diff --git a/.devcontainer/Dockerfile b/.devcontainer/Dockerfile
index da4e2c4171171e..386253bb609e8e 100644
--- a/.devcontainer/Dockerfile
+++ b/.devcontainer/Dockerfile
@@ -24,22 +24,19 @@ ARG USER_UID=1000
 ARG USER_GID=$USER_UID
 ENV LANG en_US.utf8
 
-# these are installed for terminal/dev convenience.  If more tooling for build is required, please
-#  add them to chip-build (in integrations/docker/images/chip-build)
+
+# These are installed for terminal/dev convenience. If more tooling for build is required, please
+# add them to chip-build (in integrations/docker/images/chip-build).
 RUN apt-get update \
     && apt-get install -y locales \
     && localedef -i en_US -c -f UTF-8 -A /usr/share/locale/locale.alias en_US.UTF-8 \
-    && apt-get -fy install git vim emacs sudo \
+    && apt-get -fy install vim emacs sudo \
     apt-utils dialog zsh \
-    iproute2 procps lsb-release \
+    lsb-release \
     bash-completion \
-    build-essential cmake cppcheck valgrind \
-    wget curl telnet \
+    valgrind \
     docker.io \
-    iputils-ping net-tools \
-    libncurses5 \
-    libncursesw5 \
-    libpython2.7 \
+    iputils-ping \
     && :
 
 RUN groupadd -g $USER_GID $USERNAME \
@@ -55,13 +52,22 @@ RUN curl https://raw.githubusercontent.com/restyled-io/restyler/master/bin/resty
 RUN mkdir -p /opt/sdk/sdks/ \
     && chown -R $USERNAME:$USERNAME \
     /opt/sdk/sdks/ `# NXP uses a patch_sdk script to change SDK files` \
-    /opt/NordicSemiconductor/nrfconnect/ `# $USERNAME needs to own west configuration to build nRF Connect examples` \
-    $IDF_PATH `# $USERNAME needs to own the esp-idf and tools for the examples to build` \
+    $ANDROID_HOME \
+    $IDF_TOOLS_PATH \
+    && find $AMEBA_PATH -name "inc_lp" -print0 | xargs -0 chown -R $USERNAME:$USERNAME \
+    && find $AMEBA_PATH -name "inc_hp" -print0 | xargs -0 chown -R $USERNAME:$USERNAME \
+    && find $AMEBA_PATH -name "project_lp" -print0 | xargs -0 chown -R $USERNAME:$USERNAME \
+    && find $AMEBA_PATH -name "project_hp" -print0 | xargs -0 chown -R $USERNAME:$USERNAME \
+    && chmod -R +x \
+    $ANDROID_HOME/tools/bin `# sdkmanager for accepting licenses`\
+    && chmod -R +w \
     $IDF_TOOLS_PATH \
-    $SYSROOT_AARCH64 `# allow read/write access to header and libraries` \
-    $ANDROID_HOME `# allow licenses to be accepted` \
-    $AMEBA_PATH `# AmebaD requires access to change build_info.h` \
-    $IMX_SDK_ROOT \
+    && find $AMEBA_PATH -name "inc_lp" -print0 | xargs -0 chmod -R +w \
+    && find $AMEBA_PATH -name "inc_hp" -print0 | xargs -0 chmod -R +w \
+    && find $AMEBA_PATH -name "project_lp" -print0 | xargs -0 chmod -R +w \
+    && find $AMEBA_PATH -name "project_hp" -print0 | xargs -0 chmod -R +w \
+    # Safe directory is preffered over chown.
+    && git config --global --add safe.directory "*" \
     && :
 
 # Fix Tizen SDK paths for new user
diff --git a/.devcontainer/devcontainer.json b/.devcontainer/devcontainer.json
index 4d5be76434e8f8..9c7f6aeaef881b 100644
--- a/.devcontainer/devcontainer.json
+++ b/.devcontainer/devcontainer.json
@@ -14,9 +14,12 @@
     "mounts": [
         "source=/var/run/docker.sock,target=/var/run/docker.sock,type=bind"
     ],
-    "initializeCommand": "bash .devcontainer/build.sh --tag matter-dev-environment:local --version 22",
+    "initializeCommand": "bash .devcontainer/build.sh --tag matter-dev-environment:local --version 74",
     "image": "matter-dev-environment:local",
     "remoteUser": "vscode",
+    "containerEnv": {
+        "PW_ENVIRONMENT_ROOT": "${containerWorkspaceFolder}/.environment-vscode"
+    },
     "customizations": {
         "vscode": {
             // Add the IDs of extensions you want installed when the container is created in the array below.
diff --git a/.gitignore b/.gitignore
index 1c2d1430263594..98dc6780fccc2a 100644
--- a/.gitignore
+++ b/.gitignore
@@ -15,7 +15,7 @@ out/
 /src/darwin/Framework/build/
 
 # Pigweed Environment
-.environment/
+.environment*/
 build_overrides/pigweed_environment.gni
 
 # Temporary Directories
@@ -84,4 +84,3 @@ examples/*/esp32/dependencies.lock
 
 # jupyter temporary files
 .ipynb_checkpoints
-
diff --git a/integrations/docker/images/vscode/chip-build-vscode/Dockerfile b/integrations/docker/images/vscode/chip-build-vscode/Dockerfile
index 9d6e24b1d259ea..37726292c8db6c 100644
--- a/integrations/docker/images/vscode/chip-build-vscode/Dockerfile
+++ b/integrations/docker/images/vscode/chip-build-vscode/Dockerfile
@@ -130,7 +130,6 @@ ENV NXP_K32W0_SDK_ROOT=/opt/k32w/core
 ENV NXP_K32W1_SDK_ROOT=/opt/k32w/k32w1
 ENV NXP_SDK_ROOT=/opt/nxp-sdk/rw61x
 ENV OPENOCD_PATH=/opt/openocd/
-ENV PW_ENVIRONMENT_ROOT=/home/vscode/pigweed/env
 ENV QEMU_ESP32=/opt/espressif/qemu/qemu-system-xtensa
 ENV QEMU_ESP32_DIR=/opt/espressif/qemu
 ENV SYSROOT_AARCH64=/opt/ubuntu-22.04.1-aarch64-sysroot
@@ -144,6 +143,10 @@ ENV ZEPHYR_NXP_BASE=/opt/nxp-zephyr/zephyrproject/zephyr
 ENV ZEPHYR_NXP_SDK_INSTALL_DIR=/opt/nxp-zephyr/zephyr-sdk-0.16.5
 ENV NXP_UPDATE_SDK_SCRIPT_DOCKER=/opt/nxp/nxp_matter_support/scripts/update_nxp_sdk.py
 
+# Places bootstrap files there instead of the default one which is `.environment`.
+# NOTE: This directory is NOT persistent.
+ENV PW_ENVIRONMENT_ROOT=/home/vscode/pigweed/env
+
 ENV TIZEN_VERSION 7.0
 ENV TIZEN_SDK_ROOT /opt/tizen-sdk
 ENV TIZEN_SDK_TOOLCHAIN $TIZEN_SDK_ROOT/tools/arm-linux-gnueabi-gcc-9.2