diff --git a/sdk_container/src/third_party/coreos-overlay/app-emulation/docker/docker-1.0.0.ebuild b/sdk_container/src/third_party/coreos-overlay/app-emulation/docker/docker-1.0.1.ebuild
similarity index 100%
rename from sdk_container/src/third_party/coreos-overlay/app-emulation/docker/docker-1.0.0.ebuild
rename to sdk_container/src/third_party/coreos-overlay/app-emulation/docker/docker-1.0.1.ebuild
diff --git a/sdk_container/src/third_party/coreos-overlay/app-emulation/docker/docker-9999.ebuild b/sdk_container/src/third_party/coreos-overlay/app-emulation/docker/docker-9999.ebuild
index a1fc26c1f4..4c0f7e1a66 100644
--- a/sdk_container/src/third_party/coreos-overlay/app-emulation/docker/docker-9999.ebuild
+++ b/sdk_container/src/third_party/coreos-overlay/app-emulation/docker/docker-9999.ebuild
@@ -17,8 +17,8 @@ if [[ ${PV} == *9999 ]]; then
 	DOCKER_GITCOMMIT="deadbee"
 	KEYWORDS="~amd64"
 else
-	CROS_WORKON_COMMIT="63fe64c471e7d76be96a625350468dfc65c06c31" # v1.0.0
-	DOCKER_GITCOMMIT="63fe64c"
+	CROS_WORKON_COMMIT="990021ac2b4a4c8e6ae66dd331c372f70eec3b7a" # v1.0.1
+	DOCKER_GITCOMMIT="990021a"
 	KEYWORDS="amd64"
 fi
 
diff --git a/sdk_container/src/third_party/coreos-overlay/app-emulation/docker/files/docker.service b/sdk_container/src/third_party/coreos-overlay/app-emulation/docker/files/docker.service
index 174ccb9b54..89c292ad3b 100644
--- a/sdk_container/src/third_party/coreos-overlay/app-emulation/docker/files/docker.service
+++ b/sdk_container/src/third_party/coreos-overlay/app-emulation/docker/files/docker.service
@@ -5,6 +5,8 @@ Documentation=http://docs.docker.io
 [Service]
 Environment="TMPDIR=/var/tmp/"
 ExecStartPre=/bin/mount --make-rprivate /
+LimitNOFILE=1048576
+LimitNPROC=1048576
 # Run docker but don't have docker automatically restart
 # containers. This is a job for systemd and unit files.
 ExecStart=/usr/bin/docker -d -s=btrfs -r=false -H fd://