diff --git a/docs/generated/packages/cypress/generators/configuration.json b/docs/generated/packages/cypress/generators/configuration.json
index 230ad5fc04851..40b13c1e1fa3f 100644
--- a/docs/generated/packages/cypress/generators/configuration.json
+++ b/docs/generated/packages/cypress/generators/configuration.json
@@ -43,8 +43,8 @@
       "linter": {
         "description": "The tool to use for running lint checks.",
         "type": "string",
-        "enum": ["eslint", "none"],
-        "default": "eslint"
+        "enum": ["none", "eslint"],
+        "x-priority": "important"
       },
       "js": {
         "description": "Generate JavaScript files rather than TypeScript files.",
diff --git a/packages/angular/src/generators/cypress-component-configuration/__snapshots__/cypress-component-configuration.spec.ts.snap b/packages/angular/src/generators/cypress-component-configuration/__snapshots__/cypress-component-configuration.spec.ts.snap
index 4c0d2464becfc..3d1e8a58be136 100644
--- a/packages/angular/src/generators/cypress-component-configuration/__snapshots__/cypress-component-configuration.spec.ts.snap
+++ b/packages/angular/src/generators/cypress-component-configuration/__snapshots__/cypress-component-configuration.spec.ts.snap
@@ -22,7 +22,7 @@ import './commands';
 
 // add component testing only related command here, such as mount
 declare global {
-// eslint-disable-next-line @typescript-eslint/no-namespace
+  // eslint-disable-next-line @typescript-eslint/no-namespace
   namespace Cypress {
     // eslint-disable-next-line @typescript-eslint/no-unused-vars
     interface Chainable<Subject> {
diff --git a/packages/cypress/plugins/cypress-preset.ts b/packages/cypress/plugins/cypress-preset.ts
index 086273d666e3b..7ec404862aa13 100644
--- a/packages/cypress/plugins/cypress-preset.ts
+++ b/packages/cypress/plugins/cypress-preset.ts
@@ -1,14 +1,13 @@
 import { workspaceRoot } from '@nx/devkit';
-import { dirname, join, relative } from 'path';
-import { lstatSync } from 'fs';
-
-import vitePreprocessor from '../src/plugins/preprocessor-vite';
-import { NX_PLUGIN_OPTIONS } from '../src/utils/constants';
-
+import { isUsingTsSolutionSetup } from '@nx/js/src/utils/typescript/ts-solution-setup';
 import { execSync, spawn } from 'child_process';
+import { lstatSync } from 'fs';
 import { request as httpRequest } from 'http';
 import { request as httpsRequest } from 'https';
+import { dirname, join, relative } from 'path';
 import type { InlineConfig } from 'vite';
+import vitePreprocessor from '../src/plugins/preprocessor-vite';
+import { NX_PLUGIN_OPTIONS } from '../src/utils/constants';
 
 // Importing the cypress type here causes the angular and next unit
 // tests to fail when transpiling, it seems like the cypress types are
@@ -54,14 +53,13 @@ export function nxBaseCypressPreset(
     : dirname(pathToConfig);
   const projectPath = relative(workspaceRoot, normalizedPath);
   const offset = relative(normalizedPath, workspaceRoot);
-  const videosFolder = join(offset, 'dist', 'cypress', projectPath, 'videos');
-  const screenshotsFolder = join(
-    offset,
-    'dist',
-    'cypress',
-    projectPath,
-    'screenshots'
-  );
+  const isTsSolutionSetup = isUsingTsSolutionSetup();
+  const videosFolder = isTsSolutionSetup
+    ? join('test-output', 'cypress', 'videos')
+    : join(offset, 'dist', 'cypress', projectPath, 'videos');
+  const screenshotsFolder = isTsSolutionSetup
+    ? join('test-output', 'cypress', 'screenshots')
+    : join(offset, 'dist', 'cypress', projectPath, 'screenshots');
 
   return {
     videosFolder,
diff --git a/packages/cypress/src/generators/base-setup/base-setup.ts b/packages/cypress/src/generators/base-setup/base-setup.ts
index 35357f3d6dd40..d41cc62e3abc7 100644
--- a/packages/cypress/src/generators/base-setup/base-setup.ts
+++ b/packages/cypress/src/generators/base-setup/base-setup.ts
@@ -4,11 +4,12 @@ import {
   generateFiles,
   joinPathFragments,
   offsetFromRoot,
+  readJson,
   readProjectConfiguration,
   updateJson,
-  readJson,
 } from '@nx/devkit';
 import { getRelativePathToRootTsConfig } from '@nx/js';
+import { isUsingTsSolutionSetup } from '@nx/js/src/utils/typescript/ts-solution-setup';
 import { join } from 'path';
 
 export interface CypressBaseSetupSchema {
@@ -44,6 +45,7 @@ export function addBaseCypressSetup(
     tsConfigPath: opts.hasTsConfig
       ? `${opts.offsetFromProjectRoot}tsconfig.json`
       : getRelativePathToRootTsConfig(tree, projectConfig.root),
+    linter: isEslintInstalled(tree) ? 'eslint' : 'none',
     ext: '',
   };
 
@@ -54,6 +56,15 @@ export function addBaseCypressSetup(
     templateVars
   );
 
+  generateFiles(
+    tree,
+    isUsingTsSolutionSetup(tree)
+      ? join(__dirname, 'files/tsconfig/ts-solution')
+      : join(__dirname, 'files/tsconfig/non-ts-solution'),
+    projectConfig.root,
+    templateVars
+  );
+
   if (options.js) {
     if (isEsmProject(tree, projectConfig.root)) {
       generateFiles(
@@ -144,3 +155,8 @@ function isEsmProject(tree: Tree, projectRoot: string) {
   }
   return packageJson.type === 'module';
 }
+
+function isEslintInstalled(tree: Tree): boolean {
+  const { dependencies, devDependencies } = readJson(tree, 'package.json');
+  return !!(dependencies?.eslint || devDependencies?.eslint);
+}
diff --git a/packages/cypress/src/generators/base-setup/files/common/__directory__/support/commands.ts__ext__ b/packages/cypress/src/generators/base-setup/files/common/__directory__/support/commands.ts__ext__
index 699d750ffd313..a8c9e67f2f59c 100644
--- a/packages/cypress/src/generators/base-setup/files/common/__directory__/support/commands.ts__ext__
+++ b/packages/cypress/src/generators/base-setup/files/common/__directory__/support/commands.ts__ext__
@@ -10,11 +10,13 @@
 // https://on.cypress.io/custom-commands
 // ***********************************************
 
-// eslint-disable-next-line @typescript-eslint/no-namespace
-declare namespace Cypress { 
-  // eslint-disable-next-line @typescript-eslint/no-unused-vars
-  interface Chainable<Subject> {
-    login(email: string, password: string): void;
+declare global {<% if (linter === 'eslint') { %>
+  // eslint-disable-next-line @typescript-eslint/no-namespace<% } %>
+  namespace Cypress {<% if (linter === 'eslint') { %>
+    // eslint-disable-next-line @typescript-eslint/no-unused-vars<% } %>
+    interface Chainable<Subject> {
+      login(email: string, password: string): void;
+    }
   }
 }
 
diff --git a/packages/cypress/src/generators/base-setup/files/config-js-cjs/__directory__/support/commands.js__ext__ b/packages/cypress/src/generators/base-setup/files/config-js-cjs/__directory__/support/commands.js__ext__
index 699d750ffd313..a8c9e67f2f59c 100644
--- a/packages/cypress/src/generators/base-setup/files/config-js-cjs/__directory__/support/commands.js__ext__
+++ b/packages/cypress/src/generators/base-setup/files/config-js-cjs/__directory__/support/commands.js__ext__
@@ -10,11 +10,13 @@
 // https://on.cypress.io/custom-commands
 // ***********************************************
 
-// eslint-disable-next-line @typescript-eslint/no-namespace
-declare namespace Cypress { 
-  // eslint-disable-next-line @typescript-eslint/no-unused-vars
-  interface Chainable<Subject> {
-    login(email: string, password: string): void;
+declare global {<% if (linter === 'eslint') { %>
+  // eslint-disable-next-line @typescript-eslint/no-namespace<% } %>
+  namespace Cypress {<% if (linter === 'eslint') { %>
+    // eslint-disable-next-line @typescript-eslint/no-unused-vars<% } %>
+    interface Chainable<Subject> {
+      login(email: string, password: string): void;
+    }
   }
 }
 
diff --git a/packages/cypress/src/generators/base-setup/files/config-js-esm/__directory__/support/commands.js__ext__ b/packages/cypress/src/generators/base-setup/files/config-js-esm/__directory__/support/commands.js__ext__
index 699d750ffd313..a8c9e67f2f59c 100644
--- a/packages/cypress/src/generators/base-setup/files/config-js-esm/__directory__/support/commands.js__ext__
+++ b/packages/cypress/src/generators/base-setup/files/config-js-esm/__directory__/support/commands.js__ext__
@@ -10,11 +10,13 @@
 // https://on.cypress.io/custom-commands
 // ***********************************************
 
-// eslint-disable-next-line @typescript-eslint/no-namespace
-declare namespace Cypress { 
-  // eslint-disable-next-line @typescript-eslint/no-unused-vars
-  interface Chainable<Subject> {
-    login(email: string, password: string): void;
+declare global {<% if (linter === 'eslint') { %>
+  // eslint-disable-next-line @typescript-eslint/no-namespace<% } %>
+  namespace Cypress {<% if (linter === 'eslint') { %>
+    // eslint-disable-next-line @typescript-eslint/no-unused-vars<% } %>
+    interface Chainable<Subject> {
+      login(email: string, password: string): void;
+    }
   }
 }
 
diff --git a/packages/cypress/src/generators/base-setup/files/config-ts/__directory__/support/commands.ts__ext__ b/packages/cypress/src/generators/base-setup/files/config-ts/__directory__/support/commands.ts__ext__
index 699d750ffd313..a8c9e67f2f59c 100644
--- a/packages/cypress/src/generators/base-setup/files/config-ts/__directory__/support/commands.ts__ext__
+++ b/packages/cypress/src/generators/base-setup/files/config-ts/__directory__/support/commands.ts__ext__
@@ -10,11 +10,13 @@
 // https://on.cypress.io/custom-commands
 // ***********************************************
 
-// eslint-disable-next-line @typescript-eslint/no-namespace
-declare namespace Cypress { 
-  // eslint-disable-next-line @typescript-eslint/no-unused-vars
-  interface Chainable<Subject> {
-    login(email: string, password: string): void;
+declare global {<% if (linter === 'eslint') { %>
+  // eslint-disable-next-line @typescript-eslint/no-namespace<% } %>
+  namespace Cypress {<% if (linter === 'eslint') { %>
+    // eslint-disable-next-line @typescript-eslint/no-unused-vars<% } %>
+    interface Chainable<Subject> {
+      login(email: string, password: string): void;
+    }
   }
 }
 
diff --git a/packages/cypress/src/generators/base-setup/files/common/__directory__/tsconfig.json__ext__ b/packages/cypress/src/generators/base-setup/files/tsconfig/non-ts-solution/__directory__/tsconfig.json__ext__
similarity index 87%
rename from packages/cypress/src/generators/base-setup/files/common/__directory__/tsconfig.json__ext__
rename to packages/cypress/src/generators/base-setup/files/tsconfig/non-ts-solution/__directory__/tsconfig.json__ext__
index ff84d2055f45b..5aa3759b0df57 100644
--- a/packages/cypress/src/generators/base-setup/files/common/__directory__/tsconfig.json__ext__
+++ b/packages/cypress/src/generators/base-setup/files/tsconfig/non-ts-solution/__directory__/tsconfig.json__ext__
@@ -12,7 +12,7 @@
     "**/*.js",
     "<%= offsetFromProjectRoot %>cypress.config.ts",
     "<%= offsetFromProjectRoot %>**/*.cy.ts",
-    <%_ if (jsx) { _%> "<%= offsetFromProjectRoot %>**/*.cy.tsx",<%_ } _%>
+    <%_ if (jsx) { _%>"<%= offsetFromProjectRoot %>**/*.cy.tsx",<%_ } _%>
     "<%= offsetFromProjectRoot %>**/*.cy.js",
     <%_ if (jsx) { _%>"<%= offsetFromProjectRoot %>**/*.cy.jsx",<%_ } _%>
     "<%= offsetFromProjectRoot %>**/*.d.ts"
diff --git a/packages/cypress/src/generators/base-setup/files/tsconfig/ts-solution/__directory__/tsconfig.json__ext__ b/packages/cypress/src/generators/base-setup/files/tsconfig/ts-solution/__directory__/tsconfig.json__ext__
new file mode 100644
index 0000000000000..871e69aadc0b9
--- /dev/null
+++ b/packages/cypress/src/generators/base-setup/files/tsconfig/ts-solution/__directory__/tsconfig.json__ext__
@@ -0,0 +1,20 @@
+{
+  "extends": "<%= tsConfigPath %>",
+  "compilerOptions": {
+    "outDir": "dist",
+    "tsBuildInfoFile": "dist/tsconfig.tsbuildinfo",
+    "allowJs": true,
+    "types": ["cypress", "node"],
+    "sourceMap": false
+  },
+  "include": [
+    "**/*.ts",
+    "**/*.js",
+    "<%= offsetFromProjectRoot %>cypress.config.ts",
+    "<%= offsetFromProjectRoot %>**/*.cy.ts",
+    <%_ if (jsx) { _%>"<%= offsetFromProjectRoot %>**/*.cy.tsx",<%_ } _%>
+    "<%= offsetFromProjectRoot %>**/*.cy.js",
+    <%_ if (jsx) { _%>"<%= offsetFromProjectRoot %>**/*.cy.jsx",<%_ } _%>
+    "<%= offsetFromProjectRoot %>**/*.d.ts"
+  ]
+}
diff --git a/packages/cypress/src/generators/component-configuration/component-configuration.ts b/packages/cypress/src/generators/component-configuration/component-configuration.ts
index 9407684d86054..0b36d8f929da2 100644
--- a/packages/cypress/src/generators/component-configuration/component-configuration.ts
+++ b/packages/cypress/src/generators/component-configuration/component-configuration.ts
@@ -13,6 +13,7 @@ import {
   updateNxJson,
   runTasksInSerial,
   GeneratorCallback,
+  readJson,
 } from '@nx/devkit';
 import { assertNotUsingTsSolutionSetup } from '@nx/js/src/utils/typescript/ts-solution-setup';
 import { installedCypressVersion } from '../../utils/cypress-version';
@@ -139,6 +140,7 @@ function addProjectFiles(
       ...opts,
       projectRoot: projectConfig.root,
       offsetFromRoot: offsetFromRoot(projectConfig.root),
+      linter: isEslintInstalled(tree) ? 'eslint' : 'none',
       ext: '',
     }
   );
@@ -255,4 +257,9 @@ export function updateTsConfigForComponentTesting(
   }
 }
 
+function isEslintInstalled(tree: Tree): boolean {
+  const { dependencies, devDependencies } = readJson(tree, 'package.json');
+  return !!(dependencies?.eslint || devDependencies?.eslint);
+}
+
 export default componentConfigurationGenerator;
diff --git a/packages/cypress/src/generators/component-configuration/files/__directory__/support/component.ts__ext__ b/packages/cypress/src/generators/component-configuration/files/__directory__/support/component.ts__ext__
index 5a92ae0c384f9..fe952148a2c34 100644
--- a/packages/cypress/src/generators/component-configuration/files/__directory__/support/component.ts__ext__
+++ b/packages/cypress/src/generators/component-configuration/files/__directory__/support/component.ts__ext__
@@ -17,11 +17,10 @@
 import './commands';
 
 // add component testing only related command here, such as mount
-declare global {
-// eslint-disable-next-line @typescript-eslint/no-namespace
-  namespace Cypress {
-    // eslint-disable-next-line @typescript-eslint/no-unused-vars
-    interface Chainable<Subject> {
-    }
+declare global {<% if (linter === 'eslint') { %>
+  // eslint-disable-next-line @typescript-eslint/no-namespace<% } %>
+  namespace Cypress {<% if (linter === 'eslint') { %>
+    // eslint-disable-next-line @typescript-eslint/no-unused-vars<% } %>
+    interface Chainable<Subject> {}
   }
 }
diff --git a/packages/cypress/src/generators/configuration/configuration.ts b/packages/cypress/src/generators/configuration/configuration.ts
index c2620fd8b3cc2..c93aae1368192 100644
--- a/packages/cypress/src/generators/configuration/configuration.ts
+++ b/packages/cypress/src/generators/configuration/configuration.ts
@@ -5,6 +5,7 @@ import {
   generateFiles,
   GeneratorCallback,
   joinPathFragments,
+  logger,
   offsetFromRoot,
   parseTargetString,
   ProjectConfiguration,
@@ -16,13 +17,21 @@ import {
   Tree,
   updateJson,
   updateProjectConfiguration,
+  writeJson,
 } from '@nx/devkit';
+import { resolveImportPath } from '@nx/devkit/src/generators/project-name-and-root-utils';
+import { promptWhenInteractive } from '@nx/devkit/src/generators/prompt';
 import { Linter, LinterType } from '@nx/eslint';
 import {
   getRelativePathToRootTsConfig,
   initGenerator as jsInitGenerator,
 } from '@nx/js';
-import { assertNotUsingTsSolutionSetup } from '@nx/js/src/utils/typescript/ts-solution-setup';
+import {
+  getProjectPackageManagerWorkspaceState,
+  getProjectPackageManagerWorkspaceStateWarningTask,
+} from '@nx/js/src/utils/package-manager-workspaces';
+import { isUsingTsSolutionSetup } from '@nx/js/src/utils/typescript/ts-solution-setup';
+import { PackageJson } from 'nx/src/utils/package-json';
 import { join } from 'path';
 import { addLinterToCyProject } from '../../utils/add-linter';
 import { addDefaultE2EConfig } from '../../utils/config';
@@ -52,7 +61,7 @@ export interface CypressE2EConfigSchema {
   addPlugin?: boolean;
 }
 
-type NormalizedSchema = ReturnType<typeof normalizeOptions>;
+type NormalizedSchema = Awaited<ReturnType<typeof normalizeOptions>>;
 
 export function configurationGenerator(
   tree: Tree,
@@ -68,10 +77,7 @@ export async function configurationGeneratorInternal(
   tree: Tree,
   options: CypressE2EConfigSchema
 ) {
-  assertNotUsingTsSolutionSetup(tree, 'cypress', 'configuration');
-
-  const opts = normalizeOptions(tree, options);
-  opts.addPlugin ??= process.env.NX_ADD_PLUGINS !== 'false';
+  const opts = await normalizeOptions(tree, options);
   const tasks: GeneratorCallback[] = [];
 
   const projectGraph = await createProjectGraphAsync();
@@ -99,6 +105,22 @@ export async function configurationGeneratorInternal(
     addTarget(tree, opts, projectGraph);
   }
 
+  const { root: projectRoot } = readProjectConfiguration(tree, options.project);
+  const isTsSolutionSetup = isUsingTsSolutionSetup(tree);
+  if (isTsSolutionSetup) {
+    createPackageJson(tree, opts);
+    ignoreTestOutput(tree);
+
+    if (!options.rootProject) {
+      // add the project tsconfig to the workspace root tsconfig.json references
+      updateJson(tree, 'tsconfig.json', (json) => {
+        json.references ??= [];
+        json.references.push({ path: './' + projectRoot });
+        return json;
+      });
+    }
+  }
+
   const linterTask = await addLinterToCyProject(tree, {
     ...opts,
     cypressDir: opts.directory,
@@ -113,6 +135,20 @@ export async function configurationGeneratorInternal(
     await formatFiles(tree);
   }
 
+  if (isTsSolutionSetup) {
+    const projectPackageManagerWorkspaceState =
+      getProjectPackageManagerWorkspaceState(tree, projectRoot);
+
+    if (projectPackageManagerWorkspaceState !== 'included') {
+      tasks.push(
+        getProjectPackageManagerWorkspaceStateWarningTask(
+          projectPackageManagerWorkspaceState,
+          tree.root
+        )
+      );
+    }
+  }
+
   return runTasksInSerial(...tasks);
 }
 
@@ -128,7 +164,30 @@ function ensureDependencies(tree: Tree, options: NormalizedSchema) {
   return addDependenciesToPackageJson(tree, {}, devDependencies);
 }
 
-function normalizeOptions(tree: Tree, options: CypressE2EConfigSchema) {
+async function normalizeOptions(tree: Tree, options: CypressE2EConfigSchema) {
+  const isTsSolutionSetup = isUsingTsSolutionSetup(tree);
+
+  let linter = options.linter;
+  if (!linter) {
+    const choices = isTsSolutionSetup
+      ? [{ name: 'none' }, { name: 'eslint' }]
+      : [{ name: 'eslint' }, { name: 'none' }];
+    const defaultValue = isTsSolutionSetup ? 'none' : 'eslint';
+
+    linter = await promptWhenInteractive<{
+      linter: 'none' | 'eslint';
+    }>(
+      {
+        type: 'select',
+        name: 'linter',
+        message: `Which linter would you like to use?`,
+        choices,
+        initial: 0,
+      },
+      { linter: defaultValue }
+    ).then(({ linter }) => linter);
+  }
+
   const projectConfig: ProjectConfiguration | undefined =
     readProjectConfiguration(tree, options.project);
   if (projectConfig?.targets?.e2e) {
@@ -164,7 +223,7 @@ In this case you need to provide a devServerTarget,'<projectName>:<targetName>[:
     ...options,
     bundler: options.bundler ?? 'webpack',
     rootProject: options.rootProject ?? projectConfig.root === '.',
-    linter: options.linter ?? Linter.EsLint,
+    linter,
     devServerTarget,
   };
 }
@@ -352,4 +411,40 @@ function addTarget(
   updateProjectConfiguration(tree, opts.project, projectConfig);
 }
 
+function createPackageJson(tree: Tree, options: NormalizedSchema) {
+  const projectConfig = readProjectConfiguration(tree, options.project);
+  const packageJsonPath = joinPathFragments(projectConfig.root, 'package.json');
+
+  if (tree.exists(packageJsonPath)) {
+    return;
+  }
+
+  const importPath = resolveImportPath(
+    tree,
+    projectConfig.name,
+    projectConfig.root
+  );
+
+  const packageJson: PackageJson = {
+    name: importPath,
+    version: '0.0.1',
+    private: true,
+  };
+  writeJson(tree, packageJsonPath, packageJson);
+}
+
+function ignoreTestOutput(tree: Tree): void {
+  if (!tree.exists('.gitignore')) {
+    logger.warn(`Couldn't find a root .gitignore file to update.`);
+  }
+
+  let content = tree.read('.gitignore', 'utf-8');
+  if (/^test-output$/gm.test(content)) {
+    return;
+  }
+
+  content = `${content}\ntest-output\n`;
+  tree.write('.gitignore', content);
+}
+
 export default configurationGenerator;
diff --git a/packages/cypress/src/generators/configuration/schema.json b/packages/cypress/src/generators/configuration/schema.json
index 8dc9aa4e84e59..cf2bf6405612b 100644
--- a/packages/cypress/src/generators/configuration/schema.json
+++ b/packages/cypress/src/generators/configuration/schema.json
@@ -46,8 +46,8 @@
     "linter": {
       "description": "The tool to use for running lint checks.",
       "type": "string",
-      "enum": ["eslint", "none"],
-      "default": "eslint"
+      "enum": ["none", "eslint"],
+      "x-priority": "important"
     },
     "js": {
       "description": "Generate JavaScript files rather than TypeScript files.",
diff --git a/packages/cypress/src/generators/init/init.ts b/packages/cypress/src/generators/init/init.ts
index 89a2d2495a53c..b8deed06a0569 100644
--- a/packages/cypress/src/generators/init/init.ts
+++ b/packages/cypress/src/generators/init/init.ts
@@ -11,7 +11,6 @@ import {
   updateNxJson,
 } from '@nx/devkit';
 import { addPlugin as _addPlugin } from '@nx/devkit/src/utils/add-plugin';
-import { assertNotUsingTsSolutionSetup } from '@nx/js/src/utils/typescript/ts-solution-setup';
 import { createNodesV2 } from '../../plugins/plugin';
 import { cypressVersion, nxVersion } from '../../utils/versions';
 import { Schema } from './schema';
@@ -106,8 +105,6 @@ export async function cypressInitGeneratorInternal(
   tree: Tree,
   options: Schema
 ) {
-  assertNotUsingTsSolutionSetup(tree, 'cypress', 'init');
-
   updateProductionFileset(tree);
 
   const nxJson = readNxJson(tree);