diff --git a/packages/cli/src/commands/__tests__/studioHandler.test.js b/packages/cli/src/commands/__tests__/studioHandler.test.js
new file mode 100644
index 000000000000..042bf310846c
--- /dev/null
+++ b/packages/cli/src/commands/__tests__/studioHandler.test.js
@@ -0,0 +1,149 @@
+// Have to use `var` here to avoid "Temporal Dead Zone" issues
+// eslint-disable-next-line
+var mockedRedwoodVersion = '0.0.0'
+
+jest.mock('@redwoodjs/project-config', () => ({
+  getPaths: () => ({ base: '' }),
+}))
+
+jest.mock('fs-extra', () => ({
+  readJSONSync: () => ({
+    devDependencies: {
+      '@redwoodjs/core': mockedRedwoodVersion,
+    },
+  }),
+}))
+
+import { assertRedwoodVersion } from '../studioHandler'
+
+describe('studioHandler', () => {
+  describe('assertRedwoodVersion', () => {
+    const exitSpy = jest.spyOn(process, 'exit').mockImplementation((code) => {
+      throw new Error(`process.exit(${code})`)
+    })
+
+    jest.spyOn(console, 'error').mockImplementation()
+
+    afterEach(() => {
+      jest.clearAllMocks()
+    })
+
+    afterAll(() => {
+      jest.restoreAllMocks()
+    })
+
+    const minVersions = ['7.0.0-canary.874', '7.x', '8.0.0-0']
+
+    it('exits on RW v6', () => {
+      mockedRedwoodVersion = '6.6.2'
+
+      expect(() => assertRedwoodVersion(minVersions)).toThrow()
+      expect(exitSpy).toHaveBeenCalledWith(1)
+    })
+
+    it('exits on RW v7.0.0-canary.785', () => {
+      mockedRedwoodVersion = '7.0.0-canary.785'
+
+      expect(() => assertRedwoodVersion(minVersions)).toThrow()
+      expect(exitSpy).toHaveBeenCalledWith(1)
+    })
+
+    it('exits on RW v7.0.0-canary.785+fcb9d66b5', () => {
+      mockedRedwoodVersion = '7.0.0-canary.785+fcb9d66b5'
+
+      expect(() => assertRedwoodVersion(minVersions)).toThrow()
+      expect(exitSpy).toHaveBeenCalledWith(1)
+    })
+
+    it('exits on RW v0.0.0-experimental.999', () => {
+      mockedRedwoodVersion = '0.0.0-experimental.999'
+
+      expect(() => assertRedwoodVersion(minVersions)).toThrow()
+      expect(exitSpy).toHaveBeenCalledWith(1)
+    })
+
+    it('exits on RW v7.0.0-alpha.999', () => {
+      mockedRedwoodVersion = '7.0.0-alpha.999'
+
+      expect(() => assertRedwoodVersion(minVersions)).toThrow()
+      expect(exitSpy).toHaveBeenCalledWith(1)
+    })
+
+    it('exits on RW v7.0.0-rc.999', () => {
+      mockedRedwoodVersion = '7.0.0-rc.999'
+
+      expect(() => assertRedwoodVersion(minVersions)).toThrow()
+      expect(exitSpy).toHaveBeenCalledWith(1)
+    })
+
+    it('allows RW v7.0.0-canary.874', () => {
+      mockedRedwoodVersion = '7.0.0-canary.874'
+
+      expect(() => assertRedwoodVersion(minVersions)).not.toThrow()
+      expect(exitSpy).not.toHaveBeenCalled()
+    })
+
+    it('allows RW v7.0.0-canary.874+fcb9d66b5', () => {
+      mockedRedwoodVersion = '7.0.0-canary.874+fcb9d66b5'
+
+      expect(() => assertRedwoodVersion(minVersions)).not.toThrow()
+      expect(exitSpy).not.toHaveBeenCalled()
+    })
+
+    it('allows RW v7.0.0', () => {
+      mockedRedwoodVersion = '7.0.0'
+
+      expect(() => assertRedwoodVersion(minVersions)).not.toThrow()
+      expect(exitSpy).not.toHaveBeenCalled()
+    })
+
+    it('allows RW v8.0.0', () => {
+      mockedRedwoodVersion = '8.0.0'
+
+      expect(() => assertRedwoodVersion(minVersions)).not.toThrow()
+      expect(exitSpy).not.toHaveBeenCalled()
+    })
+
+    it('allows RW v7.0.1', () => {
+      mockedRedwoodVersion = '7.0.1'
+
+      expect(() => assertRedwoodVersion(minVersions)).not.toThrow()
+      expect(exitSpy).not.toHaveBeenCalled()
+    })
+
+    it('allows RW v8.0.0-canary.1', () => {
+      mockedRedwoodVersion = '8.0.0-canary.1'
+
+      expect(() => assertRedwoodVersion(minVersions)).not.toThrow()
+      expect(exitSpy).not.toHaveBeenCalled()
+    })
+
+    it('allows RW v8.0.0-rc.1', () => {
+      mockedRedwoodVersion = '8.0.0-rc.1'
+
+      expect(() => assertRedwoodVersion(minVersions)).not.toThrow()
+      expect(exitSpy).not.toHaveBeenCalled()
+    })
+
+    it('allows RW v8.0.0', () => {
+      mockedRedwoodVersion = '8.0.0'
+
+      expect(() => assertRedwoodVersion(minVersions)).not.toThrow()
+      expect(exitSpy).not.toHaveBeenCalled()
+    })
+
+    it('allows RW v8.0.1', () => {
+      mockedRedwoodVersion = '8.0.1'
+
+      expect(() => assertRedwoodVersion(minVersions)).not.toThrow()
+      expect(exitSpy).not.toHaveBeenCalled()
+    })
+
+    it('allows RW v9.1.0', () => {
+      mockedRedwoodVersion = '9.1.0'
+
+      expect(() => assertRedwoodVersion(minVersions)).not.toThrow()
+      expect(exitSpy).not.toHaveBeenCalled()
+    })
+  })
+})
diff --git a/packages/cli/src/commands/studioHandler.js b/packages/cli/src/commands/studioHandler.js
index 50ca7df5c3ef..787b575f62ca 100644
--- a/packages/cli/src/commands/studioHandler.js
+++ b/packages/cli/src/commands/studioHandler.js
@@ -1,4 +1,9 @@
-import { setTomlSetting } from '@redwoodjs/cli-helpers'
+import path from 'node:path'
+
+import fs from 'fs-extra'
+import semver from 'semver'
+
+import { getPaths } from '@redwoodjs/project-config'
 
 import { isModuleInstalled, installModule } from '../lib/packages'
 
@@ -6,14 +11,28 @@ export const handler = async (options) => {
   try {
     // Check the module is installed
     if (!isModuleInstalled('@redwoodjs/studio')) {
+      const minVersions = ['7.0.0-canary.874', '7.x', '8.0.0-0']
+      assertRedwoodVersion(minVersions)
+
       console.log(
         'The studio package is not installed, installing it for you, this may take a moment...'
       )
-      await installModule('@redwoodjs/studio', '11.0.1')
+      await installModule('@redwoodjs/studio', '11')
       console.log('Studio package installed successfully.')
 
-      console.log('Adding config to redwood.toml...')
-      setTomlSetting('studio', 'enabled', true)
+      const installedRealtime = await installModule('@redwoodjs/realtime')
+      if (installedRealtime) {
+        console.log(
+          "Added @redwoodjs/realtime to your project, as it's used by Studio"
+        )
+      }
+
+      const installedApiServer = await installModule('@redwoodjs/api-server')
+      if (installedApiServer) {
+        console.log(
+          "Added @redwoodjs/api-server to your project, as it's used by Studio"
+        )
+      }
     }
 
     // Import studio and start it
@@ -25,3 +44,51 @@ export const handler = async (options) => {
     process.exit(1)
   }
 }
+
+// Exported for unit testing
+export function assertRedwoodVersion(minVersions) {
+  const rwVersion = getProjectRedwoodVersion()
+  const coercedRwVersion = semver.coerce(rwVersion)
+
+  if (
+    minVersions.some((minVersion) => {
+      // Have to do this to handle pre-release versions until
+      // https://github.com/npm/node-semver/pull/671 is merged
+      const v = semver.valid(minVersion) || semver.coerce(minVersion)
+
+      const coercedMin = semver.coerce(minVersion)
+
+      // According to semver 1.0.0-rc.X > 1.0.0-canary.Y (for all values of X
+      // and Y)
+      // But for Redwood an RC release can be much older than a Canary release
+      // (and not contain features from Canary that whoever calls this need)
+      // Because RW doesn't 100% follow SemVer for pre-releases we have to
+      // have some custom logic here
+      return (
+        semver.gte(rwVersion, v) &&
+        (coercedRwVersion.major === coercedMin.major
+          ? semver.prerelease(rwVersion)?.[0] === semver.prerelease(v)?.[0]
+          : true)
+      )
+    })
+  ) {
+    // All good, the user's RW version meets at least one of the minimum
+    // version requirements
+    return
+  }
+
+  console.error(
+    `The studio command requires Redwood version ${minVersions[0]} or ` +
+      `greater, you are using ${rwVersion}.`
+  )
+
+  process.exit(1)
+}
+
+function getProjectRedwoodVersion() {
+  const { devDependencies } = fs.readJSONSync(
+    path.join(getPaths().base, 'package.json')
+  )
+
+  return devDependencies['@redwoodjs/core']
+}
diff --git a/packages/cli/src/lib/packages.js b/packages/cli/src/lib/packages.js
index aaaf04240333..c65c7dc9d49c 100644
--- a/packages/cli/src/lib/packages.js
+++ b/packages/cli/src/lib/packages.js
@@ -5,10 +5,12 @@ import fs from 'fs-extra'
 
 import { getPaths } from './index'
 
+// Note: Have to add backslash (\) before @ below for intellisense to display
+// the doc comments properly
 /**
- *  Installs a module into a user's project. If the module is already installed,
- *  this function does nothing. If no version is specified, the version will be assumed
- *  to be the same as that of \@redwoodjs/cli.
+ * Installs a module into a user's project. If the module is already installed,
+ * this function does nothing. If no version is specified, the version will be
+ * assumed to be the same as that of \@redwoodjs/cli.
  *
  * @param {string} name The name of the module to install
  * @param {string} version The version of the module to install, otherwise the same as that of \@redwoodjs/cli
@@ -19,21 +21,25 @@ export async function installModule(name, version = undefined) {
   if (isModuleInstalled(name)) {
     return false
   }
+
   if (version === undefined) {
-    return await installRedwoodModule(name)
+    return installRedwoodModule(name)
   } else {
     await execa.command(`yarn add -D ${name}@${version}`, {
       stdio: 'inherit',
       cwd: getPaths().base,
     })
   }
+
   return true
 }
 
 /**
- * Installs a Redwood module into a user's project keeping the version consistent with that of \@redwoodjs/cli.
+ * Installs a Redwood module into a user's project keeping the version
+ * consistent with that of \@redwoodjs/cli.
  * If the module is already installed, this function does nothing.
- * If no remote version can not be found which matches the local cli version then the latest canary version will be used.
+ * If no remote version can not be found which matches the local cli version
+ * then the latest canary version will be used.
  *
  * @param {string} module A redwoodjs module, e.g. \@redwoodjs/web
  * @returns {boolean} Whether the module was installed or not