diff --git a/e2e/schematics/cypress.test.ts b/e2e/schematics/cypress.test.ts
index 25ba77de6f13b..2e9d35be4f6ea 100644
--- a/e2e/schematics/cypress.test.ts
+++ b/e2e/schematics/cypress.test.ts
@@ -4,7 +4,9 @@ import {
   newApp,
   newProject,
   readJson,
-  runCLI
+  runCLI,
+  updateFile,
+  readFile
 } from '../utils';
 
 describe('Cypress E2E Test runner', () => {
@@ -46,6 +48,19 @@ describe('Cypress E2E Test runner', () => {
         expect(
           runCLI('e2e --project=my-app-e2e --headless --watch=false')
         ).toContain('All specs passed!');
+
+        const originalContents = JSON.parse(
+          readFile('apps/my-app-e2e/cypress.json')
+        );
+        delete originalContents.fixtures;
+        updateFile(
+          'apps/my-app-e2e/cypress.json',
+          JSON.stringify(originalContents)
+        );
+
+        expect(
+          runCLI('e2e --project=my-app-e2e --headless --watch=false')
+        ).toContain('All specs passed!');
       },
       1000000
     );
diff --git a/packages/builders/src/cypress/cypress.builder.spec.ts b/packages/builders/src/cypress/cypress.builder.spec.ts
index 1dd842ccd75aa..6faf2731e32a9 100644
--- a/packages/builders/src/cypress/cypress.builder.spec.ts
+++ b/packages/builders/src/cypress/cypress.builder.spec.ts
@@ -5,6 +5,7 @@ import { EventEmitter } from 'events';
 import * as child_process from 'child_process';
 import * as path from 'path';
 import * as fsUtility from '@angular-devkit/schematics/tools/file-system-utility';
+import * as fsExtras from 'fs-extra';
 const Cypress = require('cypress');
 
 describe('Cypress builder', () => {
@@ -178,5 +179,82 @@ describe('Cypress builder', () => {
 
       fakeEventEmitter.emit('exit'); // Passing tsc command
     });
+
+    it('should copy fixtures files to out-dir', () => {
+      spyOn(fsUtility, 'readFile').and.callFake((path: string) => {
+        return path.endsWith('tsconfig.e2e.json')
+          ? JSON.stringify({
+              compilerOptions: {
+                outDir: '../../dist/out-tsc/apps/my-app-e2e/src'
+              }
+            })
+          : JSON.stringify({
+              fixtures: '../../dist/out-tsc/apps/my-app-e2e/src/fixtures'
+            });
+      });
+      const fakeEventEmitter = new EventEmitter();
+      spyOn(child_process, 'fork').and.returnValue(fakeEventEmitter);
+      spyOn(Cypress, 'run');
+      spyOn(fsExtras, 'copySync');
+
+      builder
+        .run({
+          root: normalize('/root'),
+          projectType: 'application',
+          builder: '@nrwl/builders:cypress',
+          options: {
+            cypressConfig: 'apps/my-app-e2e/cypress.json',
+            tsConfig: 'apps/my-app-e2e/tsconfig.e2e.json',
+            devServerTarget: undefined,
+            headless: true,
+            baseUrl: undefined,
+            watch: false
+          }
+        })
+        .subscribe(() => {
+          expect(fsExtras.copySync).toHaveBeenCalledWith(
+            'apps/my-app-e2e/src/fixtures',
+            'dist/out-tsc/my-app-e2e/src/fixtures'
+          );
+        });
+
+      fakeEventEmitter.emit('exit'); // Passing tsc command
+    });
+
+    it('should copy not fixtures files if they are not defined in the cypress config', () => {
+      spyOn(fsUtility, 'readFile').and.callFake((path: string) => {
+        return path.endsWith('tsconfig.e2e.json')
+          ? JSON.stringify({
+              compilerOptions: {
+                outDir: '../../dist/out-tsc/apps/my-app-e2e/src'
+              }
+            })
+          : JSON.stringify({});
+      });
+      const fakeEventEmitter = new EventEmitter();
+      spyOn(child_process, 'fork').and.returnValue(fakeEventEmitter);
+      spyOn(Cypress, 'run');
+      spyOn(fsExtras, 'copySync');
+
+      builder
+        .run({
+          root: normalize('/root'),
+          projectType: 'application',
+          builder: '@nrwl/builders:cypress',
+          options: {
+            cypressConfig: 'apps/my-app-e2e/cypress.json',
+            tsConfig: 'apps/my-app-e2e/tsconfig.e2e.json',
+            devServerTarget: undefined,
+            headless: true,
+            baseUrl: undefined,
+            watch: false
+          }
+        })
+        .subscribe(() => {
+          expect(fsExtras.copySync).not.toHaveBeenCalled();
+        });
+
+      fakeEventEmitter.emit('exit'); // Passing tsc command
+    });
   });
 });
diff --git a/packages/builders/src/cypress/cypress.builder.ts b/packages/builders/src/cypress/cypress.builder.ts
index 0848710e43468..13082dd58122f 100644
--- a/packages/builders/src/cypress/cypress.builder.ts
+++ b/packages/builders/src/cypress/cypress.builder.ts
@@ -79,7 +79,9 @@ export default class CypressBuilder implements Builder<CypressBuilderOptions> {
     );
 
     return this.compileTypescriptFiles(options.tsConfig, options.watch).pipe(
-      tap(() => this.copyCypressFixtures(options.tsConfig)),
+      tap(() =>
+        this.copyCypressFixtures(options.tsConfig, options.cypressConfig)
+      ),
       concatMap(
         () =>
           !options.baseUrl && options.devServerTarget
@@ -147,14 +149,16 @@ export default class CypressBuilder implements Builder<CypressBuilderOptions> {
    * This is done because `tsc` doesn't handle `json` files.
    * @param tsConfigPath
    */
-  private copyCypressFixtures(tsConfigPath: string) {
-    const tsconfigJson = JSON.parse(readFile(tsConfigPath));
+  private copyCypressFixtures(tsConfigPath: string, cypressConfigPath: string) {
+    const cypressConfig = JSON.parse(readFile(cypressConfigPath));
+    // DOn't copy fixtures if cypress config does not have it set
+    if (!cypressConfig.fixtures) {
+      return;
+    }
+
     copySync(
       `${path.dirname(tsConfigPath)}/src/fixtures`,
-      `${path.resolve(
-        path.dirname(tsConfigPath),
-        tsconfigJson.compilerOptions.outDir
-      )}/fixtures`,
+      path.join(path.dirname(cypressConfigPath), cypressConfig.fixtures),
       { overwrite: true }
     );
   }