diff --git a/Cargo.lock b/Cargo.lock
index 8764454e0..a28b35bc8 100644
--- a/Cargo.lock
+++ b/Cargo.lock
@@ -699,7 +699,7 @@ dependencies = [
 
 [[package]]
 name = "cloud"
-version = "1.2.0"
+version = "1.3.0-pre0"
 dependencies = [
  "anyhow",
  "cloud-openapi",
@@ -1428,7 +1428,7 @@ checksum = "0bd4b30a6560bbd9b4620f4de34c3f14f60848e58a9b7216801afcb4c7b31c3c"
 
 [[package]]
 name = "e2e-testing"
-version = "1.2.0"
+version = "1.3.0-pre0"
 dependencies = [
  "anyhow",
  "async-trait",
@@ -3450,7 +3450,7 @@ dependencies = [
 
 [[package]]
 name = "outbound-http"
-version = "1.2.0"
+version = "1.3.0-pre0"
 dependencies = [
  "anyhow",
  "http",
@@ -3465,7 +3465,7 @@ dependencies = [
 
 [[package]]
 name = "outbound-mysql"
-version = "1.2.0"
+version = "1.3.0-pre0"
 dependencies = [
  "anyhow",
  "mysql_async",
@@ -3480,7 +3480,7 @@ dependencies = [
 
 [[package]]
 name = "outbound-pg"
-version = "1.2.0"
+version = "1.3.0-pre0"
 dependencies = [
  "anyhow",
  "native-tls",
@@ -3495,7 +3495,7 @@ dependencies = [
 
 [[package]]
 name = "outbound-redis"
-version = "1.2.0"
+version = "1.3.0-pre0"
 dependencies = [
  "anyhow",
  "redis",
@@ -4865,7 +4865,7 @@ checksum = "6e63cff320ae2c57904679ba7cb63280a3dc4613885beafb148ee7bf9aa9042d"
 
 [[package]]
 name = "spin-app"
-version = "1.2.0"
+version = "1.3.0-pre0"
 dependencies = [
  "anyhow",
  "async-trait",
@@ -4878,7 +4878,7 @@ dependencies = [
 
 [[package]]
 name = "spin-bindle"
-version = "1.2.0"
+version = "1.3.0-pre0"
 dependencies = [
  "anyhow",
  "bindle",
@@ -4907,7 +4907,7 @@ dependencies = [
 
 [[package]]
 name = "spin-build"
-version = "1.2.0"
+version = "1.3.0-pre0"
 dependencies = [
  "anyhow",
  "futures",
@@ -4921,7 +4921,7 @@ dependencies = [
 
 [[package]]
 name = "spin-cli"
-version = "1.2.0"
+version = "1.3.0-pre0"
 dependencies = [
  "anyhow",
  "async-trait",
@@ -4993,7 +4993,7 @@ dependencies = [
 
 [[package]]
 name = "spin-common"
-version = "1.2.0"
+version = "1.3.0-pre0"
 dependencies = [
  "anyhow",
  "sha2 0.10.6",
@@ -5014,7 +5014,7 @@ dependencies = [
 
 [[package]]
 name = "spin-config"
-version = "1.2.0"
+version = "1.3.0-pre0"
 dependencies = [
  "anyhow",
  "async-trait",
@@ -5033,7 +5033,7 @@ dependencies = [
 
 [[package]]
 name = "spin-core"
-version = "1.2.0"
+version = "1.3.0-pre0"
 dependencies = [
  "anyhow",
  "async-trait",
@@ -5070,7 +5070,7 @@ dependencies = [
 
 [[package]]
 name = "spin-http"
-version = "1.2.0"
+version = "1.3.0-pre0"
 dependencies = [
  "anyhow",
  "http",
@@ -5084,7 +5084,7 @@ dependencies = [
 
 [[package]]
 name = "spin-key-value"
-version = "1.2.0"
+version = "1.3.0-pre0"
 dependencies = [
  "anyhow",
  "lru 0.9.0",
@@ -5124,7 +5124,7 @@ dependencies = [
 
 [[package]]
 name = "spin-loader"
-version = "1.2.0"
+version = "1.3.0-pre0"
 dependencies = [
  "anyhow",
  "async-trait",
@@ -5168,7 +5168,7 @@ dependencies = [
 
 [[package]]
 name = "spin-manifest"
-version = "1.2.0"
+version = "1.3.0-pre0"
 dependencies = [
  "indexmap",
  "serde",
@@ -5178,7 +5178,7 @@ dependencies = [
 
 [[package]]
 name = "spin-oci"
-version = "1.2.0"
+version = "1.3.0-pre0"
 dependencies = [
  "anyhow",
  "base64 0.21.0",
@@ -5202,7 +5202,7 @@ dependencies = [
 
 [[package]]
 name = "spin-plugins"
-version = "1.2.0"
+version = "1.3.0-pre0"
 dependencies = [
  "anyhow",
  "bytes",
@@ -5223,7 +5223,7 @@ dependencies = [
 
 [[package]]
 name = "spin-redis-engine"
-version = "1.2.0"
+version = "1.3.0-pre0"
 dependencies = [
  "anyhow",
  "async-trait",
@@ -5241,7 +5241,7 @@ dependencies = [
 
 [[package]]
 name = "spin-sdk"
-version = "1.2.0"
+version = "1.3.0-pre0"
 dependencies = [
  "anyhow",
  "bytes",
@@ -5257,7 +5257,7 @@ dependencies = [
 
 [[package]]
 name = "spin-templates"
-version = "1.2.0"
+version = "1.3.0-pre0"
 dependencies = [
  "anyhow",
  "async-trait",
@@ -5293,7 +5293,7 @@ dependencies = [
 
 [[package]]
 name = "spin-testing"
-version = "1.2.0"
+version = "1.3.0-pre0"
 dependencies = [
  "anyhow",
  "http",
@@ -5312,7 +5312,7 @@ dependencies = [
 
 [[package]]
 name = "spin-trigger"
-version = "1.2.0"
+version = "1.3.0-pre0"
 dependencies = [
  "anyhow",
  "async-trait",
@@ -5348,7 +5348,7 @@ dependencies = [
 
 [[package]]
 name = "spin-trigger-http"
-version = "1.2.0"
+version = "1.3.0-pre0"
 dependencies = [
  "anyhow",
  "async-trait",
@@ -5382,7 +5382,7 @@ dependencies = [
 
 [[package]]
 name = "spin-world"
-version = "1.2.0"
+version = "1.3.0-pre0"
 dependencies = [
  "wasmtime",
 ]
diff --git a/Cargo.toml b/Cargo.toml
index b8e3ad7c2..67679b4aa 100644
--- a/Cargo.toml
+++ b/Cargo.toml
@@ -7,7 +7,7 @@ license = "Apache-2.0 WITH LLVM-exception"
 rust-version = "1.67"
 
 [workspace.package]
-version = "1.2.0"
+version = "1.3.0-pre0"
 authors = ["Fermyon Engineering <engineering@fermyon.com>"]
 edition = "2021"
 
diff --git a/templates/Makefile b/templates/Makefile
index b4a807390..d52586672 100644
--- a/templates/Makefile
+++ b/templates/Makefile
@@ -1,4 +1,4 @@
-SDK_VERSION ?= v1.2.0
+SDK_VERSION ?= v1.3.0-pre0
 
 bump-versions: bump-go-versions bump-rust-versions
 
diff --git a/tests/http/headers-env-routes-test/Cargo.lock b/tests/http/headers-env-routes-test/Cargo.lock
index 698781129..fee064b3e 100644
--- a/tests/http/headers-env-routes-test/Cargo.lock
+++ b/tests/http/headers-env-routes-test/Cargo.lock
@@ -180,7 +180,7 @@ dependencies = [
 
 [[package]]
 name = "spin-sdk"
-version = "1.2.0"
+version = "1.3.0-pre0"
 dependencies = [
  "anyhow",
  "bytes",
diff --git a/tests/http/simple-spin-rust/Cargo.lock b/tests/http/simple-spin-rust/Cargo.lock
index ca75bc34f..4fff96d12 100644
--- a/tests/http/simple-spin-rust/Cargo.lock
+++ b/tests/http/simple-spin-rust/Cargo.lock
@@ -187,7 +187,7 @@ dependencies = [
 
 [[package]]
 name = "spin-sdk"
-version = "1.2.0"
+version = "1.3.0-pre0"
 dependencies = [
  "anyhow",
  "bytes",