diff --git a/dev-packages/application-package/package.json b/dev-packages/application-package/package.json
index 741f700bd0dc0..546f9c9fb86ed 100644
--- a/dev-packages/application-package/package.json
+++ b/dev-packages/application-package/package.json
@@ -33,7 +33,7 @@
     "@types/semver": "^5.4.0",
     "@types/write-json-file": "^2.2.1",
     "changes-stream": "^2.2.0",
-    "deepmerge": "2.0.1",
+    "deepmerge": "^4.2.2",
     "fs-extra": "^4.0.2",
     "is-electron": "^2.1.0",
     "request": "^2.82.0",
diff --git a/dev-packages/application-package/src/application-package.ts b/dev-packages/application-package/src/application-package.ts
index 61aa70da034ac..a0fa5f8c3599f 100644
--- a/dev-packages/application-package/src/application-package.ts
+++ b/dev-packages/application-package/src/application-package.ts
@@ -20,7 +20,7 @@ import { NpmRegistry, NodePackage, PublishedNodePackage, sortByKey } from './npm
 import { Extension, ExtensionPackage, ExtensionPackageOptions, RawExtensionPackage } from './extension-package';
 import { ExtensionPackageCollector } from './extension-package-collector';
 import { ApplicationProps } from './application-props';
-const merge = require('deepmerge/dist/cjs');
+import deepmerge = require('deepmerge');
 
 // eslint-disable-next-line @typescript-eslint/no-explicit-any
 export type ApplicationLog = (message?: any, ...optionalParams: any[]) => void;
@@ -86,7 +86,7 @@ export class ApplicationPackage {
             theia.target = defaultTarget;
         }
 
-        return this._props = merge(ApplicationProps.DEFAULT, theia);
+        return this._props = deepmerge(ApplicationProps.DEFAULT, theia);
     }
 
     protected _pck: NodePackage | undefined;
diff --git a/dev-packages/application-package/src/application-props.ts b/dev-packages/application-package/src/application-props.ts
index c2806105060c5..d03b3774d3dba 100644
--- a/dev-packages/application-package/src/application-props.ts
+++ b/dev-packages/application-package/src/application-props.ts
@@ -15,9 +15,7 @@
  ********************************************************************************/
 
 import type { BrowserWindowConstructorOptions } from 'electron';
-
-/** `deepmerge/dist/cjs` */
-export const merge = require('deepmerge/dist/cjs');
+export import deepmerge = require('deepmerge');
 
 export type RequiredRecursive<T> = {
     [K in keyof T]-?: T[K] extends object ? RequiredRecursive<T[K]> : T[K]
diff --git a/packages/core/src/browser/frontend-application-config-provider.ts b/packages/core/src/browser/frontend-application-config-provider.ts
index 381da426dfce3..312427d75e0a1 100644
--- a/packages/core/src/browser/frontend-application-config-provider.ts
+++ b/packages/core/src/browser/frontend-application-config-provider.ts
@@ -14,7 +14,7 @@
  * SPDX-License-Identifier: EPL-2.0 OR GPL-2.0 WITH Classpath-exception-2.0
  ********************************************************************************/
 
-import { FrontendApplicationConfig, merge } from '@theia/application-package/lib/application-props';
+import { FrontendApplicationConfig, deepmerge } from '@theia/application-package/lib/application-props';
 
 export class FrontendApplicationConfigProvider {
 
@@ -35,7 +35,7 @@ export class FrontendApplicationConfigProvider {
         // eslint-disable-next-line @typescript-eslint/no-explicit-any
         const globalObject = window as any;
         const key = FrontendApplicationConfigProvider.KEY;
-        globalObject[key] = merge(FrontendApplicationConfig.DEFAULT, config);
+        globalObject[key] = deepmerge(FrontendApplicationConfig.DEFAULT, config);
     }
 
     private static doGet(): FrontendApplicationConfig | undefined {
diff --git a/packages/core/src/node/backend-application-config-provider.ts b/packages/core/src/node/backend-application-config-provider.ts
index 2d0446b711866..8e83318c34086 100644
--- a/packages/core/src/node/backend-application-config-provider.ts
+++ b/packages/core/src/node/backend-application-config-provider.ts
@@ -14,7 +14,7 @@
  * SPDX-License-Identifier: EPL-2.0 OR GPL-2.0 WITH Classpath-exception-2.0
  ********************************************************************************/
 
-import { BackendApplicationConfig, merge } from '@theia/application-package/lib/application-props';
+import { BackendApplicationConfig, deepmerge } from '@theia/application-package/lib/application-props';
 
 export class BackendApplicationConfigProvider {
 
@@ -35,7 +35,7 @@ export class BackendApplicationConfigProvider {
         // eslint-disable-next-line @typescript-eslint/no-explicit-any
         const globalObject = global as any;
         const key = BackendApplicationConfigProvider.KEY;
-        globalObject[key] = merge(BackendApplicationConfig.DEFAULT, config);
+        globalObject[key] = deepmerge(BackendApplicationConfig.DEFAULT, config);
     }
 
     private static doGet(): BackendApplicationConfig | undefined {
diff --git a/packages/monaco/package.json b/packages/monaco/package.json
index 27844ab70435b..4dd361aac34f4 100644
--- a/packages/monaco/package.json
+++ b/packages/monaco/package.json
@@ -10,7 +10,6 @@
     "@theia/monaco-editor-core": "0.23.0",
     "@theia/outline-view": "1.16.0",
     "@theia/workspace": "1.16.0",
-    "deepmerge": "2.0.1",
     "fast-plist": "^0.1.2",
     "idb": "^4.0.5",
     "jsonc-parser": "^2.2.0",
diff --git a/yarn.lock b/yarn.lock
index a25ddaf64764e..612c3ecb17a3c 100644
--- a/yarn.lock
+++ b/yarn.lock
@@ -3832,11 +3832,6 @@ deep-is@^0.1.3, deep-is@~0.1.3:
   resolved "https://registry.yarnpkg.com/deep-is/-/deep-is-0.1.3.tgz#b369d6fb5dbc13eecf524f91b070feedc357cf34"
   integrity sha1-s2nW+128E+7PUk+RsHD+7cNXzzQ=
 
-deepmerge@2.0.1:
-  version "2.0.1"
-  resolved "https://registry.yarnpkg.com/deepmerge/-/deepmerge-2.0.1.tgz#25c1c24f110fb914f80001b925264dd77f3f4312"
-  integrity sha512-VIPwiMJqJ13ZQfaCsIFnp5Me9tnjURiaIFxfz7EH0Ci0dTSQpZtSLrqOicXqEd/z2r+z+Klk9GzmnRsgpgbOsQ==
-
 deepmerge@^4.2.2:
   version "4.2.2"
   resolved "https://registry.yarnpkg.com/deepmerge/-/deepmerge-4.2.2.tgz#44d2ea3679b8f4d4ffba33f03d865fc1e7bf4955"