerAppsTests.AddContainerAppEnvironmentWorksWithSqlServer.verified.bicep
+++ b/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureContainerAppsTests.AddContainerAppEnvironmentWorksWithSqlServer.verified.bicep
@@ -1,4 +1,4 @@
-@description('The location for the resource(s) to be deployed.')
+@description('The location for the resource(s) to be deployed.')
 param location string = resourceGroup().location
 
 resource sqlServerAdminManagedIdentity 'Microsoft.ManagedIdentity/userAssignedIdentities@2023-01-31' = {
@@ -35,7 +35,7 @@ resource sqlFirewallRule_AllowAllAzureIps 'Microsoft.Sql/servers/firewallRules@2
   parent: sql
 }
 
-resource db 'Microsoft.Sql/servers/databases@2021-11-01' = {
+resource db 'Microsoft.Sql/servers/databases@2023-08-01' = {
   name: 'db'
   location: location
   parent: sql
diff --git a/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureResourceOptionsTests.AzureResourceOptionsCanBeConfigured#01.verified.bicep b/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureResourceOptionsTests.AzureResourceOptionsCanBeConfigured#01.verified.bicep
index 61bcfa2a458..08bf3e3533b 100644
--- a/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureResourceOptionsTests.AzureResourceOptionsCanBeConfigured#01.verified.bicep
+++ b/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureResourceOptionsTests.AzureResourceOptionsCanBeConfigured#01.verified.bicep
@@ -1,4 +1,4 @@
-@description('The location for the resource(s) to be deployed.')
+@description('The location for the resource(s) to be deployed.')
 param location string = resourceGroup().location
 
 resource sqlServerAdminManagedIdentity 'Microsoft.ManagedIdentity/userAssignedIdentities@2023-01-31' = {
@@ -35,7 +35,7 @@ resource sqlFirewallRule_AllowAllAzureIps 'Microsoft.Sql/servers/firewallRules@2
   parent: sql_server
 }
 
-resource evadexdb 'Microsoft.Sql/servers/databases@2021-11-01' = {
+resource evadexdb 'Microsoft.Sql/servers/databases@2023-08-01' = {
   name: 'evadexdb'
   location: location
   parent: sql_server
diff --git a/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureSqlExtensionsTests.AddAzureSqlServer_publishMode=False_useAcaInfrastructure=False.verified.bicep b/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureSqlExtensionsTests.AddAzureSqlServer_publishMode=False_useAcaInfrastructure=False.verified.bicep
index 310f090fc69..a15be8792a0 100644
--- a/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureSqlExtensionsTests.AddAzureSqlServer_publishMode=False_useAcaInfrastructure=False.verified.bicep
+++ b/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureSqlExtensionsTests.AddAzureSqlServer_publishMode=False_useAcaInfrastructure=False.verified.bicep
@@ -44,7 +44,7 @@ resource sqlFirewallRule_AllowAllIps 'Microsoft.Sql/servers/firewallRules@2021-1
   parent: sql
 }
 
-resource db1 'Microsoft.Sql/servers/databases@2021-11-01' = {
+resource db1 'Microsoft.Sql/servers/databases@2023-08-01' = {
   name: 'db1'
   location: location
   properties: {
@@ -57,7 +57,7 @@ resource db1 'Microsoft.Sql/servers/databases@2021-11-01' = {
   parent: sql
 }
 
-resource db2 'Microsoft.Sql/servers/databases@2021-11-01' = {
+resource db2 'Microsoft.Sql/servers/databases@2023-08-01' = {
   name: 'db2Name'
   location: location
   properties: {
@@ -70,7 +70,7 @@ resource db2 'Microsoft.Sql/servers/databases@2021-11-01' = {
   parent: sql
 }
 
-resource db3 'Microsoft.Sql/servers/databases@2021-11-01' = {
+resource db3 'Microsoft.Sql/servers/databases@2023-08-01' = {
   name: 'db3Name'
   location: location
   parent: sql
@@ -80,4 +80,4 @@ output sqlServerFqdn string = sql.properties.fullyQualifiedDomainName
 
 output name string = sql.name
 
-output sqlServerAdminName string = sqlServerAdminManagedIdentity.name
\ No newline at end of file
+output sqlServerAdminName string = sqlServerAdminManagedIdentity.name
diff --git a/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureSqlExtensionsTests.AddAzureSqlServer_publishMode=False_useAcaInfrastructure=True.verified.bicep b/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureSqlExtensionsTests.AddAzureSqlServer_publishMode=False_useAcaInfrastructure=True.verified.bicep
index 310f090fc69..a15be8792a0 100644
--- a/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureSqlExtensionsTests.AddAzureSqlServer_publishMode=False_useAcaInfrastructure=True.verified.bicep
+++ b/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureSqlExtensionsTests.AddAzureSqlServer_publishMode=False_useAcaInfrastructure=True.verified.bicep
@@ -44,7 +44,7 @@ resource sqlFirewallRule_AllowAllIps 'Microsoft.Sql/servers/firewallRules@2021-1
   parent: sql
 }
 
-resource db1 'Microsoft.Sql/servers/databases@2021-11-01' = {
+resource db1 'Microsoft.Sql/servers/databases@2023-08-01' = {
   name: 'db1'
   location: location
   properties: {
@@ -57,7 +57,7 @@ resource db1 'Microsoft.Sql/servers/databases@2021-11-01' = {
   parent: sql
 }
 
-resource db2 'Microsoft.Sql/servers/databases@2021-11-01' = {
+resource db2 'Microsoft.Sql/servers/databases@2023-08-01' = {
   name: 'db2Name'
   location: location
   properties: {
@@ -70,7 +70,7 @@ resource db2 'Microsoft.Sql/servers/databases@2021-11-01' = {
   parent: sql
 }
 
-resource db3 'Microsoft.Sql/servers/databases@2021-11-01' = {
+resource db3 'Microsoft.Sql/servers/databases@2023-08-01' = {
   name: 'db3Name'
   location: location
   parent: sql
@@ -80,4 +80,4 @@ output sqlServerFqdn string = sql.properties.fullyQualifiedDomainName
 
 output name string = sql.name
 
-output sqlServerAdminName string = sqlServerAdminManagedIdentity.name
\ No newline at end of file
+output sqlServerAdminName string = sqlServerAdminManagedIdentity.name
diff --git a/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureSqlExtensionsTests.AddAzureSqlServer_publishMode=True_useAcaInfrastructure=False.verified.bicep b/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureSqlExtensionsTests.AddAzureSqlServer_publishMode=True_useAcaInfrastructure=False.verified.bicep
index c6cb55711f1..d9f03d03d10 100644
--- a/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureSqlExtensionsTests.AddAzureSqlServer_publishMode=True_useAcaInfrastructure=False.verified.bicep
+++ b/tests/Aspire.Hosting.Azure.Tests/Snapshots/AzureSqlExtensionsTests.AddAzureSqlServer_publishMode=True_useAcaInfrastructure=False.verified.bicep
@@ -35,7 +35,7 @@ resource sqlFirewallRule_AllowAllAzureIps 'Microsoft.Sql/servers/firewallRules@2
   parent: sql
 }
 
-resource db1 'Microsoft.Sql/servers/databases@2021-11-01' = {
+resource db1 'Microsoft.Sql/servers/databases@2023-08-01' = {
   name: 'db1'
   location: location
   properties: {
@@ -48,7 +48,7 @@ resource db1 'Microsoft.Sql/servers/databases@2021-11-01' = {
   parent: sql
 }
 
-resource db2 'Microsoft.Sql/servers/databases@2021-11-01' = {
+resource db2 'Microsoft.Sql/servers/databases@2023-08-01' = {
   name: 'db2Name'
   location: location
   properties: {
@@ -61,7 +61,7 @@ resource db2 'Microsoft.Sql/servers/databases@2021-11-01' = {
   parent: sql
 }
 
-resource db3 'Microsoft.Sql/servers/databases@2021-11-01' = {
+resource db3 'Microsoft.Sql/servers/databases@2023-08-01' = {
   name: 'db3Name'
   location: location
   parent: sql
@@ -71,4 +71,4 @@ output sqlServerFqdn string = sql.properties.fullyQualifiedDomainName
 
 output name string = sql.name
 
-output sqlServerAdminName string = sqlServerAdminManagedIdentity.name
\ No newline at end of file
+output sqlServerAdminName string = sqlServerAdminManagedIdentity.name