diff --git a/sdk_container/src/third_party/coreos-overlay/eclass/cros-kernel/x86_64_defconfig b/sdk_container/src/third_party/coreos-overlay/eclass/cros-kernel/x86_64_defconfig
index 78f28d26a7..06fa2c1238 100644
--- a/sdk_container/src/third_party/coreos-overlay/eclass/cros-kernel/x86_64_defconfig
+++ b/sdk_container/src/third_party/coreos-overlay/eclass/cros-kernel/x86_64_defconfig
@@ -2740,7 +2740,14 @@ CONFIG_MISC_FILESYSTEMS=y
 # CONFIG_EFS_FS is not set
 # CONFIG_LOGFS is not set
 # CONFIG_CRAMFS is not set
-# CONFIG_SQUASHFS is not set
+CONFIG_SQUASHFS=y
+# CONFIG_SQUASHFS_XATTR is not set
+CONFIG_SQUASHFS_ZLIB=y
+CONFIG_SQUASHFS_LZO=y
+CONFIG_SQUASHFS_XZ=y
+# CONFIG_SQUASHFS_4K_DEVBLK_SIZE is not set
+# CONFIG_SQUASHFS_EMBEDDED is not set
+CONFIG_SQUASHFS_FRAGMENT_CACHE_SIZE=3
 # CONFIG_VXFS_FS is not set
 # CONFIG_MINIX_FS is not set
 # CONFIG_OMFS_FS is not set
diff --git a/sdk_container/src/third_party/coreos-overlay/sys-kernel/coreos-kernel/coreos-kernel-3.10.10-r2.ebuild b/sdk_container/src/third_party/coreos-overlay/sys-kernel/coreos-kernel/coreos-kernel-3.10.10-r3.ebuild
similarity index 100%
rename from sdk_container/src/third_party/coreos-overlay/sys-kernel/coreos-kernel/coreos-kernel-3.10.10-r2.ebuild
rename to sdk_container/src/third_party/coreos-overlay/sys-kernel/coreos-kernel/coreos-kernel-3.10.10-r3.ebuild