diff --git a/.github/workflows/tests_primary.yml b/.github/workflows/tests_primary.yml
index f09faaeec2..d54b8a503d 100644
--- a/.github/workflows/tests_primary.yml
+++ b/.github/workflows/tests_primary.yml
@@ -147,6 +147,7 @@ jobs:
     - run: |
         ./utils/docker/build.sh --amd64 focal $PWTEST_DOCKER_BASE_IMAGE
         npx playwright docker build
+        nohup npx playwright docker start &
         xvfb-run npm run test-html-reporter
       env:
         PLAYWRIGHT_DOCKER: 1
diff --git a/packages/playwright-core/bin/container_install_deps.sh b/packages/playwright-core/bin/container_install_deps.sh
index 35a37d0562..b0f10c5888 100755
--- a/packages/playwright-core/bin/container_install_deps.sh
+++ b/packages/playwright-core/bin/container_install_deps.sh
@@ -67,20 +67,15 @@ git apply clip.patch
 
 # Configure FluxBox menus
 mkdir /root/.fluxbox
-cd /ms-playwright-agent
-cat <<'EOF' | node > /root/.fluxbox/menu
-  const { chromium, firefox, webkit } = require('playwright-core');
-
-  console.log(`
-    [begin] (fluxbox)
-      [submenu] (Browsers) {}
-        [exec] (Chromium) { ${chromium.executablePath()} --no-sandbox --test-type= } <>
-        [exec] (Firefox) { ${firefox.executablePath()} } <>
-        [exec] (WebKit) { ${webkit.executablePath()} } <>
-      [end]
-      [include] (/etc/X11/fluxbox/fluxbox-menu)
+cat <<'EOF' > /root/.fluxbox/menu
+  [begin] (fluxbox)
+    [submenu] (Browsers) {}
+      [exec] (Chromium) { /ms-playwright-agent/node_modules/.bin/playwright docker launch --endpoint http://127.0.0.1:5400 --browser chromium } <>
+      [exec] (Firefox) { /ms-playwright-agent/node_modules/.bin/playwright docker launch --endpoint http://127.0.0.1:5400 --browser firefox  } <>
+      [exec] (WebKit) { /ms-playwright-agent/node_modules/.bin/playwright docker launch --endpoint http://127.0.0.1:5400 --browser webkit  } <>
     [end]
-  `);
+    [include] (/etc/X11/fluxbox/fluxbox-menu)
+  [end]
 EOF
 
 cat <<'EOF' > /root/.fluxbox/lastwallpaper
diff --git a/packages/playwright-core/bin/container_run_server.sh b/packages/playwright-core/bin/container_run_server.sh
index 2bfef162f5..0813591741 100755
--- a/packages/playwright-core/bin/container_run_server.sh
+++ b/packages/playwright-core/bin/container_run_server.sh
@@ -28,4 +28,12 @@ NOVNC_UUID=$(cat /proc/sys/kernel/random/uuid)
 echo "novnc is listening on http://127.0.0.1:7900?path=$NOVNC_UUID&resize=scale&autoconnect=1"
 
 PW_UUID=$(cat /proc/sys/kernel/random/uuid)
-npx playwright run-server --port=5400 --path=/$PW_UUID
+
+# Make sure to re-start playwright server if something goes wrong.
+# The approach taken from: https://stackoverflow.com/a/697064/314883
+
+until npx playwright run-server --port=5400 --path=/$PW_UUID --proxy-mode=tether; do
+  echo "Server crashed with exit code $?. Respawning.." >&2
+  sleep 1
+done
+
diff --git a/packages/playwright-core/src/androidServerImpl.ts b/packages/playwright-core/src/androidServerImpl.ts
index 2ac01f25fa..dfbb1d43e5 100644
--- a/packages/playwright-core/src/androidServerImpl.ts
+++ b/packages/playwright-core/src/androidServerImpl.ts
@@ -49,7 +49,7 @@ export class AndroidServerLauncherImpl {
     const path = options.wsPath ? (options.wsPath.startsWith('/') ? options.wsPath : `/${options.wsPath}`) : `/${createGuid()}`;
 
     // 2. Start the server
-    const server = new PlaywrightServer({ path, maxConnections: 1, enableSocksProxy: false, preLaunchedAndroidDevice: device });
+    const server = new PlaywrightServer({ path, maxConnections: 1, preLaunchedAndroidDevice: device, browserProxyMode: 'disabled' });
     const wsEndpoint = await server.listen(options.port);
 
     // 3. Return the BrowserServer interface
diff --git a/packages/playwright-core/src/browserServerImpl.ts b/packages/playwright-core/src/browserServerImpl.ts
index a602bda7a8..9e39a15385 100644
--- a/packages/playwright-core/src/browserServerImpl.ts
+++ b/packages/playwright-core/src/browserServerImpl.ts
@@ -52,7 +52,7 @@ export class BrowserServerLauncherImpl implements BrowserServerLauncher {
     const path = options.wsPath ? (options.wsPath.startsWith('/') ? options.wsPath : `/${options.wsPath}`) : `/${createGuid()}`;
 
     // 2. Start the server
-    const server = new PlaywrightServer({ path, maxConnections: Infinity, enableSocksProxy: false, preLaunchedBrowser: browser });
+    const server = new PlaywrightServer({ path, maxConnections: Infinity, browserProxyMode: 'disabled', preLaunchedBrowser: browser });
     const wsEndpoint = await server.listen(options.port);
 
     // 3. Return the BrowserServer interface
diff --git a/packages/playwright-core/src/cli/cli.ts b/packages/playwright-core/src/cli/cli.ts
index 4b751ec065..600eac9c37 100755
--- a/packages/playwright-core/src/cli/cli.ts
+++ b/packages/playwright-core/src/cli/cli.ts
@@ -270,9 +270,15 @@ program
     .option('--port <port>', 'Server port')
     .option('--path <path>', 'Endpoint Path', '/')
     .option('--max-clients <maxClients>', 'Maximum clients')
-    .option('--no-socks-proxy', 'Disable Socks Proxy')
+    .option('--proxy-mode <mode>', 'Either `client`, `tether` or `disabled`. Defaults to `client`.', 'client')
     .action(function(options) {
-      runServer(options.port ? +options.port : undefined,  options.path, options.maxClients ? +options.maxClients : Infinity, options.socksProxy).catch(logErrorAndExit);
+      runServer({
+        port: options.port ? +options.port : undefined,
+        path: options.path,
+        maxConnections: options.maxClients ? +options.maxClients : Infinity,
+        browserProxyMode: options.proxyMode,
+        ownedByTetherClient: !!process.env.PW_OWNED_BY_TETHER_CLIENT,
+      }).catch(logErrorAndExit);
     });
 
 program
diff --git a/packages/playwright-core/src/cli/driver.ts b/packages/playwright-core/src/cli/driver.ts
index 587fd6a36a..c44a57c537 100644
--- a/packages/playwright-core/src/cli/driver.ts
+++ b/packages/playwright-core/src/cli/driver.ts
@@ -46,8 +46,23 @@ export function runDriver() {
   };
 }
 
-export async function runServer(port: number | undefined, path = '/', maxConnections = Infinity, enableSocksProxy = true) {
-  const server = new PlaywrightServer({ path, maxConnections, enableSocksProxy });
+export type RunServerOptions = {
+  port?: number,
+  path?: string,
+  maxConnections?: number,
+  browserProxyMode?: 'client' | 'tether' | 'disabled',
+  ownedByTetherClient?: boolean,
+};
+
+export async function runServer(options: RunServerOptions) {
+  const {
+    port,
+    path = '/',
+    maxConnections = Infinity,
+    browserProxyMode = 'client',
+    ownedByTetherClient = false,
+  } = options;
+  const server = new PlaywrightServer({ path, maxConnections, browserProxyMode, ownedByTetherClient });
   const wsEndpoint = await server.listen(port);
   process.on('exit', () => server.close().catch(console.error));
   console.log('Listening on ' + wsEndpoint);  // eslint-disable-line no-console
diff --git a/packages/playwright-core/src/client/playwright.ts b/packages/playwright-core/src/client/playwright.ts
index 6c8224693f..8f55c19e7b 100644
--- a/packages/playwright-core/src/client/playwright.ts
+++ b/packages/playwright-core/src/client/playwright.ts
@@ -16,7 +16,6 @@
 
 import type * as channels from '@protocol/channels';
 import { TimeoutError } from '../common/errors';
-import type * as socks from '../common/socksProxy';
 import { Android } from './android';
 import { BrowserType } from './browserType';
 import { ChannelOwner } from './channelOwner';
@@ -45,7 +44,6 @@ export class Playwright extends ChannelOwner<channels.PlaywrightChannel> {
   selectors: Selectors;
   readonly request: APIRequest;
   readonly errors: { TimeoutError: typeof TimeoutError };
-  private _socksProxyHandler: socks.SocksProxyHandler | undefined;
 
   constructor(parent: ChannelOwner, type: string, guid: string, initializer: channels.PlaywrightInitializer) {
     super(parent, type, guid, initializer);
@@ -68,7 +66,6 @@ export class Playwright extends ChannelOwner<channels.PlaywrightChannel> {
     this.selectors._addChannel(selectorsOwner);
     this._connection.on('close', () => {
       this.selectors._removeChannel(selectorsOwner);
-      this._socksProxyHandler?.cleanup();
     });
     (global as any)._playwrightInstance = this;
   }
diff --git a/packages/playwright-core/src/common/socksProxy.ts b/packages/playwright-core/src/common/socksProxy.ts
index a46d20af55..166234468e 100644
--- a/packages/playwright-core/src/common/socksProxy.ts
+++ b/packages/playwright-core/src/common/socksProxy.ts
@@ -296,6 +296,7 @@ export class SocksProxy extends EventEmitter implements SocksConnectionClient {
   private _connections = new Map<string, SocksConnection>();
   private _sockets = new Set<net.Socket>();
   private _closed = false;
+  private _port: number | undefined;
 
   constructor() {
     super();
@@ -314,10 +315,15 @@ export class SocksProxy extends EventEmitter implements SocksConnectionClient {
     });
   }
 
+  port() {
+    return this._port;
+  }
+
   async listen(port: number): Promise<number> {
     return new Promise(f => {
       this._server.listen(port, () => {
         const port = (this._server.address() as AddressInfo).port;
+        this._port = port;
         debugLogger.log('proxy', `Starting socks proxy server on port ${port}`);
         f(port);
       });
diff --git a/packages/playwright-core/src/containers/DEPS.list b/packages/playwright-core/src/containers/DEPS.list
index c89b15d593..6d98651fb8 100644
--- a/packages/playwright-core/src/containers/DEPS.list
+++ b/packages/playwright-core/src/containers/DEPS.list
@@ -2,3 +2,6 @@
 ../utils/
 ../utilsBundle.ts
 ../common/
+../server/
+../server/dispatchers/
+../..
diff --git a/packages/playwright-core/src/containers/docker.ts b/packages/playwright-core/src/containers/docker.ts
index 8461d6bf85..1d5b927d55 100644
--- a/packages/playwright-core/src/containers/docker.ts
+++ b/packages/playwright-core/src/containers/docker.ts
@@ -18,9 +18,13 @@
 import path from 'path';
 import { spawnAsync } from '../utils/spawnAsync';
 import * as utils from '../utils';
-import { getPlaywrightVersion } from '../common/userAgent';
+import { getPlaywrightVersion, getUserAgent } from '../common/userAgent';
+import { urlToWSEndpoint } from '../server/dispatchers/localUtilsDispatcher';
+import { WebSocketTransport } from '../server/transport';
+import { SocksInterceptor } from '../server/socksInterceptor';
 import * as dockerApi from './dockerApi';
 import type { Command } from '../utilsBundle';
+import * as playwright from '../..';
 
 const VRT_IMAGE_DISTRO = 'focal';
 const VRT_IMAGE_NAME = `playwright:local-${getPlaywrightVersion()}-${VRT_IMAGE_DISTRO}`;
@@ -28,24 +32,22 @@ const VRT_CONTAINER_NAME = `playwright-${getPlaywrightVersion()}-${VRT_IMAGE_DIS
 const VRT_CONTAINER_LABEL_NAME = 'dev.playwright.vrt-service.version';
 const VRT_CONTAINER_LABEL_VALUE = '1';
 
-async function startPlaywrightContainer() {
+async function startPlaywrightContainer(port: number) {
   await checkDockerEngineIsRunningOrDie();
 
-  let info = await containerInfo();
-  if (!info) {
-    process.stdout.write(`Starting docker container... `);
-    const time = Date.now();
-    info = await ensurePlaywrightContainerOrDie();
-    const deltaMs = (Date.now() - time);
-    console.log('Done in ' + (deltaMs / 1000).toFixed(1) + 's');
-  }
+  await stopAllPlaywrightContainers();
+
+  process.stdout.write(`Starting docker container... `);
+  const time = Date.now();
+  const info = await ensurePlaywrightContainerOrDie(port);
+  const deltaMs = (Date.now() - time);
+  console.log('Done in ' + (deltaMs / 1000).toFixed(1) + 's');
+  await tetherHostNetwork(info.wsEndpoint);
+
   console.log([
+    `- Endpoint: ${info.httpEndpoint}`,
     `- View screen:`,
-    `      ${info.vncSession}`,
-    `- Run tests with browsers inside container:`,
-    `      npx playwright docker test`,
-    `- Stop background container *manually* when you are done working with tests:`,
-    `      npx playwright docker stop`,
+    `    ${info.vncSession}`,
   ].join('\n'));
 }
 
@@ -130,6 +132,7 @@ async function buildPlaywrightImage() {
 }
 
 interface ContainerInfo {
+  httpEndpoint: string;
   wsEndpoint: string;
   vncSession: string;
 }
@@ -174,10 +177,14 @@ export async function containerInfo(): Promise<ContainerInfo|undefined> {
     return undefined;
   const wsEndpoint = containerUrlToHostUrl('ws://' + webSocketLine.substring(WS_LINE_PREFIX.length));
   const vncSession = containerUrlToHostUrl(novncLine.substring(NOVNC_LINE_PREFIX.length));
-  return wsEndpoint && vncSession ? { wsEndpoint, vncSession } : undefined;
+  if (!wsEndpoint || !vncSession)
+    return undefined;
+  const wsUrl = new URL(wsEndpoint);
+  const httpEndpoint = 'http://' + wsUrl.host;
+  return { wsEndpoint, vncSession, httpEndpoint };
 }
 
-export async function ensurePlaywrightContainerOrDie(): Promise<ContainerInfo> {
+export async function ensurePlaywrightContainerOrDie(port: number): Promise<ContainerInfo> {
   const pwImage = await findDockerImage(VRT_IMAGE_NAME);
   if (!pwImage) {
     throw createStacklessError('\n' + utils.wrapInASCIIBox([
@@ -228,14 +235,26 @@ export async function ensurePlaywrightContainerOrDie(): Promise<ContainerInfo> {
     }
   }
 
+  const env: Record<string, string | undefined> = {
+    PW_OWNED_BY_TETHER_CLIENT: '1',
+    DEBUG: process.env.DEBUG,
+  };
+  for (const [key, value] of Object.entries(process.env)) {
+    if (key.startsWith('PLAYWRIGHT_'))
+      env[key] = value;
+  }
   await dockerApi.launchContainer({
     imageId: pwImage.imageId,
     name: VRT_CONTAINER_NAME,
     autoRemove: true,
-    ports: [5400, 7900],
+    ports: [
+      { container: 5400, host: port },
+      { container: 7900, host: 0 },
+    ],
     labels: {
       [VRT_CONTAINER_LABEL_NAME]: VRT_CONTAINER_LABEL_VALUE,
     },
+    env,
   });
 
   // Wait for the service to become available.
@@ -274,6 +293,34 @@ function createStacklessError(message: string) {
   return error;
 }
 
+async function tetherHostNetwork(endpoint: string) {
+  const wsEndpoint = await urlToWSEndpoint(undefined /* progress */, endpoint);
+
+  const headers: any = {
+    'User-Agent': getUserAgent(),
+    'x-playwright-network-tethering': '1',
+  };
+  const transport = await WebSocketTransport.connect(undefined /* progress */, wsEndpoint, headers, true /* followRedirects */);
+  const socksInterceptor = new SocksInterceptor(transport, undefined);
+  transport.onmessage = json => socksInterceptor.interceptMessage(json);
+  transport.onclose = () => {
+    socksInterceptor.cleanup();
+  };
+  await transport.send({
+    id: 1,
+    guid: '',
+    method: 'initialize',
+    params: {
+      'sdkLanguage': 'javascript'
+    },
+    metadata: {
+      stack: [],
+      apiName: '',
+      internal: true
+    },
+  } as any);
+}
+
 export function addDockerCLI(program: Command) {
   const dockerCommand = program.command('docker', { hidden: true })
       .description(`Manage Docker integration (EXPERIMENTAL)`);
@@ -291,9 +338,15 @@ export function addDockerCLI(program: Command) {
 
   dockerCommand.command('start')
       .description('start docker container')
+      .option('--port <port>', 'port to start container on. Auto-pick by default')
       .action(async function(options) {
         try {
-          await startPlaywrightContainer();
+          const port = options.port ? +options.port : 0;
+          if (isNaN(port)) {
+            console.error(`ERROR: bad port number "${options.port}"`);
+            process.exit(1);
+          }
+          await startPlaywrightContainer(port);
         } catch (e) {
           console.error(e.stack ? e : e.message);
           process.exit(1);
@@ -341,4 +394,50 @@ export function addDockerCLI(program: Command) {
       .action(async function(options) {
         await printDockerStatus();
       });
+
+  dockerCommand.command('launch', { hidden: true })
+      .description('launch browser in container')
+      .option('--browser <name>', 'browser to launch')
+      .option('--endpoint <url>', 'server endpoint')
+      .action(async function(options: { browser: string, endpoint: string }) {
+        let browserType: any;
+        if (options.browser === 'chromium')
+          browserType = playwright.chromium;
+        else if (options.browser === 'firefox')
+          browserType = playwright.firefox;
+        else if (options.browser === 'webkit')
+          browserType = playwright.webkit;
+        if (!browserType) {
+          console.error('Unknown browser name: ', options.browser);
+          process.exit(1);
+        }
+        const browser = await browserType.connect(options.endpoint, {
+          headers: {
+            'x-playwright-launch-options': JSON.stringify({
+              headless: false,
+              viewport: null,
+            }),
+            'x-playwright-proxy': '*',
+          },
+        });
+        const context = await browser.newContext();
+        context.on('page', (page: playwright.Page) => {
+          page.on('dialog', () => {});  // Prevent dialogs from being automatically dismissed.
+          page.once('close', () => {
+            const hasPage = browser.contexts().some((context: playwright.BrowserContext) => context.pages().length > 0);
+            if (hasPage)
+              return;
+            // Avoid the error when the last page is closed because the browser has been closed.
+            browser.close().catch((e: Error) => null);
+          });
+        });
+        await context.newPage();
+      });
+
+  dockerCommand.command('tether', { hidden: true })
+      .description('tether local network to the playwright server')
+      .option('--endpoint <url>', 'server endpoint')
+      .action(async function(options: { endpoint: string }) {
+        await tetherHostNetwork(options.endpoint);
+      });
 }
diff --git a/packages/playwright-core/src/containers/dockerApi.ts b/packages/playwright-core/src/containers/dockerApi.ts
index f084bb193b..95cb22f3d0 100644
--- a/packages/playwright-core/src/containers/dockerApi.ts
+++ b/packages/playwright-core/src/containers/dockerApi.ts
@@ -63,18 +63,19 @@ interface LaunchContainerOptions {
   autoRemove: boolean;
   command?: string[];
   labels?: Record<string, string>;
-  ports?: Number[];
+  ports?: { container: number, host: number }[],
   name?: string;
   workingDir?: string;
   waitUntil?: 'not-running' | 'next-exit' | 'removed';
+  env?: { [key: string]: string | number | boolean | undefined };
 }
 
 export async function launchContainer(options: LaunchContainerOptions): Promise<string> {
   const ExposedPorts: any = {};
   const PortBindings: any = {};
   for (const port of (options.ports ?? [])) {
-    ExposedPorts[`${port}/tcp`] = {};
-    PortBindings[`${port}/tcp`] = [{ HostPort: '0', HostIp: '127.0.0.1' }];
+    ExposedPorts[`${port.container}/tcp`] = {};
+    PortBindings[`${port.container}/tcp`] = [{ HostPort: port.host + '', HostIp: '127.0.0.1' }];
   }
   const container = await postJSON(`/containers/create` + (options.name ? '?name=' + options.name : ''), {
     Cmd: options.command,
@@ -84,6 +85,7 @@ export async function launchContainer(options: LaunchContainerOptions): Promise<
     AttachStderr: true,
     Image: options.imageId,
     ExposedPorts,
+    Env: dockerProtocolEnv(options.env),
     HostConfig: {
       Init: true,
       AutoRemove: options.autoRemove,
@@ -141,14 +143,18 @@ interface CommitContainerOptions {
   env?: {[key: string]: string | number | boolean | undefined},
 }
 
+function dockerProtocolEnv(env?: {[key: string]: string | number | boolean | undefined}): string[] {
+  const result = [];
+  for (const [key, value] of Object.entries(env ?? {}))
+    result.push(`${key}=${value}`);
+  return result;
+}
+
 export async function commitContainer(options: CommitContainerOptions) {
-  const Env = [];
-  for (const [key, value] of Object.entries(options.env ?? {}))
-    Env.push(`${key}=${value}`);
   await postJSON(`/commit?container=${options.containerId}&repo=${options.repo}&tag=${options.tag}`, {
     Entrypoint: options.entrypoint,
     WorkingDir: options.workingDir,
-    Env,
+    Env: dockerProtocolEnv(options.env),
   });
 }
 
diff --git a/packages/playwright-core/src/remote/playwrightConnection.ts b/packages/playwright-core/src/remote/playwrightConnection.ts
index 90ba632e9d..64300e91f9 100644
--- a/packages/playwright-core/src/remote/playwrightConnection.ts
+++ b/packages/playwright-core/src/remote/playwrightConnection.ts
@@ -19,14 +19,13 @@ import type { DispatcherScope, Playwright } from '../server';
 import { createPlaywright, DispatcherConnection, RootDispatcher, PlaywrightDispatcher } from '../server';
 import { Browser } from '../server/browser';
 import { serverSideCallMetadata } from '../server/instrumentation';
-import { gracefullyCloseAll } from '../utils/processLauncher';
 import { SocksProxy } from '../common/socksProxy';
 import { assert } from '../utils';
 import type { LaunchOptions } from '../server/types';
 import { AndroidDevice } from '../server/android/android';
 import { DebugControllerDispatcher } from '../server/dispatchers/debugControllerDispatcher';
 
-export type ClientType = 'controller' | 'playwright' | 'launch-browser' | 'reuse-browser' | 'pre-launched-browser';
+export type ClientType = 'controller' | 'playwright' | 'launch-browser' | 'reuse-browser' | 'pre-launched-browser' | 'network-tethering';
 
 type Options = {
   enableSocksProxy: boolean,
@@ -38,6 +37,7 @@ type PreLaunched = {
   playwright?: Playwright | undefined;
   browser?: Browser | undefined;
   androidDevice?: AndroidDevice | undefined;
+  networkTetheringSocksProxy?: SocksProxy | undefined;
 };
 
 export class PlaywrightConnection {
@@ -90,17 +90,27 @@ export class PlaywrightConnection {
         return await this._initLaunchBrowserMode(scope);
       if (clientType === 'playwright')
         return await this._initPlaywrightConnectMode(scope);
+      if (clientType === 'network-tethering')
+        return await this._initPlaywrightTetheringMode(scope);
       throw new Error('Unsupported client type: ' + clientType);
     });
   }
 
+  private async _initPlaywrightTetheringMode(scope: RootDispatcher) {
+    this._debugLog(`engaged playwright.tethering mode`);
+    const playwright = createPlaywright('javascript');
+    return new PlaywrightDispatcher(scope, playwright, this._preLaunched.networkTetheringSocksProxy);
+  }
+
   private async _initPlaywrightConnectMode(scope: RootDispatcher) {
     this._debugLog(`engaged playwright.connect mode`);
     const playwright = createPlaywright('javascript');
     // Close all launched browsers on disconnect.
-    this._cleanups.push(() => gracefullyCloseAll());
+    this._cleanups.push(async () => {
+      await Promise.all(playwright.allBrowsers().map(browser => browser.close()));
+    });
 
-    const socksProxy = this._options.enableSocksProxy ? await this._enableSocksProxy(playwright) : undefined;
+    const socksProxy = await this._configureSocksProxy(playwright);
     return new PlaywrightDispatcher(scope, playwright, socksProxy);
   }
 
@@ -108,7 +118,7 @@ export class PlaywrightConnection {
     this._debugLog(`engaged launch mode for "${this._options.browserName}"`);
 
     const playwright = createPlaywright('javascript');
-    const socksProxy = this._options.enableSocksProxy ? await this._enableSocksProxy(playwright) : undefined;
+    const socksProxy = await this._configureSocksProxy(playwright);
     const browser = await playwright[this._options.browserName as 'chromium'].launch(serverSideCallMetadata(), this._options.launchOptions);
 
     this._cleanups.push(async () => {
@@ -208,7 +218,14 @@ export class PlaywrightConnection {
     return playwrightDispatcher;
   }
 
-  private async _enableSocksProxy(playwright: Playwright) {
+  private async _configureSocksProxy(playwright: Playwright): Promise<undefined|SocksProxy> {
+    if (!this._options.enableSocksProxy)
+      return undefined;
+    if (this._preLaunched.networkTetheringSocksProxy) {
+      playwright.options.socksProxyPort = this._preLaunched.networkTetheringSocksProxy.port();
+      this._debugLog(`using network tether proxy on port ${playwright.options.socksProxyPort}`);
+      return undefined;
+    }
     const socksProxy = new SocksProxy();
     playwright.options.socksProxyPort = await socksProxy.listen(0);
     this._debugLog(`started socks proxy on port ${playwright.options.socksProxyPort}`);
diff --git a/packages/playwright-core/src/remote/playwrightServer.ts b/packages/playwright-core/src/remote/playwrightServer.ts
index 0354ea08c2..16cbd95796 100644
--- a/packages/playwright-core/src/remote/playwrightServer.ts
+++ b/packages/playwright-core/src/remote/playwrightServer.ts
@@ -25,6 +25,7 @@ import type { ClientType } from './playwrightConnection';
 import type  { LaunchOptions } from '../server/types';
 import { ManualPromise } from '../utils/manualPromise';
 import type { AndroidDevice } from '../server/android/android';
+import { SocksProxy } from '../common/socksProxy';
 
 const debugLog = debug('pw:server');
 
@@ -39,15 +40,18 @@ function newLogger() {
 type ServerOptions = {
   path: string;
   maxConnections: number;
-  enableSocksProxy: boolean;
   preLaunchedBrowser?: Browser
   preLaunchedAndroidDevice?: AndroidDevice
+  browserProxyMode: 'client' | 'tether' | 'disabled',
+  ownedByTetherClient?: boolean;
 };
 
 export class PlaywrightServer {
   private _preLaunchedPlaywright: Playwright | undefined;
   private _wsServer: WebSocketServer | undefined;
+  private _networkTetheringSocksProxy: SocksProxy | undefined;
   private _options: ServerOptions;
+  private _networkTetheringClientTimeout: NodeJS.Timeout | undefined;
 
   constructor(options: ServerOptions) {
     this._options = options;
@@ -87,20 +91,31 @@ export class PlaywrightServer {
         resolve(wsEndpoint);
       }).on('error', reject);
     });
+    if (this._options.browserProxyMode === 'tether') {
+      this._networkTetheringSocksProxy = new SocksProxy();
+      await this._networkTetheringSocksProxy.listen(0);
+      debugLog('Launched tethering proxy at ' + this._networkTetheringSocksProxy.port());
+    }
 
     debugLog('Listening at ' + wsEndpoint);
+    if (this._options.ownedByTetherClient) {
+      this._networkTetheringClientTimeout = setTimeout(() => {
+        this.close();
+      }, 30_000);
+    }
 
     this._wsServer = new wsServer({ server, path: this._options.path });
     const browserSemaphore = new Semaphore(this._options.maxConnections);
     const controllerSemaphore = new Semaphore(1);
     const reuseBrowserSemaphore = new Semaphore(1);
+    const networkTetheringSemaphore = new Semaphore(1);
     this._wsServer.on('connection', (ws, request) => {
       const url = new URL('http://localhost' + (request.url || ''));
       const browserHeader = request.headers['x-playwright-browser'];
       const browserName = url.searchParams.get('browser') || (Array.isArray(browserHeader) ? browserHeader[0] : browserHeader) || null;
       const proxyHeader = request.headers['x-playwright-proxy'];
       const proxyValue = url.searchParams.get('proxy') || (Array.isArray(proxyHeader) ? proxyHeader[0] : proxyHeader);
-      const enableSocksProxy = this._options.enableSocksProxy && proxyValue === '*';
+      const enableSocksProxy = this._options.browserProxyMode !== 'disabled' && proxyValue === '*';
 
       const launchOptionsHeader = request.headers['x-playwright-launch-options'] || '';
       let launchOptions: LaunchOptions = {};
@@ -112,8 +127,8 @@ export class PlaywrightServer {
       const log = newLogger();
       log(`serving connection: ${request.url}`);
       const isDebugControllerClient = !!request.headers['x-playwright-debug-controller'];
+      const isNetworkTetheringClient = !!request.headers['x-playwright-network-tethering'];
       const shouldReuseBrowser = !!request.headers['x-playwright-reuse-context'];
-      const semaphore = isDebugControllerClient ? controllerSemaphore : (shouldReuseBrowser ? reuseBrowserSemaphore : browserSemaphore);
 
       // If we started in the legacy reuse-browser mode, create this._preLaunchedPlaywright.
       // If we get a reuse-controller request,  create this._preLaunchedPlaywright.
@@ -121,21 +136,42 @@ export class PlaywrightServer {
         this.preLaunchedPlaywright();
 
       let clientType: ClientType = 'playwright';
-      if (isDebugControllerClient)
+      let semaphore: Semaphore = browserSemaphore;
+      if (isNetworkTetheringClient) {
+        clientType = 'network-tethering';
+        semaphore = networkTetheringSemaphore;
+      } else if (isDebugControllerClient) {
         clientType = 'controller';
-      else if (shouldReuseBrowser)
+        semaphore = controllerSemaphore;
+      } else if (shouldReuseBrowser) {
         clientType = 'reuse-browser';
-      else if (this._options.preLaunchedBrowser || this._options.preLaunchedAndroidDevice)
+        semaphore = reuseBrowserSemaphore;
+      } else if (this._options.preLaunchedBrowser || this._options.preLaunchedAndroidDevice) {
         clientType = 'pre-launched-browser';
-      else if (browserName)
+        semaphore = browserSemaphore;
+      } else if (browserName) {
         clientType = 'launch-browser';
+        semaphore = browserSemaphore;
+      }
+
+      if (clientType === 'network-tethering' && this._options.ownedByTetherClient)
+        clearTimeout(this._networkTetheringClientTimeout);
 
       const connection = new PlaywrightConnection(
           semaphore.aquire(),
           clientType, ws,
           { enableSocksProxy, browserName, launchOptions },
-          { playwright: this._preLaunchedPlaywright, browser: this._options.preLaunchedBrowser, androidDevice: this._options.preLaunchedAndroidDevice },
-          log, () => semaphore.release());
+          {
+            playwright: this._preLaunchedPlaywright,
+            browser: this._options.preLaunchedBrowser,
+            androidDevice: this._options.preLaunchedAndroidDevice,
+            networkTetheringSocksProxy: this._networkTetheringSocksProxy,
+          },
+          log, () => {
+            semaphore.release();
+            if (this._options.ownedByTetherClient && clientType === 'network-tethering')
+              this.close();
+          });
       (ws as any)[kConnectionSymbol] = connection;
     });
 
@@ -146,6 +182,7 @@ export class PlaywrightServer {
     const server = this._wsServer;
     if (!server)
       return;
+    await this._networkTetheringSocksProxy?.close();
     debugLog('closing websocket server');
     const waitForClose = new Promise(f => server.close(f));
     // First disconnect all remaining clients.
diff --git a/packages/playwright-core/src/server/dispatchers/localUtilsDispatcher.ts b/packages/playwright-core/src/server/dispatchers/localUtilsDispatcher.ts
index 26e99fc516..007d46bd3a 100644
--- a/packages/playwright-core/src/server/dispatchers/localUtilsDispatcher.ts
+++ b/packages/playwright-core/src/server/dispatchers/localUtilsDispatcher.ts
@@ -14,7 +14,7 @@
  * limitations under the License.
  */
 
-import EventEmitter from 'events';
+import type EventEmitter from 'events';
 import fs from 'fs';
 import path from 'path';
 import type * as channels from '@protocol/channels';
@@ -27,14 +27,12 @@ import { ZipFile } from '../../utils/zipFile';
 import type * as har from '@trace/har';
 import type { HeadersArray } from '../types';
 import { JsonPipeDispatcher } from '../dispatchers/jsonPipeDispatcher';
-import * as socks from '../../common/socksProxy';
 import { WebSocketTransport } from '../transport';
+import { SocksInterceptor } from '../socksInterceptor';
 import type { CallMetadata } from '../instrumentation';
 import { getUserAgent } from '../../common/userAgent';
 import type { Progress } from '../progress';
 import { ProgressController } from '../progress';
-import { findValidator, ValidationError } from '../../protocol/validator';
-import type { ValidatorContext } from '../../protocol/validator';
 import { fetchData } from '../../common/netUtils';
 import type { HTTPRequestParams } from '../../common/netUtils';
 import type http from 'http';
@@ -162,12 +160,10 @@ export class LocalUtilsDispatcher extends Dispatcher<{ guid: string }, channels.
       const wsEndpoint = await urlToWSEndpoint(progress, params.wsEndpoint);
 
       const transport = await WebSocketTransport.connect(progress, wsEndpoint, paramsHeaders, true);
-      let socksInterceptor: SocksInterceptor | undefined;
+      const socksInterceptor = new SocksInterceptor(transport, params.socksProxyRedirectPortForTest);
       const pipe = new JsonPipeDispatcher(this);
       transport.onmessage = json => {
-        if (json.method === '__create__' && json.params.type === 'SocksSupport')
-          socksInterceptor = new SocksInterceptor(transport, params.socksProxyRedirectPortForTest, json.params.guid);
-        if (socksInterceptor?.interceptMessage(json))
+        if (socksInterceptor.interceptMessage(json))
           return;
         const cb = () => {
           try {
@@ -317,62 +313,6 @@ class HarBackend {
   }
 }
 
-class SocksInterceptor {
-  private _handler: socks.SocksProxyHandler;
-  private _channel: channels.SocksSupportChannel & EventEmitter;
-  private _socksSupportObjectGuid: string;
-  private _ids = new Set<number>();
-
-  constructor(transport: WebSocketTransport, redirectPortForTest: number | undefined, socksSupportObjectGuid: string) {
-    this._handler = new socks.SocksProxyHandler(redirectPortForTest);
-    this._socksSupportObjectGuid = socksSupportObjectGuid;
-
-    let lastId = -1;
-    this._channel = new Proxy(new EventEmitter(), {
-      get: (obj: any, prop) => {
-        if ((prop in obj) || obj[prop] !== undefined || typeof prop !== 'string')
-          return obj[prop];
-        return (params: any) => {
-          try {
-            const id = --lastId;
-            this._ids.add(id);
-            const validator = findValidator('SocksSupport', prop, 'Params');
-            params = validator(params, '', { tChannelImpl: tChannelForSocks, binary: 'toBase64' });
-            transport.send({ id, guid: socksSupportObjectGuid, method: prop, params, metadata: { stack: [], apiName: '', internal: true } } as any);
-          } catch (e) {
-          }
-        };
-      },
-    }) as channels.SocksSupportChannel & EventEmitter;
-    this._handler.on(socks.SocksProxyHandler.Events.SocksConnected, (payload: socks.SocksSocketConnectedPayload) => this._channel.socksConnected(payload));
-    this._handler.on(socks.SocksProxyHandler.Events.SocksData, (payload: socks.SocksSocketDataPayload) => this._channel.socksData(payload));
-    this._handler.on(socks.SocksProxyHandler.Events.SocksError, (payload: socks.SocksSocketErrorPayload) => this._channel.socksError(payload));
-    this._handler.on(socks.SocksProxyHandler.Events.SocksFailed, (payload: socks.SocksSocketFailedPayload) => this._channel.socksFailed(payload));
-    this._handler.on(socks.SocksProxyHandler.Events.SocksEnd, (payload: socks.SocksSocketEndPayload) => this._channel.socksEnd(payload));
-    this._channel.on('socksRequested', payload => this._handler.socketRequested(payload));
-    this._channel.on('socksClosed', payload => this._handler.socketClosed(payload));
-    this._channel.on('socksData', payload => this._handler.sendSocketData(payload));
-  }
-
-  cleanup() {
-    this._handler.cleanup();
-  }
-
-  interceptMessage(message: any): boolean {
-    if (this._ids.has(message.id)) {
-      this._ids.delete(message.id);
-      return true;
-    }
-    if (message.guid === this._socksSupportObjectGuid) {
-      const validator = findValidator('SocksSupport', message.method, 'Event');
-      const params = validator(message.params, '', { tChannelImpl: tChannelForSocks, binary: 'fromBase64' });
-      this._channel.emit(message.method, params);
-      return true;
-    }
-    return false;
-  }
-}
-
 function countMatchingHeaders(harHeaders: har.Header[], headers: HeadersArray): number {
   const set = new Set(headers.map(h => h.name.toLowerCase() + ':' + h.value));
   let matches = 0;
@@ -383,15 +323,11 @@ function countMatchingHeaders(harHeaders: har.Header[], headers: HeadersArray):
   return matches;
 }
 
-function tChannelForSocks(names: '*' | string[], arg: any, path: string, context: ValidatorContext) {
-  throw new ValidationError(`${path}: channels are not expected in SocksSupport`);
-}
-
-async function urlToWSEndpoint(progress: Progress, endpointURL: string): Promise<string> {
+export async function urlToWSEndpoint(progress: Progress|undefined, endpointURL: string): Promise<string> {
   if (endpointURL.startsWith('ws'))
     return endpointURL;
 
-  progress.log(`<ws preparing> retrieving websocket url from ${endpointURL}`);
+  progress?.log(`<ws preparing> retrieving websocket url from ${endpointURL}`);
   const fetchUrl = new URL(endpointURL);
   if (!fetchUrl.pathname.endsWith('/'))
     fetchUrl.pathname += '/';
@@ -399,13 +335,13 @@ async function urlToWSEndpoint(progress: Progress, endpointURL: string): Promise
   const json = await fetchData({
     url: fetchUrl.toString(),
     method: 'GET',
-    timeout: progress.timeUntilDeadline(),
+    timeout: progress?.timeUntilDeadline() ?? 30_000,
     headers: { 'User-Agent': getUserAgent() },
   }, async (params: HTTPRequestParams, response: http.IncomingMessage) => {
     return new Error(`Unexpected status ${response.statusCode} when connecting to ${fetchUrl.toString()}.\n` +
         `This does not look like a Playwright server, try connecting via ws://.`);
   });
-  progress.throwIfAborted();
+  progress?.throwIfAborted();
 
   const wsUrl = new URL(endpointURL);
   let wsEndpointPath = JSON.parse(json).wsEndpointPath;
diff --git a/packages/playwright-core/src/server/socksInterceptor.ts b/packages/playwright-core/src/server/socksInterceptor.ts
new file mode 100644
index 0000000000..2df184cfeb
--- /dev/null
+++ b/packages/playwright-core/src/server/socksInterceptor.ts
@@ -0,0 +1,86 @@
+/**
+ * Copyright (c) Microsoft Corporation.
+ *
+ * Licensed under the Apache License, Version 2.0 (the 'License");
+ * you may not use this file except in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ * http://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+ */
+
+import * as socks from '../common/socksProxy';
+import EventEmitter from 'events';
+import type * as channels from '@protocol/channels';
+import type { WebSocketTransport } from './transport';
+import { findValidator, ValidationError } from '../protocol/validator';
+import type { ValidatorContext } from '../protocol/validator';
+
+export class SocksInterceptor {
+  private _handler: socks.SocksProxyHandler;
+  private _channel: channels.SocksSupportChannel & EventEmitter;
+  private _socksSupportObjectGuid?: string;
+  private _ids = new Set<number>();
+
+  constructor(transport: WebSocketTransport, redirectPortForTest: number | undefined) {
+    this._handler = new socks.SocksProxyHandler(redirectPortForTest);
+
+    let lastId = -1;
+    this._channel = new Proxy(new EventEmitter(), {
+      get: (obj: any, prop) => {
+        if ((prop in obj) || obj[prop] !== undefined || typeof prop !== 'string')
+          return obj[prop];
+        return (params: any) => {
+          try {
+            const id = --lastId;
+            this._ids.add(id);
+            const validator = findValidator('SocksSupport', prop, 'Params');
+            params = validator(params, '', { tChannelImpl: tChannelForSocks, binary: 'toBase64' });
+            transport.send({ id, guid: this._socksSupportObjectGuid, method: prop, params, metadata: { stack: [], apiName: '', internal: true } } as any);
+          } catch (e) {
+          }
+        };
+      },
+    }) as channels.SocksSupportChannel & EventEmitter;
+    this._handler.on(socks.SocksProxyHandler.Events.SocksConnected, (payload: socks.SocksSocketConnectedPayload) => this._channel.socksConnected(payload));
+    this._handler.on(socks.SocksProxyHandler.Events.SocksData, (payload: socks.SocksSocketDataPayload) => this._channel.socksData(payload));
+    this._handler.on(socks.SocksProxyHandler.Events.SocksError, (payload: socks.SocksSocketErrorPayload) => this._channel.socksError(payload));
+    this._handler.on(socks.SocksProxyHandler.Events.SocksFailed, (payload: socks.SocksSocketFailedPayload) => this._channel.socksFailed(payload));
+    this._handler.on(socks.SocksProxyHandler.Events.SocksEnd, (payload: socks.SocksSocketEndPayload) => this._channel.socksEnd(payload));
+    this._channel.on('socksRequested', payload => this._handler.socketRequested(payload));
+    this._channel.on('socksClosed', payload => this._handler.socketClosed(payload));
+    this._channel.on('socksData', payload => this._handler.sendSocketData(payload));
+  }
+
+  cleanup() {
+    this._handler.cleanup();
+  }
+
+  interceptMessage(message: any): boolean {
+    if (this._ids.has(message.id)) {
+      this._ids.delete(message.id);
+      return true;
+    }
+    if (message.method === '__create__' && message.params.type === 'SocksSupport') {
+      this._socksSupportObjectGuid = message.params.guid;
+      return false;
+    }
+    if (this._socksSupportObjectGuid && message.guid === this._socksSupportObjectGuid) {
+      const validator = findValidator('SocksSupport', message.method, 'Event');
+      const params = validator(message.params, '', { tChannelImpl: tChannelForSocks, binary: 'fromBase64' });
+      this._channel.emit(message.method, params);
+      return true;
+    }
+    return false;
+  }
+}
+
+function tChannelForSocks(names: '*' | string[], arg: any, path: string, context: ValidatorContext) {
+  throw new ValidationError(`${path}: channels are not expected in SocksSupport`);
+}
+
diff --git a/packages/playwright-core/src/server/transport.ts b/packages/playwright-core/src/server/transport.ts
index b3766acba7..84feed7ca6 100644
--- a/packages/playwright-core/src/server/transport.ts
+++ b/packages/playwright-core/src/server/transport.ts
@@ -48,27 +48,27 @@ export interface ConnectionTransport {
 
 export class WebSocketTransport implements ConnectionTransport {
   private _ws: WebSocket;
-  private _progress: Progress;
+  private _progress?: Progress;
 
   onmessage?: (message: ProtocolResponse) => void;
   onclose?: () => void;
   readonly wsEndpoint: string;
 
-  static async connect(progress: Progress, url: string, headers?: { [key: string]: string; }, followRedirects?: boolean): Promise<WebSocketTransport> {
-    progress.log(`<ws connecting> ${url}`);
+  static async connect(progress: (Progress|undefined), url: string, headers?: { [key: string]: string; }, followRedirects?: boolean): Promise<WebSocketTransport> {
+    progress?.log(`<ws connecting> ${url}`);
     const transport = new WebSocketTransport(progress, url, headers, followRedirects);
     let success = false;
-    progress.cleanupWhenAborted(async () => {
+    progress?.cleanupWhenAborted(async () => {
       if (!success)
         await transport.closeAndWait().catch(e => null);
     });
     await new Promise<WebSocketTransport>((fulfill, reject) => {
       transport._ws.on('open', async () => {
-        progress.log(`<ws connected> ${url}`);
+        progress?.log(`<ws connected> ${url}`);
         fulfill(transport);
       });
       transport._ws.on('error', event => {
-        progress.log(`<ws connect error> ${url} ${event.message}`);
+        progress?.log(`<ws connect error> ${url} ${event.message}`);
         reject(new Error('WebSocket error: ' + event.message));
         transport._ws.close();
       });
@@ -78,7 +78,7 @@ export class WebSocketTransport implements ConnectionTransport {
         response.on('data', chunk => chunks.push(chunk));
         response.on('close', () => {
           const error = chunks.length ? `${errorPrefix}\n${Buffer.concat(chunks)}` : errorPrefix;
-          progress.log(`<ws unexpected response> ${error}`);
+          progress?.log(`<ws unexpected response> ${error}`);
           reject(new Error('WebSocket error: ' + error));
           transport._ws.close();
         });
@@ -88,13 +88,13 @@ export class WebSocketTransport implements ConnectionTransport {
     return transport;
   }
 
-  constructor(progress: Progress, url: string, headers?: { [key: string]: string; }, followRedirects?: boolean) {
+  constructor(progress: Progress|undefined, url: string, headers?: { [key: string]: string; }, followRedirects?: boolean) {
     this.wsEndpoint = url;
     this._ws = new ws(url, [], {
       perMessageDeflate: false,
       maxPayload: 256 * 1024 * 1024, // 256Mb,
       // Prevent internal http client error when passing negative timeout.
-      handshakeTimeout: Math.max(progress.timeUntilDeadline(), 1),
+      handshakeTimeout: Math.max(progress?.timeUntilDeadline() ?? 30_000, 1),
       headers,
       followRedirects,
     });
@@ -117,12 +117,12 @@ export class WebSocketTransport implements ConnectionTransport {
     });
 
     this._ws.addEventListener('close', event => {
-      this._progress && this._progress.log(`<ws disconnected> ${url} code=${event.code} reason=${event.reason}`);
+      this._progress?.log(`<ws disconnected> ${url} code=${event.code} reason=${event.reason}`);
       if (this.onclose)
         this.onclose.call(null);
     });
     // Prevent Error: read ECONNRESET.
-    this._ws.addEventListener('error', error => this._progress && this._progress.log(`<ws error> ${error.type} ${error.message}`));
+    this._ws.addEventListener('error', error => this._progress?.log(`<ws error> ${error.type} ${error.message}`));
   }
 
   send(message: ProtocolRequest) {
@@ -130,7 +130,7 @@ export class WebSocketTransport implements ConnectionTransport {
   }
 
   close() {
-    this._progress && this._progress.log(`<ws disconnecting> ${this._ws.url}`);
+    this._progress?.log(`<ws disconnecting> ${this._ws.url}`);
     this._ws.close();
   }
 
diff --git a/packages/playwright-test/src/plugins/dockerPlugin.ts b/packages/playwright-test/src/plugins/dockerPlugin.ts
index c9e6a463e5..297dbda76d 100644
--- a/packages/playwright-test/src/plugins/dockerPlugin.ts
+++ b/packages/playwright-test/src/plugins/dockerPlugin.ts
@@ -17,7 +17,7 @@
 import type { TestRunnerPlugin } from '.';
 import type { FullConfig, Reporter, Suite } from '../../types/testReporter';
 import { colors } from 'playwright-core/lib/utilsBundle';
-import { checkDockerEngineIsRunningOrDie, containerInfo, ensurePlaywrightContainerOrDie } from 'playwright-core/lib/containers/docker';
+import { checkDockerEngineIsRunningOrDie, containerInfo } from 'playwright-core/lib/containers/docker';
 
 export const dockerPlugin: TestRunnerPlugin = {
   name: 'playwright:docker',
@@ -26,22 +26,13 @@ export const dockerPlugin: TestRunnerPlugin = {
     if (!process.env.PLAYWRIGHT_DOCKER)
       return;
 
-    const print = (text: string) => reporter.onStdOut?.(text);
     const println = (text: string) => reporter.onStdOut?.(text + '\n');
 
     println(colors.dim('Using docker container to run browsers.'));
     await checkDockerEngineIsRunningOrDie();
-    let info = await containerInfo();
-    if (!info) {
-      print(colors.dim(`Starting docker container... `));
-      const time = Date.now();
-      info = await ensurePlaywrightContainerOrDie();
-      const deltaMs = (Date.now() - time);
-      println(colors.dim('Done in ' + (deltaMs / 1000).toFixed(1) + 's'));
-      println(colors.dim('The Docker container will keep running after tests finished.'));
-      println(colors.dim('Stop manually using:'));
-      println(colors.dim('    npx playwright docker stop'));
-    }
+    const info = await containerInfo();
+    if (!info)
+      throw new Error('ERROR: please launch docker container separately!');
     println(colors.dim(`View screen: ${info.vncSession}`));
     println('');
     process.env.PW_TEST_CONNECT_WS_ENDPOINT = info.wsEndpoint;
diff --git a/tests/config/baseTest.ts b/tests/config/baseTest.ts
index 96995f62ba..f5920df926 100644
--- a/tests/config/baseTest.ts
+++ b/tests/config/baseTest.ts
@@ -16,7 +16,7 @@
 
 import type { TestType, Fixtures } from '@playwright/test';
 import { test } from '@playwright/test';
-import type { CommonFixtures } from './commonFixtures';
+import type { CommonFixtures, CommonWorkerFixtures } from './commonFixtures';
 import { commonFixtures } from './commonFixtures';
 import type { ServerFixtures, ServerWorkerOptions } from './serverFixtures';
 import { serverFixtures } from './serverFixtures';
@@ -36,7 +36,7 @@ export const baseTest = base
     ._extendTest(coverageTest)
     ._extendTest(platformTest)
     ._extendTest(testModeTest)
-    .extend<CommonFixtures>(commonFixtures)
+    .extend<CommonFixtures, CommonWorkerFixtures>(commonFixtures)
     .extend<ServerFixtures, ServerWorkerOptions>(serverFixtures)
     .extend<{}, { _snapshotSuffix: string }>({
       _snapshotSuffix: ['', { scope: 'worker' }],
diff --git a/tests/config/commonFixtures.ts b/tests/config/commonFixtures.ts
index b629a762b8..344401668c 100644
--- a/tests/config/commonFixtures.ts
+++ b/tests/config/commonFixtures.ts
@@ -115,7 +115,11 @@ export type CommonFixtures = {
   waitForPort: (port: number) => Promise<void>;
 };
 
-export const commonFixtures: Fixtures<CommonFixtures, {}> = {
+export type CommonWorkerFixtures = {
+  daemonProcess: (params: TestChildParams) => TestChildProcess;
+};
+
+export const commonFixtures: Fixtures<CommonFixtures, CommonWorkerFixtures> = {
   childProcess: async ({}, use, testInfo) => {
     const processes: TestChildProcess[] = [];
     await use(params => {
@@ -133,6 +137,16 @@ export const commonFixtures: Fixtures<CommonFixtures, {}> = {
     }
   },
 
+  daemonProcess: [async ({}, use) => {
+    const processes: TestChildProcess[] = [];
+    await use(params => {
+      const process = new TestChildProcess(params);
+      processes.push(process);
+      return process;
+    });
+    await Promise.all(processes.map(child => child.close()));
+  }, { scope: 'worker' }],
+
   waitForPort: async ({}, use) => {
     const token = { canceled: false };
     await use(async port => {
diff --git a/tests/installation/docker-integration.spec.ts b/tests/installation/docker-integration.spec.ts
index 8989e06295..7cb64cf40e 100755
--- a/tests/installation/docker-integration.spec.ts
+++ b/tests/installation/docker-integration.spec.ts
@@ -17,6 +17,7 @@ import { test, expect } from './npmTest';
 import * as path from 'path';
 import { TestServer } from '../../utils/testserver';
 
+
 // Skipping docker tests on CI on non-linux since GHA does not have
 // Docker engine installed on macOS and Windows.
 test.skip(() => process.env.CI && process.platform !== 'linux');
@@ -28,126 +29,97 @@ test.beforeAll(async ({ exec }) => {
   });
 });
 
-test('make sure it tells to run `npx playwright docker build` when image is not instaleld', async ({ exec }) => {
+test('make sure it tells to run `npx playwright docker build` when image is not installed', async ({ exec }) => {
   await exec('npm i --foreground-scripts @playwright/test');
-  const result = await exec('npx playwright test docker.spec.js', {
+  const result = await exec('npx playwright docker start', {
     expectToExitWithError: true,
-    env: { PLAYWRIGHT_DOCKER: '1' },
   });
   expect(result).toContain('npx playwright docker build');
 });
 
 test.describe('installed image', () => {
-  test.beforeAll(async ({ exec }) => {
+  test.beforeAll(async ({ exec, daemonProcess, waitForPort }) => {
     await exec('npx playwright docker build', {
       env: { PWTEST_DOCKER_BASE_IMAGE: 'playwright:installation-tests-focal' },
       cwd: path.join(__dirname, '..', '..'),
     });
+    const dockerProcess = await daemonProcess({
+      command: ['npx', 'playwright', 'docker', 'start', '--port=5667'],
+      shell: true,
+      cwd: path.join(__dirname, '..', '..'),
+    });
+    await dockerProcess.waitForOutput('- Endpoint:');
   });
+
   test.afterAll(async ({ exec }) => {
     await exec('npx playwright docker delete-image', {
       cwd: path.join(__dirname, '..', '..'),
     });
   });
 
-  test('make sure it auto-starts container', async ({ exec }) => {
+  test('all browsers work headless', async ({ exec }) => {
     await exec('npm i --foreground-scripts @playwright/test');
-    await exec('npx playwright docker stop');
-    const result = await exec('npx playwright test docker.spec.js --grep platform', {
+    const result = await exec('npx playwright test docker.spec.js --grep platform --browser all', {
       env: { PLAYWRIGHT_DOCKER: '1' },
     });
     expect(result).toContain('@chromium Linux');
+    expect(result).toContain('@webkit Linux');
+    expect(result).toContain('@firefox Linux');
   });
 
-  test.describe('running container', () => {
-    test.beforeAll(async ({ exec }) => {
-      await exec('npx playwright docker start', {
-        cwd: path.join(__dirname, '..', '..'),
-      });
-    });
-
-    test.afterAll(async ({ exec }) => {
-      await exec('npx playwright docker stop', {
-        cwd: path.join(__dirname, '..', '..'),
-      });
-    });
-
-    test('all browsers work headless', async ({ exec }) => {
-      await exec('npm i --foreground-scripts @playwright/test');
-      const result = await exec('npx playwright test docker.spec.js --grep platform --browser all', {
+  test('all browsers work headed', async ({ exec }) => {
+    await exec('npm i --foreground-scripts @playwright/test');
+    {
+      const result = await exec(`npx playwright test docker.spec.js --headed --grep userAgent --browser chromium`, {
         env: { PLAYWRIGHT_DOCKER: '1' },
       });
-      expect(result).toContain('@chromium Linux');
-      expect(result).toContain('@webkit Linux');
-      expect(result).toContain('@firefox Linux');
-    });
-
-    test('supports PLAYWRIGHT_DOCKER env variable', async ({ exec }) => {
-      await exec('npm i --foreground-scripts @playwright/test');
-      const result = await exec('npx playwright test docker.spec.js --grep platform --browser all', {
-        env: {
-          PLAYWRIGHT_DOCKER: '1',
-        },
-      });
-      expect(result).toContain('@chromium Linux');
-      expect(result).toContain('@webkit Linux');
-      expect(result).toContain('@firefox Linux');
-    });
-
-    test('all browsers work headed', async ({ exec }) => {
-      await exec('npm i --foreground-scripts @playwright/test');
-      {
-        const result = await exec(`npx playwright test docker.spec.js --headed --grep userAgent --browser chromium`, {
-          env: { PLAYWRIGHT_DOCKER: '1' },
-        });
-        expect(result).toContain('@chromium');
-        expect(result).not.toContain('Headless');
-        expect(result).toContain(' Chrome/');
-      }
-      {
-        const result = await exec(`npx playwright test docker.spec.js --headed --grep userAgent --browser webkit`, {
-          env: { PLAYWRIGHT_DOCKER: '1' },
-        });
-        expect(result).toContain('@webkit');
-        expect(result).toContain(' Version/');
-      }
-      {
-        const result = await exec(`npx playwright test docker.spec.js --headed --grep userAgent --browser firefox`, {
-          env: { PLAYWRIGHT_DOCKER: '1' },
-        });
-        expect(result).toContain('@firefox');
-        expect(result).toContain(' Firefox/');
-      }
-    });
-
-    test('screenshots should use __screenshots__ folder', async ({ exec, tmpWorkspace }) => {
-      await exec('npm i --foreground-scripts @playwright/test');
-      await exec('npx playwright test docker.spec.js --grep screenshot --browser all', {
-        expectToExitWithError: true,
+      expect(result).toContain('@chromium');
+      expect(result).not.toContain('Headless');
+      expect(result).toContain(' Chrome/');
+    }
+    {
+      const result = await exec(`npx playwright test docker.spec.js --headed --grep userAgent --browser webkit`, {
         env: { PLAYWRIGHT_DOCKER: '1' },
       });
-      await expect(path.join(tmpWorkspace, '__screenshots__', 'firefox', 'docker.spec.js', 'img.png')).toExistOnFS();
-      await expect(path.join(tmpWorkspace, '__screenshots__', 'chromium', 'docker.spec.js', 'img.png')).toExistOnFS();
-      await expect(path.join(tmpWorkspace, '__screenshots__', 'webkit', 'docker.spec.js', 'img.png')).toExistOnFS();
-    });
+      expect(result).toContain('@webkit');
+      expect(result).toContain(' Version/');
+    }
+    {
+      const result = await exec(`npx playwright test docker.spec.js --headed --grep userAgent --browser firefox`, {
+        env: { PLAYWRIGHT_DOCKER: '1' },
+      });
+      expect(result).toContain('@firefox');
+      expect(result).toContain(' Firefox/');
+    }
+  });
 
-    test('port forwarding works', async ({ exec, tmpWorkspace }) => {
-      await exec('npm i --foreground-scripts @playwright/test');
-      const TEST_PORT = 8425;
-      const server = await TestServer.create(tmpWorkspace, TEST_PORT);
-      server.setRoute('/', (request, response) => {
-        response.end('Hello from host');
-      });
-      const result = await exec('npx playwright test docker.spec.js --grep localhost --browser all', {
-        env: {
-          PLAYWRIGHT_DOCKER: '1',
-          TEST_PORT: TEST_PORT + '',
-        },
-      });
-      expect(result).toContain('@chromium Hello from host');
-      expect(result).toContain('@webkit Hello from host');
-      expect(result).toContain('@firefox Hello from host');
+  test('screenshots should use __screenshots__ folder', async ({ exec, tmpWorkspace }) => {
+    await exec('npm i --foreground-scripts @playwright/test');
+    await exec('npx playwright test docker.spec.js --grep screenshot --browser all', {
+      expectToExitWithError: true,
+      env: { PLAYWRIGHT_DOCKER: '1' },
     });
+    await expect(path.join(tmpWorkspace, '__screenshots__', 'firefox', 'docker.spec.js', 'img.png')).toExistOnFS();
+    await expect(path.join(tmpWorkspace, '__screenshots__', 'chromium', 'docker.spec.js', 'img.png')).toExistOnFS();
+    await expect(path.join(tmpWorkspace, '__screenshots__', 'webkit', 'docker.spec.js', 'img.png')).toExistOnFS();
+  });
+
+  test('port forwarding works', async ({ exec, tmpWorkspace }) => {
+    await exec('npm i --foreground-scripts @playwright/test');
+    const TEST_PORT = 8425;
+    const server = await TestServer.create(tmpWorkspace, TEST_PORT);
+    server.setRoute('/', (request, response) => {
+      response.end('Hello from host');
+    });
+    const result = await exec('npx playwright test docker.spec.js --grep localhost --browser all', {
+      env: {
+        TEST_PORT: TEST_PORT + '',
+        PLAYWRIGHT_DOCKER: '1'
+      },
+    });
+    expect(result).toContain('@chromium Hello from host');
+    expect(result).toContain('@webkit Hello from host');
+    expect(result).toContain('@firefox Hello from host');
   });
 });
 
diff --git a/tests/installation/npmTest.ts b/tests/installation/npmTest.ts
index 3d52228496..ac4f0b308d 100644
--- a/tests/installation/npmTest.ts
+++ b/tests/installation/npmTest.ts
@@ -24,6 +24,8 @@ import path from 'path';
 import debugLogger from 'debug';
 import { Registry }  from './registry';
 import { spawnAsync } from './spawnAsync';
+import type { CommonFixtures, CommonWorkerFixtures } from '../config/commonFixtures';
+import { commonFixtures } from '../config/commonFixtures';
 
 
 export const TMP_WORKSPACES = path.join(os.platform() === 'darwin' ? '/tmp' : os.tmpdir(), 'pwt', 'workspaces');
@@ -76,111 +78,116 @@ const expect = _expect;
 
 export type ExecOptions = { cwd?: string, env?: Record<string, string>, message?: string, expectToExitWithError?: boolean };
 export type ArgsOrOptions = [] | [...string[]] | [...string[], ExecOptions] | [ExecOptions];
-export const test = _test.extend<{
-    _auto: void,
-    tmpWorkspace: string,
-    nodeMajorVersion: number,
-    installedSoftwareOnDisk: (registryPath?: string) => Promise<string[]>;
-    writeFiles: (nameToContents: Record<string, string>) => Promise<void>,
-    exec: (cmd: string, ...argsAndOrOptions: ArgsOrOptions) => Promise<string>
-    tsc: (...argsAndOrOptions: ArgsOrOptions) => Promise<string>,
-    registry: Registry,
-        }>({
-          _auto: [async ({ tmpWorkspace, exec }, use) => {
-            await exec('npm init -y');
-            const sourceDir = path.join(__dirname, 'fixture-scripts');
-            const contents = await fs.promises.readdir(sourceDir);
-            await Promise.all(contents.map(f => fs.promises.copyFile(path.join(sourceDir, f), path.join(tmpWorkspace, f))));
-            await use();
-          }, {
-            auto: true,
-          }],
-          nodeMajorVersion: async ({}, use) => {
-            await use(+process.versions.node.split('.')[0]);
-          },
-          writeFiles: async ({ tmpWorkspace }, use) => {
-            await use(async (nameToContents: Record<string, string>) => {
-              for (const [name, contents] of Object.entries(nameToContents))
-                await fs.promises.writeFile(path.join(tmpWorkspace, name), contents);
-            });
-          },
-          tmpWorkspace: async ({}, use) => {
-            // We want a location that won't have a node_modules dir anywhere along its path
-            const tmpWorkspace = path.join(TMP_WORKSPACES, path.basename(test.info().outputDir));
-            await fs.promises.mkdir(tmpWorkspace);
-            debug(`Workspace Folder: ${tmpWorkspace}`);
-            await use(tmpWorkspace);
-          },
-          registry: async ({}, use, testInfo) => {
-            const port = testInfo.workerIndex + 16123;
-            const url = `http://127.0.0.1:${port}`;
-            const registry = new Registry(testInfo.outputPath('registry'), url);
-            await registry.start(JSON.parse((await fs.promises.readFile(path.join(__dirname, '.registry.json'), 'utf8'))));
-            await use(registry);
-            await registry.shutdown();
-          },
-          installedSoftwareOnDisk: async ({ tmpWorkspace }, use) => {
-            await use(async (registryPath?: string) => fs.promises.readdir(registryPath || path.join(tmpWorkspace, 'browsers')).catch(() => []).then(files => files.map(f => f.split('-')[0]).filter(f => !f.startsWith('.'))));
-          },
-          exec: async ({ registry, tmpWorkspace }, use, testInfo) => {
-            await use(async (cmd: string, ...argsAndOrOptions: [] | [...string[]] | [...string[], ExecOptions] | [ExecOptions]) => {
-              let args: string[] = [];
-              let options: ExecOptions = {};
-              if (typeof argsAndOrOptions[argsAndOrOptions.length - 1] === 'object')
-                options = argsAndOrOptions.pop() as ExecOptions;
 
-              args = argsAndOrOptions as string[];
+export type NPMTestFixtures = {
+  _auto: void,
+  tmpWorkspace: string,
+  nodeMajorVersion: number,
+  installedSoftwareOnDisk: (registryPath?: string) => Promise<string[]>;
+  writeFiles: (nameToContents: Record<string, string>) => Promise<void>,
+  exec: (cmd: string, ...argsAndOrOptions: ArgsOrOptions) => Promise<string>
+  tsc: (...argsAndOrOptions: ArgsOrOptions) => Promise<string>,
+  registry: Registry,
+};
 
-              let result!: Awaited<ReturnType<typeof spawnAsync>>;
-              await test.step(`exec: ${[cmd, ...args].join(' ')}`, async () => {
-                result = await spawnAsync(cmd, args, {
-                  shell: true,
-                  cwd: options.cwd ?? tmpWorkspace,
-                  // NB: We end up running npm-in-npm, so it's important that we do NOT forward process.env and instead cherry-pick environment variables.
-                  env: {
-                    'PATH': process.env.PATH,
-                    'DISPLAY': process.env.DISPLAY,
-                    'XAUTHORITY': process.env.XAUTHORITY,
-                    'PLAYWRIGHT_BROWSERS_PATH': path.join(tmpWorkspace, 'browsers'),
-                    'npm_config_cache': testInfo.outputPath('npm_cache'),
-                    'npm_config_registry': registry.url(),
-                    'npm_config_prefix': testInfo.outputPath('npm_global'),
-                    ...options.env,
-                  }
-                });
-              });
-
-              const command = [cmd, ...args].join(' ');
-              const stdio = result.stdout + result.stderr;
-              await testInfo.attach(command, { body: `COMMAND: ${command}\n\nEXIT CODE: ${result.code}\n\n====== STDOUT + STDERR ======\n\n${stdio}` });
-
-              // This means something is really off with spawn
-              if (result.error)
-                throw result.error;
-
-              const error: string[] = [];
-              if (options.expectToExitWithError && result.code === 0)
-                error.push(`Expected the command to exit with an error, but exited cleanly.`);
-              else if (!options.expectToExitWithError && result.code !== 0)
-                error.push(`Expected the command to exit cleanly (0 status code), but exited with ${result.code}.`);
-
-              if (!error.length)
-                return stdio;
-
-              if (options.message)
-                error.push(`Message: ${options.message}`);
-              error.push(`Command: ${command}`);
-              error.push(`EXIT CODE: ${result.code}`);
-              error.push(`====== STDIO ======\n${stdio}`);
-
-              throw new Error(error.join('\n'));
-            });
-          },
-          tsc: async ({ exec }, use) => {
-            await exec('npm i --foreground-scripts typescript@3.8 @types/node@14');
-            await use((...args: ArgsOrOptions) => exec('npx', '-p', 'typescript@3.8', 'tsc', ...args));
-          },
+export const test = _test
+    .extend<CommonFixtures, CommonWorkerFixtures>(commonFixtures)
+    .extend<NPMTestFixtures>({
+      _auto: [async ({ tmpWorkspace, exec }, use) => {
+        await exec('npm init -y');
+        const sourceDir = path.join(__dirname, 'fixture-scripts');
+        const contents = await fs.promises.readdir(sourceDir);
+        await Promise.all(contents.map(f => fs.promises.copyFile(path.join(sourceDir, f), path.join(tmpWorkspace, f))));
+        await use();
+      }, {
+        auto: true,
+      }],
+      nodeMajorVersion: async ({}, use) => {
+        await use(+process.versions.node.split('.')[0]);
+      },
+      writeFiles: async ({ tmpWorkspace }, use) => {
+        await use(async (nameToContents: Record<string, string>) => {
+          for (const [name, contents] of Object.entries(nameToContents))
+            await fs.promises.writeFile(path.join(tmpWorkspace, name), contents);
         });
+      },
+      tmpWorkspace: async ({}, use) => {
+        // We want a location that won't have a node_modules dir anywhere along its path
+        const tmpWorkspace = path.join(TMP_WORKSPACES, path.basename(test.info().outputDir));
+        await fs.promises.mkdir(tmpWorkspace);
+        debug(`Workspace Folder: ${tmpWorkspace}`);
+        await use(tmpWorkspace);
+      },
+      registry: async ({}, use, testInfo) => {
+        const port = testInfo.workerIndex + 16123;
+        const url = `http://127.0.0.1:${port}`;
+        const registry = new Registry(testInfo.outputPath('registry'), url);
+        await registry.start(JSON.parse((await fs.promises.readFile(path.join(__dirname, '.registry.json'), 'utf8'))));
+        await use(registry);
+        await registry.shutdown();
+      },
+      installedSoftwareOnDisk: async ({ tmpWorkspace }, use) => {
+        await use(async (registryPath?: string) => fs.promises.readdir(registryPath || path.join(tmpWorkspace, 'browsers')).catch(() => []).then(files => files.map(f => f.split('-')[0]).filter(f => !f.startsWith('.'))));
+      },
+      exec: async ({ registry, tmpWorkspace }, use, testInfo) => {
+        await use(async (cmd: string, ...argsAndOrOptions: [] | [...string[]] | [...string[], ExecOptions] | [ExecOptions]) => {
+          let args: string[] = [];
+          let options: ExecOptions = {};
+          if (typeof argsAndOrOptions[argsAndOrOptions.length - 1] === 'object')
+            options = argsAndOrOptions.pop() as ExecOptions;
+
+          args = argsAndOrOptions as string[];
+
+          let result!: Awaited<ReturnType<typeof spawnAsync>>;
+          await test.step(`exec: ${[cmd, ...args].join(' ')}`, async () => {
+            result = await spawnAsync(cmd, args, {
+              shell: true,
+              cwd: options.cwd ?? tmpWorkspace,
+              // NB: We end up running npm-in-npm, so it's important that we do NOT forward process.env and instead cherry-pick environment variables.
+              env: {
+                'PATH': process.env.PATH,
+                'DISPLAY': process.env.DISPLAY,
+                'XAUTHORITY': process.env.XAUTHORITY,
+                'PLAYWRIGHT_BROWSERS_PATH': path.join(tmpWorkspace, 'browsers'),
+                'npm_config_cache': testInfo.outputPath('npm_cache'),
+                'npm_config_registry': registry.url(),
+                'npm_config_prefix': testInfo.outputPath('npm_global'),
+                ...options.env,
+              }
+            });
+          });
+
+          const command = [cmd, ...args].join(' ');
+          const stdio = result.stdout + result.stderr;
+          await testInfo.attach(command, { body: `COMMAND: ${command}\n\nEXIT CODE: ${result.code}\n\n====== STDOUT + STDERR ======\n\n${stdio}` });
+
+          // This means something is really off with spawn
+          if (result.error)
+            throw result.error;
+
+          const error: string[] = [];
+          if (options.expectToExitWithError && result.code === 0)
+            error.push(`Expected the command to exit with an error, but exited cleanly.`);
+          else if (!options.expectToExitWithError && result.code !== 0)
+            error.push(`Expected the command to exit cleanly (0 status code), but exited with ${result.code}.`);
+
+          if (!error.length)
+            return stdio;
+
+          if (options.message)
+            error.push(`Message: ${options.message}`);
+          error.push(`Command: ${command}`);
+          error.push(`EXIT CODE: ${result.code}`);
+          error.push(`====== STDIO ======\n${stdio}`);
+
+          throw new Error(error.join('\n'));
+        });
+      },
+      tsc: async ({ exec }, use) => {
+        await exec('npm i --foreground-scripts typescript@3.8 @types/node@14');
+        await use((...args: ArgsOrOptions) => exec('npx', '-p', 'typescript@3.8', 'tsc', ...args));
+      },
+    });
 
 
 export { expect };