diff --git a/CHANGELOG.md b/CHANGELOG.md
index cad9b54c6c..ba70b27bda 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -17,6 +17,7 @@ Our versioning strategy is as follows:
 * `[templates/nextjs-xmcloud]` `@sitecore/components` dependency has been updated to 2.0.0 ([#1933](https://github.com/Sitecore/jss/pull/1933)) 
 * `[templates/nextjs-xmcloud]` `lib/context` import has been removed. Values from `temp/config` can be used instead. ([#1933](https://github.com/Sitecore/jss/pull/1933)) 
 * `[sitecore-jss-nextjs]` `Context` import and `@sitecore-jss/sitecore-jss-nextjs/context` submodule have been removed. ([#1933](https://github.com/Sitecore/jss/pull/1933)) 
+* `[sitecore-jss-nextjs]` update personalize-middleware for CloudSDK 0.4.0 - pass `enablePersonalizeCookie` to CloudSDK.addPersonalize() function ([#1963](https://github.com/Sitecore/jss/pull/1963))
 
 ## 22.1.4
 
diff --git a/packages/create-sitecore-jss/src/templates/nextjs-xmcloud/src/lib/middleware/plugins/personalize.ts b/packages/create-sitecore-jss/src/templates/nextjs-xmcloud/src/lib/middleware/plugins/personalize.ts
index 56df575774..b41aafefa5 100644
--- a/packages/create-sitecore-jss/src/templates/nextjs-xmcloud/src/lib/middleware/plugins/personalize.ts
+++ b/packages/create-sitecore-jss/src/templates/nextjs-xmcloud/src/lib/middleware/plugins/personalize.ts
@@ -21,7 +21,6 @@ class PersonalizePlugin implements MiddlewarePlugin {
   order = 1;
 
   constructor() {
-
     this.personalizeMiddleware = new PersonalizeMiddleware({
       // Configuration for your Sitecore Experience Edge endpoint
       edgeConfig: {
diff --git a/packages/sitecore-jss-nextjs/src/middleware/personalize-middleware.ts b/packages/sitecore-jss-nextjs/src/middleware/personalize-middleware.ts
index 3748eb7169..28927daf9c 100644
--- a/packages/sitecore-jss-nextjs/src/middleware/personalize-middleware.ts
+++ b/packages/sitecore-jss-nextjs/src/middleware/personalize-middleware.ts
@@ -127,7 +127,7 @@ export class PersonalizeMiddleware extends MiddlewareBase {
       cookieDomain: hostname,
       enableServerCookie: true,
     })
-      .addPersonalize()
+      .addPersonalize({ enablePersonalizeCookie: true })
       .initialize();
   }