diff --git a/package-lock.json b/package-lock.json
index dc56674b..2a08fae4 100644
--- a/package-lock.json
+++ b/package-lock.json
@@ -10,7 +10,7 @@
             "license": "MIT",
             "dependencies": {
                 "@floating-ui/dom": "^1.7.2",
-                "@preact/compat": "17.1.2",
+                "@preact/compat": "^18.3.1",
                 "@preact/signals": "^1.3.2",
                 "classnames": "^2.5.1",
                 "dayjs": "^1.11.13",
@@ -1550,9 +1550,10 @@
             "license": "MIT"
         },
         "node_modules/@preact/compat": {
-            "version": "17.1.2",
-            "resolved": "https://registry.npmjs.org/@preact/compat/-/compat-17.1.2.tgz",
-            "integrity": "sha512-7pOZN9lMDDRQ+6aWvjwTp483KR8/zOpfS83wmOo3zfuLKdngS8/5RLbsFWzFZMGdYlotAhX980hJ75bjOHTwWg==",
+            "version": "18.3.1",
+            "resolved": "https://registry.npmjs.org/@preact/compat/-/compat-18.3.1.tgz",
+            "integrity": "sha512-Kog4PSRxtT4COtOXjsuQPV1vMXpUzREQfv+6Dmcy9/rMk0HOPK0HTE9fspFjAmY8R80T/T8gtgmZ68u5bOSngw==",
+            "license": "MIT",
             "peerDependencies": {
                 "preact": "*"
             }
diff --git a/package.json b/package.json
index 7cae93aa..d1289f8d 100644
--- a/package.json
+++ b/package.json
@@ -85,8 +85,8 @@
         "url": "https://github.com/contentstack/live-preview-sdk.git"
     },
     "dependencies": {
+        "@preact/compat": "^18.3.1",
         "@floating-ui/dom": "^1.7.2",
-        "@preact/compat": "17.1.2",
         "@preact/signals": "^1.3.2",
         "classnames": "^2.5.1",
         "dayjs": "^1.11.13",