diff --git a/examples/aks/aks_cluster_arm_template/variables.tf b/examples/aks/aks_cluster_arm_template/variables.tf
index 3413c6d7..8c5544a3 100644
--- a/examples/aks/aks_cluster_arm_template/variables.tf
+++ b/examples/aks/aks_cluster_arm_template/variables.tf
@@ -12,7 +12,7 @@ variable "cluster_region" {
 variable "cluster_version" {
   type        = string
   description = "AKS cluster version."
-  default     = "1.23"
+  default     = "1.27"
 }
 
 variable "castai_api_url" {