diff --git a/packages/opencode/src/cli/cmd/tui/thread.ts b/packages/opencode/src/cli/cmd/tui/thread.ts
index 7230dae16ae4..9176d606517b 100644
--- a/packages/opencode/src/cli/cmd/tui/thread.ts
+++ b/packages/opencode/src/cli/cmd/tui/thread.ts
@@ -3,6 +3,7 @@ import { Rpc } from "@/util/rpc"
 import { type rpc } from "./worker"
 import path from "path"
 import { fileURLToPath } from "url"
+import { spawn } from "child_process"
 import { UI } from "@/cli/ui"
 import * as Log from "@opencode-ai/core/util/log"
 import { errorMessage } from "@/util/error"
@@ -224,7 +225,17 @@ export const TuiThreadCommand = cmd({
       }
 
       setTimeout(() => {
-        client.call("checkUpgrade", { directory: cwd }).catch(() => {})
+        client.call("checkUpgrade", { directory: cwd }).then((upgraded: unknown) => {
+          if (upgraded) {
+            console.log("Update installed. Restarting...")
+            const child = spawn(process.execPath, process.argv.slice(1), {
+              stdio: "inherit",
+              env: process.env,
+            })
+            child.unref()
+            process.exit(0)
+          }
+        }).catch(() => {})
       }, 1000).unref?.()
 
       try {
diff --git a/packages/opencode/src/cli/cmd/tui/worker.ts b/packages/opencode/src/cli/cmd/tui/worker.ts
index 31ead18cf84f..734dc77e5232 100644
--- a/packages/opencode/src/cli/cmd/tui/worker.ts
+++ b/packages/opencode/src/cli/cmd/tui/worker.ts
@@ -77,7 +77,12 @@ export const rpc = {
   },
   async checkUpgrade(input: { directory: string }) {
     await InstanceRuntime.load({ directory: input.directory })
-    await upgrade().catch(() => {})
+    const upgraded = await upgrade().catch(() => false)
+    if (upgraded) {
+      await InstanceRuntime.disposeAllInstances().catch(() => {})
+      if (server) await server.stop(true).catch(() => {})
+    }
+    return upgraded
   },
   async reload() {
     await AppRuntime.runPromise(
diff --git a/packages/opencode/src/cli/upgrade.ts b/packages/opencode/src/cli/upgrade.ts
index 62b230a63364..62634e677574 100644
--- a/packages/opencode/src/cli/upgrade.ts
+++ b/packages/opencode/src/cli/upgrade.ts
@@ -5,12 +5,12 @@ import { Installation } from "@/installation"
 import { InstallationVersion } from "@opencode-ai/core/installation/version"
 import { GlobalBus } from "@/bus/global"
 
-export async function upgrade() {
+export async function upgrade(): Promise<boolean> {
   const config = await AppRuntime.runPromise(Config.Service.use((cfg) => cfg.getGlobal()))
-  if (config.autoupdate === false || Flag.OPENCODE_DISABLE_AUTOUPDATE) return
+  if (config.autoupdate === false || Flag.OPENCODE_DISABLE_AUTOUPDATE) return false
   const method = await Installation.method()
-  const latest = await Installation.latest(method).catch(() => {})
-  if (!latest) return
+  const latest = await Installation.latest(method).catch(() => undefined)
+  if (!latest) return false
 
   if (Flag.OPENCODE_ALWAYS_NOTIFY_UPDATE) {
     GlobalBus.emit("event", {
@@ -20,10 +20,10 @@ export async function upgrade() {
         properties: { version: latest },
       },
     })
-    return
+    return false
   }
 
-  if (InstallationVersion === latest) return
+  if (InstallationVersion === latest) return false
 
   const kind = Installation.getReleaseType(InstallationVersion, latest)
 
@@ -35,19 +35,21 @@ export async function upgrade() {
         properties: { version: latest },
       },
     })
-    return
+    return false
   }
 
-  if (method === "unknown") return
-  await Installation.upgrade(method, latest)
-    .then(() =>
+  if (method === "unknown") return false
+  const upgraded = await Installation.upgrade(method, latest)
+    .then(() => {
       GlobalBus.emit("event", {
         directory: "global",
         payload: {
           type: Installation.Event.Updated.type,
           properties: { version: latest },
         },
-      }),
-    )
-    .catch(() => {})
+      })
+      return true
+    })
+    .catch(() => false)
+  return upgraded
 }
diff --git a/packages/opencode/test/cli/upgrade.test.ts b/packages/opencode/test/cli/upgrade.test.ts
new file mode 100644
index 000000000000..c163c4d39a80
--- /dev/null
+++ b/packages/opencode/test/cli/upgrade.test.ts
@@ -0,0 +1,12 @@
+import { describe, expect, test } from "bun:test"
+import { Installation } from "@/installation"
+
+describe("upgrade", () => {
+  test("Installation.Event.Updated type matches expected value", () => {
+    expect(Installation.Event.Updated.type).toBe("installation.updated")
+  })
+
+  test("Installation.Event.UpdateAvailable type matches expected value", () => {
+    expect(Installation.Event.UpdateAvailable.type).toBe("installation.update-available")
+  })
+})