diff --git a/sdk_container/src/third_party/coreos-overlay/changelog/bugfixes/2022-08-29-vmware-wireguard.md b/sdk_container/src/third_party/coreos-overlay/changelog/bugfixes/2022-08-29-vmware-wireguard.md
new file mode 100644
index 0000000000..7142a1080a
--- /dev/null
+++ b/sdk_container/src/third_party/coreos-overlay/changelog/bugfixes/2022-08-29-vmware-wireguard.md
@@ -0,0 +1 @@
+- VMWare: excluded `wireguard` (and others) from `systemd-networkd` management. ([init#80](https://github.com/flatcar-linux/init/pull/80))
diff --git a/sdk_container/src/third_party/coreos-overlay/coreos-base/coreos-init/coreos-init-9999.ebuild b/sdk_container/src/third_party/coreos-overlay/coreos-base/coreos-init/coreos-init-9999.ebuild
index e952cb10ee..b628eed828 100644
--- a/sdk_container/src/third_party/coreos-overlay/coreos-base/coreos-init/coreos-init-9999.ebuild
+++ b/sdk_container/src/third_party/coreos-overlay/coreos-base/coreos-init/coreos-init-9999.ebuild
@@ -10,7 +10,7 @@ CROS_WORKON_REPO="https://github.com"
 if [[ "${PV}" == 9999 ]]; then
 	KEYWORDS="~amd64 ~arm ~arm64 ~x86"
 else
-	CROS_WORKON_COMMIT="0a77e274e05a4db82d18ad6d20d23b3cbdf31e2f" # flatcar-master
+	CROS_WORKON_COMMIT="ffa29e69243a5752b44e03642634b67261275b67" # flatcar-master
 	KEYWORDS="amd64 arm arm64 x86"
 fi