diff --git a/meta-zephyr-core/conf/layer.conf b/meta-zephyr-core/conf/layer.conf
index e5d0ae3..519c4b8 100644
--- a/meta-zephyr-core/conf/layer.conf
+++ b/meta-zephyr-core/conf/layer.conf
@@ -22,4 +22,4 @@ PYTHON3_NATIVE_SITEPACKAGES_DIR = "${libdir_native}/${PYTHON3_DIR}/site-packages
 addpylib ${LAYERDIR}/lib oeqa
 
 PREFERRED_VERSION_zephyr-kernel ??= "4.2.0"
-PREFERRED_VERSION_zephyr-sdk ??= "0.16.9"
+PREFERRED_VERSION_zephyr-sdk-native ??= "0.17.4"