diff --git a/package.json b/package.json
index 88c410c88017d..02d0e70449499 100644
--- a/package.json
+++ b/package.json
@@ -124,7 +124,7 @@
     "tailwindcss": "1.1.3",
     "taskr": "1.1.0",
     "tree-kill": "1.2.2",
-    "typescript": "3.8.3",
+    "typescript": "4.3.0-beta",
     "wait-port": "0.2.2",
     "web-streams-polyfill": "2.1.1",
     "webpack-bundle-analyzer": "4.3.0",
diff --git a/packages/next/build/index.ts b/packages/next/build/index.ts
index 668a9b0098ecb..89617e2e609e9 100644
--- a/packages/next/build/index.ts
+++ b/packages/next/build/index.ts
@@ -146,8 +146,8 @@ export default async function build(
 
     const { headers, rewrites, redirects } = customRoutes
 
+    const cacheDir = path.join(distDir, 'cache')
     if (ciEnvironment.isCI && !ciEnvironment.hasNextSupport) {
-      const cacheDir = path.join(distDir, 'cache')
       const hasCache = await fileExists(cacheDir)
 
       if (!hasCache) {
@@ -193,7 +193,7 @@ export default async function build(
     const verifyResult = await nextBuildSpan
       .traceChild('verify-typescript-setup')
       .traceAsyncFn(() =>
-        verifyTypeScriptSetup(dir, pagesDir, !ignoreTypeScriptErrors)
+        verifyTypeScriptSetup(dir, pagesDir, !ignoreTypeScriptErrors, cacheDir)
       )
 
     const typeCheckEnd = process.hrtime(typeCheckStart)
diff --git a/packages/next/lib/typescript/runTypeCheck.ts b/packages/next/lib/typescript/runTypeCheck.ts
index 510fad4a43c77..569c474b0c35a 100644
--- a/packages/next/lib/typescript/runTypeCheck.ts
+++ b/packages/next/lib/typescript/runTypeCheck.ts
@@ -1,3 +1,4 @@
+import path from 'path'
 import {
   DiagnosticCategory,
   getFormattedDiagnostic,
@@ -18,7 +19,8 @@ export interface TypeCheckResult {
 export async function runTypeCheck(
   ts: typeof import('typescript'),
   baseDir: string,
-  tsConfigPath: string
+  tsConfigPath: string,
+  cacheDir?: string
 ): Promise<TypeCheckResult> {
   const effectiveConfiguration = await getTypeScriptConfiguration(
     ts,
@@ -35,11 +37,28 @@ export async function runTypeCheck(
   }
   const requiredConfig = getRequiredConfiguration(ts)
 
-  const program = ts.createProgram(effectiveConfiguration.fileNames, {
+  const options = {
     ...effectiveConfiguration.options,
     ...requiredConfig,
     noEmit: true,
-  })
+  }
+
+  let program: import('typescript').Program
+  let incremental = false
+  if (options.incremental && cacheDir) {
+    incremental = true
+    const builderProgram = ts.createIncrementalProgram({
+      rootNames: effectiveConfiguration.fileNames,
+      options: {
+        ...options,
+        incremental: true,
+        tsBuildInfoFile: path.join(cacheDir, '.tsbuildinfo'),
+      },
+    })
+    program = builderProgram.getProgram()
+  } else {
+    program = ts.createProgram(effectiveConfiguration.fileNames, options)
+  }
   const result = program.emit()
 
   // Intended to match:
@@ -79,6 +98,6 @@ export async function runTypeCheck(
     warnings,
     inputFilesCount: effectiveConfiguration.fileNames.length,
     totalFilesCount: program.getSourceFiles().length,
-    incremental: false,
+    incremental,
   }
 }
diff --git a/packages/next/lib/typescript/writeConfigurationDefaults.ts b/packages/next/lib/typescript/writeConfigurationDefaults.ts
index 04333a8b33eae..0f8ee3ae4f049 100644
--- a/packages/next/lib/typescript/writeConfigurationDefaults.ts
+++ b/packages/next/lib/typescript/writeConfigurationDefaults.ts
@@ -1,6 +1,7 @@
 import { promises as fs } from 'fs'
 import chalk from 'chalk'
 import * as CommentJson from 'next/dist/compiled/comment-json'
+import semver from 'next/dist/compiled/semver'
 import os from 'os'
 import { getTypeScriptConfiguration } from './getTypeScriptConfiguration'
 
@@ -28,6 +29,9 @@ function getDesiredCompilerOptions(
     strict: { suggested: false },
     forceConsistentCasingInFileNames: { suggested: true },
     noEmit: { suggested: true },
+    ...(semver.gte(ts.version, '4.3.0-beta')
+      ? { incremental: { suggested: true } }
+      : undefined),
 
     // These values are required and cannot be changed by the user
     // Keep this in sync with the webpack config
diff --git a/packages/next/lib/verifyTypeScriptSetup.ts b/packages/next/lib/verifyTypeScriptSetup.ts
index 6f10375cb3743..b37b26e050880 100644
--- a/packages/next/lib/verifyTypeScriptSetup.ts
+++ b/packages/next/lib/verifyTypeScriptSetup.ts
@@ -15,7 +15,8 @@ import { writeConfigurationDefaults } from './typescript/writeConfigurationDefau
 export async function verifyTypeScriptSetup(
   dir: string,
   pagesDir: string,
-  typeCheckPreflight: boolean
+  typeCheckPreflight: boolean,
+  cacheDir?: string
 ): Promise<{ result?: TypeCheckResult; version: string | null }> {
   const tsConfigPath = path.join(dir, 'tsconfig.json')
 
@@ -48,7 +49,7 @@ export async function verifyTypeScriptSetup(
       const { runTypeCheck } = require('./typescript/runTypeCheck')
 
       // Verify the project passes type-checking before we go to webpack phase:
-      result = await runTypeCheck(ts, dir, tsConfigPath)
+      result = await runTypeCheck(ts, dir, tsConfigPath, cacheDir)
     }
     return { result, version: ts.version }
   } catch (err) {
diff --git a/packages/react-dev-overlay/src/internal/components/ShadowPortal.tsx b/packages/react-dev-overlay/src/internal/components/ShadowPortal.tsx
index 228660da6dadb..61b7391c58ad3 100644
--- a/packages/react-dev-overlay/src/internal/components/ShadowPortal.tsx
+++ b/packages/react-dev-overlay/src/internal/components/ShadowPortal.tsx
@@ -11,7 +11,7 @@ export const ShadowPortal: React.FC<ShadowPortalProps> = function Portal({
   let mountNode = React.useRef<HTMLDivElement | null>(null)
   let portalNode = React.useRef<HTMLElement | null>(null)
   let shadowNode = React.useRef<ShadowRoot | null>(null)
-  let [, forceUpdate] = React.useState()
+  let [, forceUpdate] = React.useState<{} | undefined>()
 
   React.useLayoutEffect(() => {
     const ownerDocument = mountNode.current!.ownerDocument!
diff --git a/test/integration/app-tree/tsconfig.json b/test/integration/app-tree/tsconfig.json
index c5d53d8983d19..fd92c3d69662e 100644
--- a/test/integration/app-tree/tsconfig.json
+++ b/test/integration/app-tree/tsconfig.json
@@ -7,6 +7,7 @@
     "strict": false,
     "forceConsistentCasingInFileNames": true,
     "noEmit": true,
+    "incremental": true,
     "esModuleInterop": true,
     "module": "esnext",
     "moduleResolution": "node",
diff --git a/test/integration/custom-server-types/tsconfig.json b/test/integration/custom-server-types/tsconfig.json
index 3731543adffe0..c84ece7ecaead 100644
--- a/test/integration/custom-server-types/tsconfig.json
+++ b/test/integration/custom-server-types/tsconfig.json
@@ -10,6 +10,7 @@
     "strict": false,
     "forceConsistentCasingInFileNames": true,
     "noEmit": true,
+    "incremental": true,
     "moduleResolution": "node",
     "resolveJsonModule": true,
     "isolatedModules": true
diff --git a/test/integration/handle-non-page-in-pages/tsconfig.json b/test/integration/handle-non-page-in-pages/tsconfig.json
index c5d53d8983d19..fd92c3d69662e 100644
--- a/test/integration/handle-non-page-in-pages/tsconfig.json
+++ b/test/integration/handle-non-page-in-pages/tsconfig.json
@@ -7,6 +7,7 @@
     "strict": false,
     "forceConsistentCasingInFileNames": true,
     "noEmit": true,
+    "incremental": true,
     "esModuleInterop": true,
     "module": "esnext",
     "moduleResolution": "node",
diff --git a/test/integration/image-component/typescript-style/tsconfig.json b/test/integration/image-component/typescript-style/tsconfig.json
index 15cec79584e84..9ada0f9fde615 100644
--- a/test/integration/image-component/typescript-style/tsconfig.json
+++ b/test/integration/image-component/typescript-style/tsconfig.json
@@ -10,6 +10,7 @@
     "strict": true,
     "forceConsistentCasingInFileNames": true,
     "noEmit": true,
+    "incremental": true,
     "moduleResolution": "node",
     "resolveJsonModule": true,
     "isolatedModules": true
diff --git a/test/integration/image-component/typescript/tsconfig.json b/test/integration/image-component/typescript/tsconfig.json
index 15cec79584e84..9ada0f9fde615 100644
--- a/test/integration/image-component/typescript/tsconfig.json
+++ b/test/integration/image-component/typescript/tsconfig.json
@@ -10,6 +10,7 @@
     "strict": true,
     "forceConsistentCasingInFileNames": true,
     "noEmit": true,
+    "incremental": true,
     "moduleResolution": "node",
     "resolveJsonModule": true,
     "isolatedModules": true
diff --git a/test/integration/tsconfig-verifier/test/index.test.js b/test/integration/tsconfig-verifier/test/index.test.js
index d5762e6ecaf52..1011996308a4c 100644
--- a/test/integration/tsconfig-verifier/test/index.test.js
+++ b/test/integration/tsconfig-verifier/test/index.test.js
@@ -39,6 +39,7 @@ describe('tsconfig.json verifier', () => {
           \\"strict\\": false,
           \\"forceConsistentCasingInFileNames\\": true,
           \\"noEmit\\": true,
+          \\"incremental\\": true,
           \\"esModuleInterop\\": true,
           \\"module\\": \\"esnext\\",
           \\"moduleResolution\\": \\"node\\",
@@ -83,6 +84,7 @@ describe('tsconfig.json verifier', () => {
           \\"strict\\": false,
           \\"forceConsistentCasingInFileNames\\": true,
           \\"noEmit\\": true,
+          \\"incremental\\": true,
           \\"esModuleInterop\\": true,
           \\"module\\": \\"esnext\\",
           \\"moduleResolution\\": \\"node\\",
@@ -150,6 +152,7 @@ describe('tsconfig.json verifier', () => {
           \\"strict\\": false,
           \\"forceConsistentCasingInFileNames\\": true,
           \\"noEmit\\": true,
+          \\"incremental\\": true,
           \\"moduleResolution\\": \\"node\\",
           \\"resolveJsonModule\\": true,
           \\"isolatedModules\\": true,
@@ -198,6 +201,7 @@ describe('tsconfig.json verifier', () => {
           \\"strict\\": false,
           \\"forceConsistentCasingInFileNames\\": true,
           \\"noEmit\\": true,
+          \\"incremental\\": true,
           \\"moduleResolution\\": \\"node\\",
           \\"resolveJsonModule\\": true,
           \\"isolatedModules\\": true,
@@ -243,6 +247,7 @@ describe('tsconfig.json verifier', () => {
           \\"strict\\": false,
           \\"forceConsistentCasingInFileNames\\": true,
           \\"noEmit\\": true,
+          \\"incremental\\": true,
           \\"moduleResolution\\": \\"node\\",
           \\"resolveJsonModule\\": true,
           \\"isolatedModules\\": true,
@@ -281,6 +286,7 @@ describe('tsconfig.json verifier', () => {
           "strict": false,
           "forceConsistentCasingInFileNames": true,
           "noEmit": true,
+          "incremental": true,
           "esModuleInterop": true,
           "module": "esnext",
           "moduleResolution": "node",
diff --git a/test/integration/typescript-baseurl/tsconfig.json b/test/integration/typescript-baseurl/tsconfig.json
index dce2837cb1bcc..11bbfe8efba7a 100644
--- a/test/integration/typescript-baseurl/tsconfig.json
+++ b/test/integration/typescript-baseurl/tsconfig.json
@@ -11,6 +11,7 @@
     "strict": true,
     "forceConsistentCasingInFileNames": true,
     "noEmit": true,
+    "incremental": true,
     "moduleResolution": "node",
     "resolveJsonModule": true,
     "isolatedModules": true
diff --git a/test/integration/typescript-external-dir/project/tsconfig.json b/test/integration/typescript-external-dir/project/tsconfig.json
index dce2837cb1bcc..11bbfe8efba7a 100644
--- a/test/integration/typescript-external-dir/project/tsconfig.json
+++ b/test/integration/typescript-external-dir/project/tsconfig.json
@@ -11,6 +11,7 @@
     "strict": true,
     "forceConsistentCasingInFileNames": true,
     "noEmit": true,
+    "incremental": true,
     "moduleResolution": "node",
     "resolveJsonModule": true,
     "isolatedModules": true
diff --git a/test/integration/typescript-external-dir/shared/tsconfig.json b/test/integration/typescript-external-dir/shared/tsconfig.json
index de0655b2346cb..f28f31c99cba9 100644
--- a/test/integration/typescript-external-dir/shared/tsconfig.json
+++ b/test/integration/typescript-external-dir/shared/tsconfig.json
@@ -10,6 +10,7 @@
     "strict": true,
     "forceConsistentCasingInFileNames": true,
     "noEmit": true,
+    "incremental": true,
     "moduleResolution": "node",
     "resolveJsonModule": true,
     "isolatedModules": true
diff --git a/test/integration/typescript-filtered-files/tsconfig.json b/test/integration/typescript-filtered-files/tsconfig.json
index 15cec79584e84..9ada0f9fde615 100644
--- a/test/integration/typescript-filtered-files/tsconfig.json
+++ b/test/integration/typescript-filtered-files/tsconfig.json
@@ -10,6 +10,7 @@
     "strict": true,
     "forceConsistentCasingInFileNames": true,
     "noEmit": true,
+    "incremental": true,
     "moduleResolution": "node",
     "resolveJsonModule": true,
     "isolatedModules": true
diff --git a/test/integration/typescript-hmr/tsconfig.json b/test/integration/typescript-hmr/tsconfig.json
index 1442a27191070..f19745af2af6e 100644
--- a/test/integration/typescript-hmr/tsconfig.json
+++ b/test/integration/typescript-hmr/tsconfig.json
@@ -10,6 +10,7 @@
     "strict": true,
     "forceConsistentCasingInFileNames": true,
     "noEmit": true,
+    "incremental": true,
     "moduleResolution": "node",
     "resolveJsonModule": true,
     "isolatedModules": true
diff --git a/test/integration/typescript-ignore-errors/test/index.test.js b/test/integration/typescript-ignore-errors/test/index.test.js
index 57f3a51f43582..230b1592fc546 100644
--- a/test/integration/typescript-ignore-errors/test/index.test.js
+++ b/test/integration/typescript-ignore-errors/test/index.test.js
@@ -7,44 +7,65 @@ jest.setTimeout(1000 * 60 * 2)
 
 const appDir = join(__dirname, '..')
 const nextConfigFile = new File(join(appDir, 'next.config.js'))
+const tsConfigFile = new File(join(appDir, 'tsconfig.json'))
 
 describe('TypeScript with error handling options', () => {
   // Dev can no longer show errors (for now), logbox will cover this in the
   // future.
-  for (const ignoreBuildErrors of [false, true]) {
-    describe(`ignoreBuildErrors: ${ignoreBuildErrors}`, () => {
-      beforeAll(() => {
-        const nextConfig = {
-          typescript: { ignoreBuildErrors },
-        }
-        nextConfigFile.write('module.exports = ' + JSON.stringify(nextConfig))
-      })
-      afterAll(() => {
-        nextConfigFile.restore()
-      })
+  for (const incremental of [false, true]) {
+    for (const ignoreBuildErrors of [false, true]) {
+      describe(`ignoreBuildErrors: ${ignoreBuildErrors}`, () => {
+        beforeAll(() => {
+          const nextConfig = {
+            typescript: { ignoreBuildErrors },
+          }
+          nextConfigFile.write('module.exports = ' + JSON.stringify(nextConfig))
+          const tsconfig = JSON.parse(tsConfigFile.originalContent)
+          tsConfigFile.write(
+            JSON.stringify(
+              {
+                ...tsconfig,
+                compilerOptions: {
+                  ...tsconfig.compilerOptions,
+                  incremental,
+                },
+              },
+              null,
+              2
+            )
+          )
+        })
+        afterAll(() => {
+          nextConfigFile.restore()
+          tsConfigFile.restore()
+        })
 
-      it(
-        ignoreBuildErrors
-          ? 'Next builds the application despite type errors'
-          : 'Next fails to build the application despite type errors',
-        async () => {
-          const { stdout, stderr } = await nextBuild(appDir, [], {
-            stdout: true,
-            stderr: true,
-          })
+        it(
+          (ignoreBuildErrors
+            ? 'Next builds the application despite type errors'
+            : 'Next fails to build the application despite type errors') +
+            (incremental
+              ? ' in incremental mode'
+              : ' without incremental mode'),
+          async () => {
+            const { stdout, stderr } = await nextBuild(appDir, [], {
+              stdout: true,
+              stderr: true,
+            })
 
-          if (ignoreBuildErrors) {
-            expect(stdout).toContain('Compiled successfully')
-            expect(stderr).not.toContain('Failed to compile.')
-            expect(stderr).not.toContain("not assignable to type 'boolean'")
-          } else {
-            expect(stdout).not.toContain('Compiled successfully')
-            expect(stderr).toContain('Failed to compile.')
-            expect(stderr).toContain('./pages/index.tsx:2:31')
-            expect(stderr).toContain("not assignable to type 'boolean'")
+            if (ignoreBuildErrors) {
+              expect(stdout).toContain('Compiled successfully')
+              expect(stderr).not.toContain('Failed to compile.')
+              expect(stderr).not.toContain("not assignable to type 'boolean'")
+            } else {
+              expect(stdout).not.toContain('Compiled successfully')
+              expect(stderr).toContain('Failed to compile.')
+              expect(stderr).toContain('./pages/index.tsx:2:31')
+              expect(stderr).toContain("not assignable to type 'boolean'")
+            }
           }
-        }
-      )
-    })
+        )
+      })
+    }
   }
 })
diff --git a/test/integration/typescript-ignore-errors/tsconfig.json b/test/integration/typescript-ignore-errors/tsconfig.json
index 1442a27191070..f19745af2af6e 100644
--- a/test/integration/typescript-ignore-errors/tsconfig.json
+++ b/test/integration/typescript-ignore-errors/tsconfig.json
@@ -10,6 +10,7 @@
     "strict": true,
     "forceConsistentCasingInFileNames": true,
     "noEmit": true,
+    "incremental": true,
     "moduleResolution": "node",
     "resolveJsonModule": true,
     "isolatedModules": true
diff --git a/test/integration/typescript-only-remove-type-imports/tsconfig.json b/test/integration/typescript-only-remove-type-imports/tsconfig.json
index 15cec79584e84..9ada0f9fde615 100644
--- a/test/integration/typescript-only-remove-type-imports/tsconfig.json
+++ b/test/integration/typescript-only-remove-type-imports/tsconfig.json
@@ -10,6 +10,7 @@
     "strict": true,
     "forceConsistentCasingInFileNames": true,
     "noEmit": true,
+    "incremental": true,
     "moduleResolution": "node",
     "resolveJsonModule": true,
     "isolatedModules": true
diff --git a/test/integration/typescript-paths/tsconfig.json b/test/integration/typescript-paths/tsconfig.json
index 5578956b9b4b3..dfd5380d77ca6 100644
--- a/test/integration/typescript-paths/tsconfig.json
+++ b/test/integration/typescript-paths/tsconfig.json
@@ -23,6 +23,7 @@
     "strict": true,
     "forceConsistentCasingInFileNames": true,
     "noEmit": true,
+    "incremental": true,
     "moduleResolution": "node",
     "resolveJsonModule": true,
     "isolatedModules": true
diff --git a/test/integration/typescript-workspaces-paths/tsconfig.json b/test/integration/typescript-workspaces-paths/tsconfig.json
index 2be4d1bba03e6..2c9953c90187d 100644
--- a/test/integration/typescript-workspaces-paths/tsconfig.json
+++ b/test/integration/typescript-workspaces-paths/tsconfig.json
@@ -23,6 +23,7 @@
     "strict": true,
     "forceConsistentCasingInFileNames": true,
     "noEmit": true,
+    "incremental": true,
     "moduleResolution": "node",
     "resolveJsonModule": true,
     "isolatedModules": true
diff --git a/test/integration/typescript/tsconfig.json b/test/integration/typescript/tsconfig.json
index 15cec79584e84..9ada0f9fde615 100644
--- a/test/integration/typescript/tsconfig.json
+++ b/test/integration/typescript/tsconfig.json
@@ -10,6 +10,7 @@
     "strict": true,
     "forceConsistentCasingInFileNames": true,
     "noEmit": true,
+    "incremental": true,
     "moduleResolution": "node",
     "resolveJsonModule": true,
     "isolatedModules": true
diff --git a/yarn.lock b/yarn.lock
index b756310393ea0..c163a6d979744 100644
--- a/yarn.lock
+++ b/yarn.lock
@@ -16122,6 +16122,11 @@ typescript@3.8.3:
   version "3.8.3"
   resolved "https://registry.yarnpkg.com/typescript/-/typescript-3.8.3.tgz#409eb8544ea0335711205869ec458ab109ee1061"
 
+typescript@4.3.0-beta:
+  version "4.3.0-beta"
+  resolved "https://registry.yarnpkg.com/typescript/-/typescript-4.3.0-beta.tgz#8098e7be29032f09827e94b8e3a6befc9ff70c77"
+  integrity sha512-bl3wxSVL6gWLQFa466Vm5Vk3z0BNx+QxWhb9wFiYEHm6H8oqFd8Wo3XjgCVxAa5yiSFFKgo/ngBpXdIwqo5o0A==
+
 typescript@^4.1.3:
   version "4.1.3"
   resolved "https://registry.yarnpkg.com/typescript/-/typescript-4.1.3.tgz#519d582bd94cba0cf8934c7d8e8467e473f53bb7"