diff --git a/src/compiler/diagnosticMessages.json b/src/compiler/diagnosticMessages.json
index 71dcc43482d..53094bf1888 100644
--- a/src/compiler/diagnosticMessages.json
+++ b/src/compiler/diagnosticMessages.json
@@ -4044,6 +4044,10 @@
         "category": "Message",
         "code": 6380
     },
+    "Project '{0}' is out of date because output for it was generated with version '{1}' that differs with current version '{2}'": {
+        "category": "Message",
+        "code": 6381
+    },
 
     "The expected type comes from property '{0}' which is declared here on type '{1}'": {
         "category": "Message",
diff --git a/src/compiler/emitter.ts b/src/compiler/emitter.ts
index 4acbfe6bfe9..e55e768bab3 100644
--- a/src/compiler/emitter.ts
+++ b/src/compiler/emitter.ts
@@ -466,6 +466,11 @@ namespace ts {
         return JSON.stringify(buildInfo, undefined, 2);
     }
 
+    /*@internal*/
+    export function getBuildInfo(buildInfoText: string) {
+        return JSON.parse(buildInfoText) as BuildInfo;
+    }
+
     /*@internal*/
     export const notImplementedResolver: EmitResolver = {
         hasGlobalName: notImplemented,
@@ -560,7 +565,7 @@ namespace ts {
         // error if no source map or for now if inline sourcemap
         if ((declarationMapPath && !declarationMapText) || config.options.inlineSourceMap) return declarationMapPath || "inline sourcemap decoding";
 
-        const buildInfo = JSON.parse(buildInfoText) as BuildInfo;
+        const buildInfo = getBuildInfo(buildInfoText);
         if (!buildInfo.bundle || !buildInfo.bundle.js || (declarationText && !buildInfo.bundle.dts)) return buildInfoPath!;
         const ownPrependInput = createInputFiles(
             jsFileText,
@@ -599,7 +604,7 @@ namespace ts {
                         if (sourceMapText === text) return;
                         break;
                     case buildInfoPath:
-                        const newBuildInfo = JSON.parse(text) as BuildInfo;
+                        const newBuildInfo = getBuildInfo(text);
                         newBuildInfo.program = buildInfo.program;
                         // Update sourceFileInfo
                         const { js, dts, sourceFiles } = buildInfo.bundle!;
diff --git a/src/compiler/factory.ts b/src/compiler/factory.ts
index 44dce146ab4..a3bffb785a8 100644
--- a/src/compiler/factory.ts
+++ b/src/compiler/factory.ts
@@ -2891,10 +2891,10 @@ namespace ts {
                 return result !== undefined ? result : `/* Input file ${path} was missing */\r\n`;
             };
             let buildInfo: BuildInfo | false;
-            const getBuildInfo = (getText: () => string | undefined) => {
+            const getAndCacheBuildInfo = (getText: () => string | undefined) => {
                 if (buildInfo === undefined) {
                     const result = getText();
-                    buildInfo = result !== undefined ? JSON.parse(result) as BuildInfo : false;
+                    buildInfo = result !== undefined ? getBuildInfo(result) : false;
                 }
                 return buildInfo || undefined;
             };
@@ -2908,7 +2908,7 @@ namespace ts {
                 javascriptMapText: { get() { return textGetter(javascriptMapPath); } }, // TODO:: if there is inline sourceMap in jsFile, use that
                 declarationText: { get() { return definedTextGetter(Debug.assertDefined(javascriptMapTextOrDeclarationPath)); } },
                 declarationMapText: { get() { return textGetter(declarationMapPath); } }, // TODO:: if there is inline sourceMap in dtsFile, use that
-                buildInfo: { get() { return getBuildInfo(() => textGetter(declarationMapTextOrBuildInfoPath)); } }
+                buildInfo: { get() { return getAndCacheBuildInfo(() => textGetter(declarationMapTextOrBuildInfoPath)); } }
             });
         }
         else {
diff --git a/src/compiler/tsbuild.ts b/src/compiler/tsbuild.ts
index ffbe7ef114e..1ab990355b8 100644
--- a/src/compiler/tsbuild.ts
+++ b/src/compiler/tsbuild.ts
@@ -79,6 +79,7 @@ namespace ts {
         UpstreamOutOfDate,
         UpstreamBlocked,
         ComputingUpstream,
+        TsVersionOutputOfDate,
 
         /**
          * Projects with no outputs (i.e. "solution" files)
@@ -96,6 +97,7 @@ namespace ts {
         | Status.UpstreamOutOfDate
         | Status.UpstreamBlocked
         | Status.ComputingUpstream
+        | Status.TsVersionOutOfDate
         | Status.ContainerOnly;
 
     export namespace Status {
@@ -181,6 +183,11 @@ namespace ts {
             type: UpToDateStatusType.ComputingUpstream;
         }
 
+        export interface TsVersionOutOfDate {
+            type: UpToDateStatusType.TsVersionOutputOfDate;
+            version: string;
+        }
+
         /**
          * One or more of the project's outputs is older than the newest output of
          * an upstream project.
@@ -454,6 +461,8 @@ namespace ts {
             return result;
         };
 
+        const buildInfoChecked = createFileMap<true>(toPath);
+
         // Watch state
         const builderPrograms = createFileMap<T>(toPath);
         const diagnostics = createFileMap<ReadonlyArray<Diagnostic>>(toPath);
@@ -499,6 +508,7 @@ namespace ts {
             projectStatus.clear();
             missingRoots.clear();
             globalDependencyGraph = undefined;
+            buildInfoChecked.clear();
 
             diagnostics.clear();
             projectPendingBuild.clear();
@@ -844,6 +854,21 @@ namespace ts {
                 };
             }
 
+            if (!buildInfoChecked.hasKey(project.options.configFilePath as ResolvedConfigFileName)) {
+                buildInfoChecked.setValue(project.options.configFilePath as ResolvedConfigFileName, true);
+                const buildInfoPath = getOutputPathForBuildInfo(project.options);
+                if (buildInfoPath) {
+                    const value = readFileWithCache(buildInfoPath);
+                    const buildInfo = value && getBuildInfo(value);
+                    if (buildInfo && buildInfo.version !== version) {
+                        return {
+                            type: UpToDateStatusType.TsVersionOutputOfDate,
+                            version: buildInfo.version
+                        };
+                    }
+                }
+            }
+
             if (usesPrepend && pseudoUpToDate) {
                 return {
                     type: UpToDateStatusType.OutOfDateWithPrepend,
@@ -1220,7 +1245,8 @@ namespace ts {
             if (!buildInfoPath) return undefined;
             const content = readFileWithCache(buildInfoPath);
             if (!content) return undefined;
-            const buildInfo = JSON.parse(content) as BuildInfo;
+            const buildInfo = getBuildInfo(content);
+            if (buildInfo.version !== version) return undefined;
             return buildInfo.program && createBuildProgramUsingProgramBuildInfo(buildInfo.program) as any as T;
         }
 
@@ -1545,6 +1571,11 @@ namespace ts {
                 return formatMessage(Diagnostics.Failed_to_parse_file_0_Colon_1,
                     relName(configFileName),
                     status.reason);
+            case UpToDateStatusType.TsVersionOutputOfDate:
+                return formatMessage(Diagnostics.Project_0_is_out_of_date_because_output_for_it_was_generated_with_version_1_that_differs_with_current_version_2,
+                    relName(configFileName),
+                    status.version,
+                    version);
             case UpToDateStatusType.ContainerOnly:
                 // Don't report status on "solution" projects
             case UpToDateStatusType.ComputingUpstream:
diff --git a/src/harness/fakes.ts b/src/harness/fakes.ts
index 0bf628d67b7..31c96ac6e73 100644
--- a/src/harness/fakes.ts
+++ b/src/harness/fakes.ts
@@ -396,7 +396,7 @@ namespace fakes {
         readFile(path: string) {
             const value = super.readFile(path);
             if (!value || !ts.isBuildInfoFile(path)) return value;
-            const buildInfo = JSON.parse(value) as ts.BuildInfo;
+            const buildInfo = ts.getBuildInfo(value);
             if (buildInfo.program) {
                 // Fix lib signatures
                 for (const path of ts.getOwnKeys(buildInfo.program.fileInfos)) {
@@ -417,7 +417,7 @@ namespace fakes {
 
         public writeFile(fileName: string, content: string, writeByteOrderMark: boolean) {
             if (!ts.isBuildInfoFile(fileName)) return super.writeFile(fileName, content, writeByteOrderMark);
-            const buildInfo = JSON.parse(content) as ts.BuildInfo;
+            const buildInfo = ts.getBuildInfo(content);
             if (buildInfo.program) {
                 // Fix lib signatures
                 for (const path of ts.getOwnKeys(buildInfo.program.fileInfos)) {
diff --git a/src/testRunner/unittests/tsbuild/helpers.ts b/src/testRunner/unittests/tsbuild/helpers.ts
index 496350323fc..9672da1ff79 100644
--- a/src/testRunner/unittests/tsbuild/helpers.ts
+++ b/src/testRunner/unittests/tsbuild/helpers.ts
@@ -8,7 +8,7 @@ namespace ts {
         host.readFile = path => {
             const value = originalReadFile.call(host, path);
             if (!value || !isBuildInfoFile(path)) return value;
-            const buildInfo = JSON.parse(value) as BuildInfo;
+            const buildInfo = getBuildInfo(value);
             buildInfo.version = fakes.version;
             return getBuildInfoText(buildInfo);
         };
@@ -101,7 +101,7 @@ namespace ts {
         for (const [file, jsFile, dtsFile] of buildInfoFileNames) {
             if (!fs.existsSync(file)) continue;
 
-            const buildInfo = JSON.parse(fs.readFileSync(file, "utf8")) as BuildInfo;
+            const buildInfo = getBuildInfo(fs.readFileSync(file, "utf8"));
             const bundle = buildInfo.bundle;
             if (!bundle || (!length(bundle.js && bundle.js.sections) && !length(bundle.dts && bundle.dts.sections))) continue;
 
diff --git a/src/testRunner/unittests/tsbuild/outFile.ts b/src/testRunner/unittests/tsbuild/outFile.ts
index 154e42a5be8..e9b7cdae326 100644
--- a/src/testRunner/unittests/tsbuild/outFile.ts
+++ b/src/testRunner/unittests/tsbuild/outFile.ts
@@ -451,9 +451,12 @@ namespace ts {
             host.assertDiagnosticMessages(
                 // TODO:: This should build all instead
                 getExpectedDiagnosticForProjectsInBuild(relSources[project.first][source.config], relSources[project.second][source.config], relSources[project.third][source.config]),
-                [Diagnostics.Project_0_is_up_to_date_because_newest_input_1_is_older_than_oldest_output_2, relSources[project.first][source.config], relSources[project.first][source.ts][part.one], relOutputFiles[project.first][ext.js]],
-                [Diagnostics.Project_0_is_up_to_date_because_newest_input_1_is_older_than_oldest_output_2, relSources[project.second][source.config], relSources[project.second][source.ts][part.one], relOutputFiles[project.second][ext.js]],
-                [Diagnostics.Project_0_is_up_to_date_because_newest_input_1_is_older_than_oldest_output_2, relSources[project.third][source.config], relSources[project.third][source.ts][part.one], relOutputFiles[project.third][ext.js]],
+                [Diagnostics.Project_0_is_out_of_date_because_output_for_it_was_generated_with_version_1_that_differs_with_current_version_2, relSources[project.first][source.config], fakes.version, version],
+                [Diagnostics.Building_project_0, sources[project.first][source.config]],
+                [Diagnostics.Project_0_is_out_of_date_because_output_for_it_was_generated_with_version_1_that_differs_with_current_version_2, relSources[project.second][source.config], fakes.version, version],
+                [Diagnostics.Building_project_0, sources[project.second][source.config]],
+                [Diagnostics.Project_0_is_out_of_date_because_output_for_it_was_generated_with_version_1_that_differs_with_current_version_2, relSources[project.third][source.config], fakes.version, version],
+                [Diagnostics.Building_project_0, sources[project.third][source.config]],
             );
         });
 
diff --git a/src/testRunner/unittests/tsbuild/sample.ts b/src/testRunner/unittests/tsbuild/sample.ts
index c827f4499c2..c225840a564 100644
--- a/src/testRunner/unittests/tsbuild/sample.ts
+++ b/src/testRunner/unittests/tsbuild/sample.ts
@@ -245,11 +245,13 @@ namespace ts {
                 changeCompilerVersion(host);
                 builder.buildAllProjects();
                 host.assertDiagnosticMessages(
-                    // TODO:: This should build all instead
                     getExpectedDiagnosticForProjectsInBuild("src/core/tsconfig.json", "src/logic/tsconfig.json", "src/tests/tsconfig.json"),
-                    [Diagnostics.Project_0_is_up_to_date_because_newest_input_1_is_older_than_oldest_output_2, "src/core/tsconfig.json", "src/core/anotherModule.ts", "src/core/anotherModule.js"],
-                    [Diagnostics.Project_0_is_up_to_date_because_newest_input_1_is_older_than_oldest_output_2, "src/logic/tsconfig.json", "src/logic/index.ts", "src/logic/index.js"],
-                    [Diagnostics.Project_0_is_up_to_date_because_newest_input_1_is_older_than_oldest_output_2, "src/tests/tsconfig.json", "src/tests/index.ts", "src/tests/index.js"]
+                    [Diagnostics.Project_0_is_out_of_date_because_output_for_it_was_generated_with_version_1_that_differs_with_current_version_2, "src/core/tsconfig.json", fakes.version, version],
+                    [Diagnostics.Building_project_0, "/src/core/tsconfig.json"],
+                    [Diagnostics.Project_0_is_out_of_date_because_output_for_it_was_generated_with_version_1_that_differs_with_current_version_2, "src/logic/tsconfig.json", fakes.version, version],
+                    [Diagnostics.Building_project_0, "/src/logic/tsconfig.json"],
+                    [Diagnostics.Project_0_is_out_of_date_because_output_for_it_was_generated_with_version_1_that_differs_with_current_version_2, "src/tests/tsconfig.json", fakes.version, version],
+                    [Diagnostics.Building_project_0, "/src/tests/tsconfig.json"],
                 );
             });
         });
@@ -508,6 +510,8 @@ class someClass { }`),
 
                             // build info
                             "/src/core/tsconfig.tsbuildinfo",
+                            "/src/logic/tsconfig.tsbuildinfo",
+                            "/src/tests/tsconfig.tsbuildinfo",
                         ],
                     )
                 },
@@ -571,6 +575,7 @@ class someClass { }`),
                             "/src/logic/decls/index.d.ts",
 
                             // build info
+                            "/src/core/tsconfig.tsbuildinfo",
                             "/src/logic/tsconfig.tsbuildinfo",
                             "/src/tests/tsconfig.tsbuildinfo",