diff --git a/docs/src/api/class-android.md b/docs/src/api/class-android.md
index c976c9bba80ca..ffef68509dc6d 100644
--- a/docs/src/api/class-android.md
+++ b/docs/src/api/class-android.md
@@ -81,9 +81,9 @@ const { _android: android } = require('playwright');
 This methods attaches Playwright to an existing Android device.
 Use [`method: Android.launchServer`] to launch a new Android server instance.
 
-### param: Android.connect.wsEndpoint
+### param: Android.connect.endpoint
 * since: v1.28
-- `wsEndpoint` <[string]>
+- `endpoint` <[string]>
 
 A browser websocket endpoint to connect to.
 
diff --git a/docs/src/api/class-browsertype.md b/docs/src/api/class-browsertype.md
index ccb2af7cb72ef..fa7a0b05f7f9e 100644
--- a/docs/src/api/class-browsertype.md
+++ b/docs/src/api/class-browsertype.md
@@ -95,9 +95,9 @@ This method attaches Playwright to an existing browser instance created via `Bro
 The major and minor version of the Playwright instance that connects needs to match the version of Playwright that launches the browser (1.2.3 → is compatible with 1.2.x).
 :::
 
-### param: BrowserType.connect.wsEndpoint
+### param: BrowserType.connect.endpoint
 * since: v1.10
-- `wsEndpoint` <[string]>
+- `endpoint` <[string]>
 
 A Playwright browser websocket endpoint to connect to. You obtain this endpoint via `BrowserServer.wsEndpoint`.
 
diff --git a/packages/devtools/src/grid.tsx b/packages/devtools/src/grid.tsx
index 59faf1247ccb0..4266690313de0 100644
--- a/packages/devtools/src/grid.tsx
+++ b/packages/devtools/src/grid.tsx
@@ -180,7 +180,11 @@ const SessionChip: React.FC<{ sessionFile: SessionFile; canConnect: boolean; vis
       <div className='screencast-container'>
         {channel && <Screencast channel={channel} />}
         {!canConnect && <div className='screencast-placeholder'>Session closed</div>}
-        {canConnect && !channel && wsUrl === null && <div className='screencast-placeholder'>Not supported &mdash; v{sessionFile.config.version}</div>}
+        {canConnect && !channel && wsUrl === null && <div className='screencast-placeholder'>
+          Session v{sessionFile.config.version} is not compatible with this viewer{model.clientInfo ? ` v${model.clientInfo.version}` : ''}.
+          <br />
+          Please update playwright-cli and restart this with "playwright-cli show".
+        </div>}
         {canConnect && !channel && wsUrl === undefined && <div className='screencast-placeholder'>Connecting</div>}
       </div>
     </a>
diff --git a/packages/playwright-client/types/types.d.ts b/packages/playwright-client/types/types.d.ts
index 3089d164b44a1..815eb462afc7f 100644
--- a/packages/playwright-client/types/types.d.ts
+++ b/packages/playwright-client/types/types.d.ts
@@ -15169,9 +15169,9 @@ export interface BrowserType<Unused = {}> {
    * **NOTE** Connecting over the Chrome DevTools Protocol is only supported for Chromium-based browsers.
    *
    * **NOTE** This connection is significantly lower fidelity than the Playwright protocol connection via
-   * [browserType.connect(wsEndpoint[, options])](https://playwright.dev/docs/api/class-browsertype#browser-type-connect).
+   * [browserType.connect(endpoint[, options])](https://playwright.dev/docs/api/class-browsertype#browser-type-connect).
    * If you are experiencing issues or attempting to use advanced functionality, you probably want to use
-   * [browserType.connect(wsEndpoint[, options])](https://playwright.dev/docs/api/class-browsertype#browser-type-connect).
+   * [browserType.connect(endpoint[, options])](https://playwright.dev/docs/api/class-browsertype#browser-type-connect).
    *
    * **Usage**
    *
@@ -15199,9 +15199,9 @@ export interface BrowserType<Unused = {}> {
    * **NOTE** Connecting over the Chrome DevTools Protocol is only supported for Chromium-based browsers.
    *
    * **NOTE** This connection is significantly lower fidelity than the Playwright protocol connection via
-   * [browserType.connect(wsEndpoint[, options])](https://playwright.dev/docs/api/class-browsertype#browser-type-connect).
+   * [browserType.connect(endpoint[, options])](https://playwright.dev/docs/api/class-browsertype#browser-type-connect).
    * If you are experiencing issues or attempting to use advanced functionality, you probably want to use
-   * [browserType.connect(wsEndpoint[, options])](https://playwright.dev/docs/api/class-browsertype#browser-type-connect).
+   * [browserType.connect(endpoint[, options])](https://playwright.dev/docs/api/class-browsertype#browser-type-connect).
    *
    * **Usage**
    *
@@ -15222,7 +15222,7 @@ export interface BrowserType<Unused = {}> {
    * **NOTE** The major and minor version of the Playwright instance that connects needs to match the version of
    * Playwright that launches the browser (1.2.3 → is compatible with 1.2.x).
    *
-   * @param wsEndpoint A Playwright browser websocket endpoint to connect to. You obtain this endpoint via `BrowserServer.wsEndpoint`.
+   * @param endpoint A Playwright browser websocket endpoint to connect to. You obtain this endpoint via `BrowserServer.wsEndpoint`.
    * @param options
    */
   connect(wsEndpoint: string, options?: ConnectOptions): Promise<Browser>;
@@ -15238,7 +15238,7 @@ export interface BrowserType<Unused = {}> {
    * **NOTE** The major and minor version of the Playwright instance that connects needs to match the version of
    * Playwright that launches the browser (1.2.3 → is compatible with 1.2.x).
    *
-   * @param wsEndpoint A Playwright browser websocket endpoint to connect to. You obtain this endpoint via `BrowserServer.wsEndpoint`.
+   * @param endpoint A Playwright browser websocket endpoint to connect to. You obtain this endpoint via `BrowserServer.wsEndpoint`.
    * @param options
    */
   connect(options: ConnectOptions & { wsEndpoint?: string }): Promise<Browser>;
@@ -15819,7 +15819,7 @@ export interface BrowserType<Unused = {}> {
 
   /**
    * Returns the browser app instance. You can connect to it via
-   * [browserType.connect(wsEndpoint[, options])](https://playwright.dev/docs/api/class-browsertype#browser-type-connect),
+   * [browserType.connect(endpoint[, options])](https://playwright.dev/docs/api/class-browsertype#browser-type-connect),
    * which requires the major/minor client/server version to match (1.2.3 → is compatible with 1.2.x).
    *
    * **Usage**
@@ -16818,10 +16818,10 @@ export interface Android {
    * This methods attaches Playwright to an existing Android device. Use
    * [android.launchServer([options])](https://playwright.dev/docs/api/class-android#android-launch-server) to launch a
    * new Android server instance.
-   * @param wsEndpoint A browser websocket endpoint to connect to.
+   * @param endpoint A browser websocket endpoint to connect to.
    * @param options
    */
-  connect(wsEndpoint: string, options?: {
+  connect(endpoint: string, options?: {
     /**
      * Additional HTTP headers to be sent with web socket connect request. Optional.
      */
@@ -19103,7 +19103,7 @@ export interface BrowserServer {
    * Browser websocket url.
    *
    * Browser websocket endpoint which can be used as an argument to
-   * [browserType.connect(wsEndpoint[, options])](https://playwright.dev/docs/api/class-browsertype#browser-type-connect)
+   * [browserType.connect(endpoint[, options])](https://playwright.dev/docs/api/class-browsertype#browser-type-connect)
    * to establish connection to the browser.
    *
    * Note that if the listen `host` option in `launchServer` options is not specified, localhost will be output anyway,
diff --git a/packages/playwright-core/src/cli/client/program.ts b/packages/playwright-core/src/cli/client/program.ts
index 08ce1f0546032..9fcbacbf6d5bf 100644
--- a/packages/playwright-core/src/cli/client/program.ts
+++ b/packages/playwright-core/src/cli/client/program.ts
@@ -294,7 +294,7 @@ async function killAllDaemons(): Promise<void> {
       const result = execSync(
           `powershell -NoProfile -NonInteractive -Command `
           + `"Get-CimInstance Win32_Process `
-          + `| Where-Object { $_.CommandLine -like '*-server*' -and $_.CommandLine -like '*--daemon-*' } `
+          + `| Where-Object { $_.CommandLine -like '*run-mcp-server*' -or $_.CommandLine -like '*run-cli-server*' } `
           + `| ForEach-Object { Stop-Process -Id $_.ProcessId -Force -ErrorAction SilentlyContinue; $_.ProcessId }"`,
           { encoding: 'utf-8' }
       );
@@ -308,7 +308,7 @@ async function killAllDaemons(): Promise<void> {
       const result = execSync('ps aux', { encoding: 'utf-8' });
       const lines = result.split('\n');
       for (const line of lines) {
-        if ((line.includes('-server')) && line.includes('--daemon-')) {
+        if (line.includes('run-mcp-server') || line.includes('run-cli-server')) {
           const parts = line.trim().split(/\s+/);
           const pid = parts[1];
           if (pid && /^\d+$/.test(pid)) {
diff --git a/packages/playwright-core/src/client/android.ts b/packages/playwright-core/src/client/android.ts
index 834a30bbe11d7..8e4c900b512b7 100644
--- a/packages/playwright-core/src/client/android.ts
+++ b/packages/playwright-core/src/client/android.ts
@@ -66,11 +66,11 @@ export class Android extends ChannelOwner<channels.AndroidChannel> implements ap
     return await this._serverLauncher.launchServer(options);
   }
 
-  async connect(wsEndpoint: string, options: Parameters<api.Android['connect']>[1] = {}): Promise<api.AndroidDevice> {
+  async connect(endpoint: string, options: Parameters<api.Android['connect']>[1] = {}): Promise<api.AndroidDevice> {
     return await this._wrapApiCall(async () => {
       const deadline = options.timeout ? monotonicTime() + options.timeout : 0;
       const headers = { 'x-playwright-browser': 'android', ...options.headers };
-      const connectParams: channels.LocalUtilsConnectParams = { wsEndpoint, headers, slowMo: options.slowMo, timeout: options.timeout || 0 };
+      const connectParams: channels.LocalUtilsConnectParams = { endpoint, headers, slowMo: options.slowMo, timeout: options.timeout || 0 };
       const connection = await connectOverWebSocket(this._connection, connectParams);
 
       let device: AndroidDevice;
diff --git a/packages/playwright-core/src/client/browserType.ts b/packages/playwright-core/src/client/browserType.ts
index e6ae29ca8c0a2..44da774a51690 100644
--- a/packages/playwright-core/src/client/browserType.ts
+++ b/packages/playwright-core/src/client/browserType.ts
@@ -122,13 +122,12 @@ export class BrowserType extends ChannelOwner<channels.BrowserTypeChannel> imple
   }
 
   connect(options: api.ConnectOptions & { wsEndpoint: string }): Promise<Browser>;
-  connect(options: api.ConnectOptions & { pipeName: string }): Promise<Browser>;
-  connect(wsEndpoint: string, options?: api.ConnectOptions): Promise<Browser>;
-  async connect(optionsOrWsEndpoint: string | (api.ConnectOptions & { wsEndpoint?: string, pipeName?: string }), options?: api.ConnectOptions): Promise<Browser>{
-    if (typeof optionsOrWsEndpoint === 'string')
-      return await this._connect({ ...options, wsEndpoint: optionsOrWsEndpoint });
-    assert(optionsOrWsEndpoint.wsEndpoint || optionsOrWsEndpoint.pipeName, 'Either options.wsEndpoint or options.pipeName is required');
-    return await this._connect(optionsOrWsEndpoint);
+  connect(endpoint: string, options?: api.ConnectOptions): Promise<Browser>;
+  async connect(optionsOrEndpoint: string | (api.ConnectOptions & { wsEndpoint?: string, pipeName?: string }), options?: api.ConnectOptions): Promise<Browser>{
+    if (typeof optionsOrEndpoint === 'string')
+      return await this._connect({ ...options, endpoint: optionsOrEndpoint });
+    assert(optionsOrEndpoint.wsEndpoint, 'options.wsEndpoint is required');
+    return await this._connect(optionsOrEndpoint);
   }
 
   async _connect(params: ConnectOptions): Promise<Browser> {
@@ -137,10 +136,9 @@ export class BrowserType extends ChannelOwner<channels.BrowserTypeChannel> imple
       const deadline = params.timeout ? monotonicTime() + params.timeout : 0;
       const headers = { 'x-playwright-browser': this.name(), ...params.headers };
       const connectParams: channels.LocalUtilsConnectParams = {
-        wsEndpoint: params.wsEndpoint,
-        pipeName: params.pipeName,
+        endpoint: params.endpoint!,
         headers,
-        exposeNetwork: params.exposeNetwork ?? params._exposeNetwork,
+        exposeNetwork: params.exposeNetwork,
         slowMo: params.slowMo,
         timeout: params.timeout || 0,
       };
diff --git a/packages/playwright-core/src/client/types.ts b/packages/playwright-core/src/client/types.ts
index 920cc3ea98fff..d926e9f8ccf2d 100644
--- a/packages/playwright-core/src/client/types.ts
+++ b/packages/playwright-core/src/client/types.ts
@@ -96,14 +96,12 @@ export type LaunchOptions = Omit<channels.BrowserTypeLaunchOptions, 'ignoreAllDe
 export type LaunchPersistentContextOptions = Omit<LaunchOptions & BrowserContextOptions, 'storageState'>;
 
 export type ConnectOptions = {
-  wsEndpoint?: string,
-  pipeName?: string,
+  endpoint?: string;
   headers?: { [key: string]: string; };
-  exposeNetwork?: string,
-  _exposeNetwork?: string,
-  slowMo?: number,
-  timeout?: number,
-  logger?: Logger,
+  exposeNetwork?: string;
+  slowMo?: number;
+  timeout?: number;
+  logger?: Logger;
 };
 export type LaunchServerOptions = LaunchOptions & {
   host?: string,
diff --git a/packages/playwright-core/src/client/webSocket.ts b/packages/playwright-core/src/client/webSocket.ts
index 0e56a2401bab6..7afc749573b21 100644
--- a/packages/playwright-core/src/client/webSocket.ts
+++ b/packages/playwright-core/src/client/webSocket.ts
@@ -88,7 +88,7 @@ class WebSocketTransport implements Transport {
   private _ws: WebSocket | undefined;
 
   async connect(params: channels.LocalUtilsConnectParams) {
-    this._ws = new window.WebSocket(params.wsEndpoint!);
+    this._ws = new window.WebSocket(params.endpoint);
     return [];
   }
 
diff --git a/packages/playwright-core/src/protocol/validator.ts b/packages/playwright-core/src/protocol/validator.ts
index 5a0f5b36bed94..2a31b6c52183d 100644
--- a/packages/playwright-core/src/protocol/validator.ts
+++ b/packages/playwright-core/src/protocol/validator.ts
@@ -314,8 +314,7 @@ scheme.LocalUtilsHarUnzipParams = tObject({
 });
 scheme.LocalUtilsHarUnzipResult = tOptional(tObject({}));
 scheme.LocalUtilsConnectParams = tObject({
-  wsEndpoint: tOptional(tString),
-  pipeName: tOptional(tString),
+  endpoint: tString,
   headers: tOptional(tAny),
   exposeNetwork: tOptional(tString),
   slowMo: tOptional(tFloat),
diff --git a/packages/playwright-core/src/server/dispatchers/localUtilsDispatcher.ts b/packages/playwright-core/src/server/dispatchers/localUtilsDispatcher.ts
index 655aa5df1cfba..b52b0dd33a575 100644
--- a/packages/playwright-core/src/server/dispatchers/localUtilsDispatcher.ts
+++ b/packages/playwright-core/src/server/dispatchers/localUtilsDispatcher.ts
@@ -84,9 +84,9 @@ export class LocalUtilsDispatcher extends Dispatcher<SdkObject, channels.LocalUt
   }
 
   async connect(params: channels.LocalUtilsConnectParams, progress: Progress): Promise<channels.LocalUtilsConnectResult> {
-    if (params.pipeName)
-      return await this._connectOverPipe(params, progress);
-    return await this._connectOverWebSocket(params, progress);
+    if (URL.canParse(params.endpoint))
+      return await this._connectOverWebSocket(params, progress);
+    return await this._connectOverPipe(params, progress);
   }
 
   private async _connectOverWebSocket(params: channels.LocalUtilsConnectParams, progress: Progress): Promise<channels.LocalUtilsConnectResult> {
@@ -95,7 +95,7 @@ export class LocalUtilsDispatcher extends Dispatcher<SdkObject, channels.LocalUt
       'x-playwright-proxy': params.exposeNetwork ?? '',
       ...params.headers,
     };
-    const wsEndpoint = await urlToWSEndpoint(progress, params.wsEndpoint!);
+    const wsEndpoint = await urlToWSEndpoint(progress, params.endpoint);
 
     const transport = await WebSocketTransport.connect(progress, wsEndpoint, { headers: wsHeaders, followRedirects: true, debugLogHeader: 'x-playwright-debug-log' });
     const socksInterceptor = new SocksInterceptor(transport, params.exposeNetwork, params.socksProxyRedirectPortForTest);
@@ -128,7 +128,7 @@ export class LocalUtilsDispatcher extends Dispatcher<SdkObject, channels.LocalUt
 
   private async _connectOverPipe(params: channels.LocalUtilsConnectParams, progress: Progress): Promise<channels.LocalUtilsConnectResult> {
     const socket = await new Promise<net.Socket>((resolve, reject) => {
-      const conn = net.connect(params.pipeName!, () => resolve(conn));
+      const conn = net.connect(params.endpoint, () => resolve(conn));
       conn.on('error', reject);
     });
     const transport = new PipeTransport(socket, socket);
diff --git a/packages/playwright-core/types/types.d.ts b/packages/playwright-core/types/types.d.ts
index 3089d164b44a1..815eb462afc7f 100644
--- a/packages/playwright-core/types/types.d.ts
+++ b/packages/playwright-core/types/types.d.ts
@@ -15169,9 +15169,9 @@ export interface BrowserType<Unused = {}> {
    * **NOTE** Connecting over the Chrome DevTools Protocol is only supported for Chromium-based browsers.
    *
    * **NOTE** This connection is significantly lower fidelity than the Playwright protocol connection via
-   * [browserType.connect(wsEndpoint[, options])](https://playwright.dev/docs/api/class-browsertype#browser-type-connect).
+   * [browserType.connect(endpoint[, options])](https://playwright.dev/docs/api/class-browsertype#browser-type-connect).
    * If you are experiencing issues or attempting to use advanced functionality, you probably want to use
-   * [browserType.connect(wsEndpoint[, options])](https://playwright.dev/docs/api/class-browsertype#browser-type-connect).
+   * [browserType.connect(endpoint[, options])](https://playwright.dev/docs/api/class-browsertype#browser-type-connect).
    *
    * **Usage**
    *
@@ -15199,9 +15199,9 @@ export interface BrowserType<Unused = {}> {
    * **NOTE** Connecting over the Chrome DevTools Protocol is only supported for Chromium-based browsers.
    *
    * **NOTE** This connection is significantly lower fidelity than the Playwright protocol connection via
-   * [browserType.connect(wsEndpoint[, options])](https://playwright.dev/docs/api/class-browsertype#browser-type-connect).
+   * [browserType.connect(endpoint[, options])](https://playwright.dev/docs/api/class-browsertype#browser-type-connect).
    * If you are experiencing issues or attempting to use advanced functionality, you probably want to use
-   * [browserType.connect(wsEndpoint[, options])](https://playwright.dev/docs/api/class-browsertype#browser-type-connect).
+   * [browserType.connect(endpoint[, options])](https://playwright.dev/docs/api/class-browsertype#browser-type-connect).
    *
    * **Usage**
    *
@@ -15222,7 +15222,7 @@ export interface BrowserType<Unused = {}> {
    * **NOTE** The major and minor version of the Playwright instance that connects needs to match the version of
    * Playwright that launches the browser (1.2.3 → is compatible with 1.2.x).
    *
-   * @param wsEndpoint A Playwright browser websocket endpoint to connect to. You obtain this endpoint via `BrowserServer.wsEndpoint`.
+   * @param endpoint A Playwright browser websocket endpoint to connect to. You obtain this endpoint via `BrowserServer.wsEndpoint`.
    * @param options
    */
   connect(wsEndpoint: string, options?: ConnectOptions): Promise<Browser>;
@@ -15238,7 +15238,7 @@ export interface BrowserType<Unused = {}> {
    * **NOTE** The major and minor version of the Playwright instance that connects needs to match the version of
    * Playwright that launches the browser (1.2.3 → is compatible with 1.2.x).
    *
-   * @param wsEndpoint A Playwright browser websocket endpoint to connect to. You obtain this endpoint via `BrowserServer.wsEndpoint`.
+   * @param endpoint A Playwright browser websocket endpoint to connect to. You obtain this endpoint via `BrowserServer.wsEndpoint`.
    * @param options
    */
   connect(options: ConnectOptions & { wsEndpoint?: string }): Promise<Browser>;
@@ -15819,7 +15819,7 @@ export interface BrowserType<Unused = {}> {
 
   /**
    * Returns the browser app instance. You can connect to it via
-   * [browserType.connect(wsEndpoint[, options])](https://playwright.dev/docs/api/class-browsertype#browser-type-connect),
+   * [browserType.connect(endpoint[, options])](https://playwright.dev/docs/api/class-browsertype#browser-type-connect),
    * which requires the major/minor client/server version to match (1.2.3 → is compatible with 1.2.x).
    *
    * **Usage**
@@ -16818,10 +16818,10 @@ export interface Android {
    * This methods attaches Playwright to an existing Android device. Use
    * [android.launchServer([options])](https://playwright.dev/docs/api/class-android#android-launch-server) to launch a
    * new Android server instance.
-   * @param wsEndpoint A browser websocket endpoint to connect to.
+   * @param endpoint A browser websocket endpoint to connect to.
    * @param options
    */
-  connect(wsEndpoint: string, options?: {
+  connect(endpoint: string, options?: {
     /**
      * Additional HTTP headers to be sent with web socket connect request. Optional.
      */
@@ -19103,7 +19103,7 @@ export interface BrowserServer {
    * Browser websocket url.
    *
    * Browser websocket endpoint which can be used as an argument to
-   * [browserType.connect(wsEndpoint[, options])](https://playwright.dev/docs/api/class-browsertype#browser-type-connect)
+   * [browserType.connect(endpoint[, options])](https://playwright.dev/docs/api/class-browsertype#browser-type-connect)
    * to establish connection to the browser.
    *
    * Note that if the listen `host` option in `launchServer` options is not specified, localhost will be output anyway,
diff --git a/packages/playwright/src/common/fixtures.ts b/packages/playwright/src/common/fixtures.ts
index dad97674a300b..30b144e663465 100644
--- a/packages/playwright/src/common/fixtures.ts
+++ b/packages/playwright/src/common/fixtures.ts
@@ -228,16 +228,12 @@ export class FixturePool {
     return hash.digest('hex');
   }
 
-  validateFunction(fn: Function, prefix: string, location: Location): 'worker' | 'test' {
-    let scope: 'worker' | 'test' = 'worker';
+  validateFunction(fn: Function, prefix: string, location: Location) {
     for (const name of fixtureParameterNames(fn, location, e => this._onLoadError(e))) {
       const registration = this._registrations.get(name);
       if (!registration)
         this._addLoadError(`${prefix} has unknown parameter "${name}".`, location);
-      if (registration?.scope === 'test')
-        scope = 'test';
     }
-    return scope;
   }
 
   resolve(name: string, forFixture?: FixtureRegistration): FixtureRegistration | undefined {
diff --git a/packages/playwright/src/common/poolBuilder.ts b/packages/playwright/src/common/poolBuilder.ts
index 2571747db91cb..f975efe92f80d 100644
--- a/packages/playwright/src/common/poolBuilder.ts
+++ b/packages/playwright/src/common/poolBuilder.ts
@@ -14,9 +14,8 @@
  * limitations under the License.
  */
 
-import { FixturePool, inheritFixtureNames } from './fixtures';
+import { FixturePool } from './fixtures';
 import { formatLocation } from '../util';
-import { currentTestInfo } from './globals';
 
 import type { FullProjectInternal } from './config';
 import type { LoadError } from './fixtures';
@@ -42,32 +41,8 @@ export class PoolBuilder {
     this._project = project;
   }
 
-  buildPools(topSuite: Suite, testErrors?: TestError[]) {
-    topSuite.forEachSuite(suite => {
-      const modifiers = suite._modifiers.slice();
-      suite._modifiers = [];
-
-      for (const modifier of modifiers.reverse()) {
-        let pool = this._buildTestTypePool(modifier.testType, testErrors);
-        pool = this._buildPoolForSuite(pool, suite, testErrors);
-        const scope = pool.validateFunction(modifier.fn, modifier.type + ' modifier', modifier.location);
-
-        const fn = async (fixtures: any) => {
-          const result = await modifier.fn(fixtures);
-          currentTestInfo()?._modifier(modifier.type, modifier.location, [!!result, modifier.description]);
-        };
-        inheritFixtureNames(modifier.fn, fn);
-
-        suite._hooks.unshift({
-          type: scope === 'worker' ? 'beforeAll' : 'beforeEach',
-          fn,
-          title: `${modifier.type} modifier`,
-          location: modifier.location,
-        });
-      }
-    });
-
-    topSuite.forEachTest(test => {
+  buildPools(suite: Suite, testErrors?: TestError[]) {
+    suite.forEachTest(test => {
       const pool = this._buildPoolForTest(test, testErrors);
       if (this._type === 'loader')
         test._poolDigest = pool.digest;
@@ -78,18 +53,22 @@ export class PoolBuilder {
 
   private _buildPoolForTest(test: TestCase, testErrors?: TestError[]): FixturePool {
     let pool = this._buildTestTypePool(test._testType, testErrors);
-    pool = this._buildPoolForSuite(pool, test.parent, testErrors);
-    pool.validateFunction(test.fn, 'Test', test.location);
-    return pool;
-  }
 
-  private _buildPoolForSuite(pool: FixturePool, suite: Suite, testErrors?: TestError[]): FixturePool {
-    if (suite.parent)
-      pool = this._buildPoolForSuite(pool, suite.parent, testErrors);
-    if (suite._use.length)
-      pool = new FixturePool(suite._use, e => this._handleLoadError(e, testErrors), pool, suite._type === 'describe');
-    for (const hook of suite._hooks)
-      pool.validateFunction(hook.fn, hook.type + ' hook', hook.location);
+    const parents: Suite[] = [];
+    for (let parent: Suite | undefined = test.parent; parent; parent = parent.parent)
+      parents.push(parent);
+    parents.reverse();
+
+    for (const parent of parents) {
+      if (parent._use.length)
+        pool = new FixturePool(parent._use, e => this._handleLoadError(e, testErrors), pool, parent._type === 'describe');
+      for (const hook of parent._hooks)
+        pool.validateFunction(hook.fn, hook.type + ' hook', hook.location);
+      for (const modifier of parent._modifiers)
+        pool.validateFunction(modifier.fn, modifier.type + ' modifier', modifier.location);
+    }
+
+    pool.validateFunction(test.fn, 'Test', test.location);
     return pool;
   }
 
diff --git a/packages/playwright/src/common/test.ts b/packages/playwright/src/common/test.ts
index e4b904e90879c..fa8d8c20032d0 100644
--- a/packages/playwright/src/common/test.ts
+++ b/packages/playwright/src/common/test.ts
@@ -35,19 +35,11 @@ class Base {
   }
 }
 
-type Modifier = {
+export type Modifier = {
   type: 'slow' | 'fixme' | 'skip' | 'fail',
   fn: Function,
   location: Location,
-  description: string | undefined,
-  testType: TestTypeImpl,
-};
-
-export type SuiteHook = {
-  type: 'beforeEach' | 'afterEach' | 'beforeAll' | 'afterAll';
-  fn: Function;
-  title: string;
-  location: Location;
+  description: string | undefined
 };
 
 export class Suite extends Base {
@@ -55,14 +47,13 @@ export class Suite extends Base {
   parent?: Suite;
   _use: FixturesWithLocation[] = [];
   _entries: (Suite | TestCase)[] = [];
-  _hooks: SuiteHook[] = [];
+  _hooks: { type: 'beforeEach' | 'afterEach' | 'beforeAll' | 'afterAll', fn: Function, title: string, location: Location }[] = [];
   _timeout: number | undefined;
   _retries: number | undefined;
   // Annotations known statically before running the test, e.g. `test.describe.skip()` or `test.describe({ annotation }, body)`.
   _staticAnnotations: TestAnnotation[] = [];
   // Explicitly declared tags that are not a part of the title.
   _tags: string[] = [];
-  // Modifiers are converted into hooks after the fixture pool is built.
   _modifiers: Modifier[] = [];
   _parallelMode: 'none' | 'default' | 'serial' | 'parallel' = 'none';
   _fullProject: FullProjectInternal | undefined;
@@ -214,14 +205,6 @@ export class Suite extends Base {
     }
   }
 
-  forEachSuite(visitor: (suite: Suite) => void) {
-    visitor(this);
-    for (const entry of this._entries) {
-      if (entry instanceof Suite)
-        entry.forEachSuite(visitor);
-    }
-  }
-
   _serialize(): any {
     return {
       kind: 'suite',
@@ -234,9 +217,9 @@ export class Suite extends Base {
       retries: this._retries,
       staticAnnotations: this._staticAnnotations.slice(),
       tags: this._tags.slice(),
-      modifiers: this._modifiers.map(m => ({ ...m, fn: undefined, testType: undefined })),
+      modifiers: this._modifiers.slice(),
       parallelMode: this._parallelMode,
-      hooks: this._hooks.map(h => ({ ...h, fn: undefined })),
+      hooks: this._hooks.map(h => ({ type: h.type, location: h.location, title: h.title })),
       fileId: this._fileId,
     };
   }
@@ -250,9 +233,9 @@ export class Suite extends Base {
     suite._retries = data.retries;
     suite._staticAnnotations = data.staticAnnotations;
     suite._tags = data.tags;
-    suite._modifiers = data.modifiers.map((m: any) => ({ ...m, fn: () => { }, testType: rootTestType }));
+    suite._modifiers = data.modifiers;
     suite._parallelMode = data.parallelMode;
-    suite._hooks = data.hooks.map((h: any) => ({ ...h, fn: () => { } }));
+    suite._hooks = data.hooks.map((h: any) => ({ type: h.type, location: h.location, title: h.title, fn: () => { } }));
     suite._fileId = data.fileId;
     return suite;
   }
@@ -262,7 +245,6 @@ export class Suite extends Base {
     const suite = Suite._parse(data);
     suite._use = this._use.slice();
     suite._hooks = this._hooks.slice();
-    suite._modifiers = this._modifiers.slice();
     suite._fullProject = this._fullProject;
     return suite;
   }
diff --git a/packages/playwright/src/common/testType.ts b/packages/playwright/src/common/testType.ts
index 7440c473e54f7..e8736b667735b 100644
--- a/packages/playwright/src/common/testType.ts
+++ b/packages/playwright/src/common/testType.ts
@@ -223,7 +223,7 @@ export class TestTypeImpl {
       }
 
       if (typeof modifierArgs[0] === 'function') {
-        suite._modifiers.push({ type, fn: modifierArgs[0], location, description: modifierArgs[1], testType: this });
+        suite._modifiers.push({ type, fn: modifierArgs[0], location, description: modifierArgs[1] });
       } else {
         if (modifierArgs.length >= 1 && !modifierArgs[0])
           return;
diff --git a/packages/playwright/src/index.ts b/packages/playwright/src/index.ts
index 3f4356d15f779..72582d06fb96c 100644
--- a/packages/playwright/src/index.ts
+++ b/packages/playwright/src/index.ts
@@ -106,9 +106,9 @@ const playwrightFixtures: Fixtures<TestFixtures, WorkerFixtures> = ({
       throw new Error(`Unexpected browserName "${browserName}", must be one of "chromium", "firefox" or "webkit"`);
 
     if (connectOptions) {
-      const browser = await playwright[browserName].connect({
+      const browser = await playwright[browserName].connect(connectOptions.wsEndpoint, {
         ...connectOptions,
-        exposeNetwork: connectOptions.exposeNetwork ?? (connectOptions as any)._exposeNetwork,
+        exposeNetwork: connectOptions.exposeNetwork,
         headers: {
           // HTTP headers are ASCII only (not UTF-8).
           'x-playwright-launch-options': jsonStringifyForceASCII(_browserOptions),
diff --git a/packages/playwright/src/runner/dispatcher.ts b/packages/playwright/src/runner/dispatcher.ts
index a4008a07aac92..8824d38d9f0de 100644
--- a/packages/playwright/src/runner/dispatcher.ts
+++ b/packages/playwright/src/runner/dispatcher.ts
@@ -40,7 +40,8 @@ import type { RegisteredListener } from 'playwright-core/lib/utils';
 export type EnvByProjectId = Map<string, Record<string, string | undefined>>;
 
 export class Dispatcher {
-  private _workerSlots: { busy: boolean, worker?: WorkerHost, jobDispatcher?: JobDispatcher }[] = [];
+  // Worker slot is claimed when it has jobDispatcher assigned.
+  private _workerSlots: { worker?: WorkerHost, jobDispatcher?: JobDispatcher }[] = [];
   private _queue: TestGroup[] = [];
   private _workerLimitPerProjectId = new Map<string, number>();
   private _queuedOrRunningHashCount = new Map<string, number>();
@@ -71,7 +72,7 @@ export class Dispatcher {
       const projectIdWorkerLimit = this._workerLimitPerProjectId.get(job.projectId);
       if (!projectIdWorkerLimit)
         return index;
-      const runningWorkersWithSameProjectId = this._workerSlots.filter(w => w.busy && w.worker && w.worker.projectId() === job.projectId).length;
+      const runningWorkersWithSameProjectId = this._workerSlots.filter(w => w.jobDispatcher?.job.projectId === job.projectId).length;
       if (runningWorkersWithSameProjectId < projectIdWorkerLimit)
         return index;
     }
@@ -92,9 +93,9 @@ export class Dispatcher {
     const job = this._queue[jobIndex];
 
     // 2. Find a worker with the same hash, or just some free worker.
-    let workerIndex = this._workerSlots.findIndex(w => !w.busy && w.worker && w.worker.hash() === job.workerHash && !w.worker.didSendStop());
+    let workerIndex = this._workerSlots.findIndex(w => !w.jobDispatcher && w.worker && w.worker.hash() === job.workerHash && !w.worker.didSendStop());
     if (workerIndex === -1)
-      workerIndex = this._workerSlots.findIndex(w => !w.busy);
+      workerIndex = this._workerSlots.findIndex(w => !w.jobDispatcher);
     if (workerIndex === -1) {
       // No workers available, bail out.
       return;
@@ -103,7 +104,6 @@ export class Dispatcher {
     // 3. Claim both the job and the worker slot.
     this._queue.splice(jobIndex, 1);
     const jobDispatcher = new JobDispatcher(job, this._config, this._reporter, this._failureTracker, () => this.stop().catch(() => {}));
-    this._workerSlots[workerIndex].busy = true;
     this._workerSlots[workerIndex].jobDispatcher = jobDispatcher;
 
     // 4. Run the job. This is the only async operation.
@@ -111,7 +111,6 @@ export class Dispatcher {
 
       // 5. Release the worker slot.
       this._workerSlots[workerIndex].jobDispatcher = undefined;
-      this._workerSlots[workerIndex].busy = false;
 
       // 6. Check whether we are done or should schedule another job.
       this._checkFinished();
@@ -178,7 +177,7 @@ export class Dispatcher {
       return;
 
     // Make sure all workers have finished the current job.
-    if (this._workerSlots.some(w => w.busy))
+    if (this._workerSlots.some(w => !!w.jobDispatcher))
       return;
 
     this._finished.resolve();
@@ -209,7 +208,7 @@ export class Dispatcher {
       void this.stop();
     // 1. Allocate workers.
     for (let i = 0; i < this._config.config.workers; i++)
-      this._workerSlots.push({ busy: false });
+      this._workerSlots.push({});
     // 2. Schedule enough jobs.
     for (let i = 0; i < this._workerSlots.length; i++)
       this._scheduleJob();
diff --git a/packages/playwright/src/worker/fixtureRunner.ts b/packages/playwright/src/worker/fixtureRunner.ts
index 7f8e0eacf79f1..c00b9fe626b87 100644
--- a/packages/playwright/src/worker/fixtureRunner.ts
+++ b/packages/playwright/src/worker/fixtureRunner.ts
@@ -289,6 +289,16 @@ export class FixtureRunner {
     await fixture.setup(testInfo, runnable);
     return fixture;
   }
+
+  dependsOnWorkerFixturesOnly(fn: Function, location: Location): boolean {
+    const names = getRequiredFixtureNames(fn, location);
+    for (const name of names) {
+      const registration = this.pool!.resolve(name)!;
+      if (registration.scope !== 'worker')
+        return false;
+    }
+    return true;
+  }
 }
 
 function getRequiredFixtureNames(fn: Function, location?: Location) {
diff --git a/packages/playwright/src/worker/timeoutManager.ts b/packages/playwright/src/worker/timeoutManager.ts
index 8d18fe098d225..c003342d15806 100644
--- a/packages/playwright/src/worker/timeoutManager.ts
+++ b/packages/playwright/src/worker/timeoutManager.ts
@@ -188,6 +188,12 @@ export class TimeoutManager {
           message = `Worker teardown timeout of ${timeout}ms exceeded.`;
         break;
       }
+      case 'skip':
+      case 'slow':
+      case 'fixme':
+      case 'fail':
+        message = `"${runnable.type}" modifier timeout of ${timeout}ms exceeded.`;
+        break;
     }
     const fixtureWithSlot = runnable.fixture?.slot ? runnable.fixture : undefined;
     if (fixtureWithSlot)
diff --git a/packages/playwright/src/worker/workerMain.ts b/packages/playwright/src/worker/workerMain.ts
index 8a7f5a960ce56..bdd46abaf00ad 100644
--- a/packages/playwright/src/worker/workerMain.ts
+++ b/packages/playwright/src/worker/workerMain.ts
@@ -24,12 +24,14 @@ import { debugTest, relativeFilePath } from '../util';
 import { FixtureRunner } from './fixtureRunner';
 import { TestSkipError, TestInfoImpl, emtpyTestInfoCallbacks } from './testInfo';
 import { testInfoError } from './util';
+import { inheritFixtureNames } from '../common/fixtures';
 import { PoolBuilder } from '../common/poolBuilder';
 import { ProcessRunner } from '../common/process';
 import { applyRepeatEachIndex, bindFileSuiteToProject, filterTestsRemoveEmptySuites } from '../common/suiteUtils';
 import { loadTestFile } from '../common/testLoader';
 
 import type { TimeSlot } from './timeoutManager';
+import type { Location } from '../../types/testReporter';
 import type { FullConfigInternal, FullProjectInternal } from '../common/config';
 import type * as ipc from '../common/ipc';
 import type { Suite, TestCase } from '../common/test';
@@ -525,6 +527,30 @@ export class WorkerMain extends ProcessRunner {
       await removeFolders([testInfo.outputDir]);
   }
 
+  private _collectHooksAndModifiers(suite: Suite, type: 'beforeAll' | 'beforeEach' | 'afterAll' | 'afterEach', testInfo: TestInfoImpl) {
+    type Runnable = { type: 'beforeEach' | 'afterEach' | 'beforeAll' | 'afterAll' | 'fixme' | 'skip' | 'slow' | 'fail', fn: Function, title: string, location: Location };
+    const runnables: Runnable[] = [];
+    for (const modifier of suite._modifiers) {
+      const modifierType = this._fixtureRunner.dependsOnWorkerFixturesOnly(modifier.fn, modifier.location) ? 'beforeAll' : 'beforeEach';
+      if (modifierType !== type)
+        continue;
+      const fn = async (fixtures: any) => {
+        const result = await modifier.fn(fixtures);
+        testInfo._modifier(modifier.type, modifier.location, [!!result, modifier.description]);
+      };
+      inheritFixtureNames(modifier.fn, fn);
+      runnables.push({
+        title: `${modifier.type} modifier`,
+        location: modifier.location,
+        type: modifier.type,
+        fn,
+      });
+    }
+    // Modifiers first, then hooks.
+    runnables.push(...suite._hooks.filter(hook => hook.type === type));
+    return runnables;
+  }
+
   private async _runBeforeAllHooksForSuite(suite: Suite, testInfo: TestInfoImpl) {
     if (this._activeSuites.has(suite))
       return;
@@ -536,7 +562,7 @@ export class WorkerMain extends ProcessRunner {
   private async _runAllHooksForSuite(suite: Suite, testInfo: TestInfoImpl, type: 'beforeAll' | 'afterAll', extraAnnotations?: TestAnnotation[]) {
     // Always run all the hooks, and capture the first error.
     let firstError: Error | undefined;
-    for (const hook of suite._hooks.filter(hook => hook.type === type)) {
+    for (const hook of this._collectHooksAndModifiers(suite, type, testInfo)) {
       try {
         await testInfo._runAsStep({ title: hook.title, category: 'hook', location: hook.location }, async () => {
           // Separate time slot for each beforeAll/afterAll hook.
@@ -583,7 +609,7 @@ export class WorkerMain extends ProcessRunner {
   private async _runEachHooksForSuites(suites: Suite[], type: 'beforeEach' | 'afterEach', testInfo: TestInfoImpl, slot?: TimeSlot) {
     // Always run all the hooks, unless one of the times out, and capture the first error.
     let firstError: Error | undefined;
-    const hooks = suites.map(suite => suite._hooks.filter(hook => hook.type === type)).flat();
+    const hooks = suites.map(suite => this._collectHooksAndModifiers(suite, type, testInfo)).flat();
     for (const hook of hooks) {
       const runnable = { type: hook.type, location: hook.location, slot };
       if (testInfo._timeoutManager.isTimeExhaustedFor(runnable)) {
diff --git a/packages/protocol/src/channels.d.ts b/packages/protocol/src/channels.d.ts
index 5e8c20cf200d8..ed98799521805 100644
--- a/packages/protocol/src/channels.d.ts
+++ b/packages/protocol/src/channels.d.ts
@@ -532,8 +532,7 @@ export type LocalUtilsHarUnzipOptions = {
 };
 export type LocalUtilsHarUnzipResult = void;
 export type LocalUtilsConnectParams = {
-  wsEndpoint?: string,
-  pipeName?: string,
+  endpoint: string,
   headers?: any,
   exposeNetwork?: string,
   slowMo?: number,
@@ -541,8 +540,6 @@ export type LocalUtilsConnectParams = {
   socksProxyRedirectPortForTest?: number,
 };
 export type LocalUtilsConnectOptions = {
-  wsEndpoint?: string,
-  pipeName?: string,
   headers?: any,
   exposeNetwork?: string,
   slowMo?: number,
diff --git a/packages/protocol/src/protocol.yml b/packages/protocol/src/protocol.yml
index 344101d69e5e6..a812775aee472 100644
--- a/packages/protocol/src/protocol.yml
+++ b/packages/protocol/src/protocol.yml
@@ -706,8 +706,7 @@ LocalUtils:
     connect:
       internal: true
       parameters:
-        wsEndpoint: string?
-        pipeName: string?
+        endpoint: string
         headers: json?
         exposeNetwork: string?
         slowMo: float?
diff --git a/tests/config/remoteServer.ts b/tests/config/remoteServer.ts
index 1e04c0c8db610..6d5f0cc4528ee 100644
--- a/tests/config/remoteServer.ts
+++ b/tests/config/remoteServer.ts
@@ -126,7 +126,7 @@ export class RemoteServer implements PlaywrightServer {
     this._wsEndpoint = await this.out('wsEndpoint');
 
     if (remoteServerOptions.url) {
-      this._browser = await this._browserType.connect({ wsEndpoint: this._wsEndpoint });
+      this._browser = await this._browserType.connect(this._wsEndpoint);
       const page = await this._browser.newPage();
       await page.goto(remoteServerOptions.url);
     }
diff --git a/tests/library/browser-server.spec.ts b/tests/library/browser-server.spec.ts
index 84b2bacc1551d..d34e5cdc617e1 100644
--- a/tests/library/browser-server.spec.ts
+++ b/tests/library/browser-server.spec.ts
@@ -32,7 +32,7 @@ it('should start and stop pipe server', async ({ browserType, browser }) => {
     pipeName: expect.stringMatching(/browser@.*\.sock/),
   }));
 
-  const browser2 = await (browserType as any).connect(serverInfo);
+  const browser2 = await (browserType as any).connect(serverInfo.pipeName);
   const page = await browser2.newPage();
   await page.goto('data:text/html,<h1>Hello via pipe</h1>');
   expect(await page.locator('h1').textContent()).toBe('Hello via pipe');
diff --git a/tests/library/browsertype-connect.spec.ts b/tests/library/browsertype-connect.spec.ts
index b3ccee17ab55c..e146492aad382 100644
--- a/tests/library/browsertype-connect.spec.ts
+++ b/tests/library/browsertype-connect.spec.ts
@@ -620,8 +620,7 @@ for (const kind of ['launchServer', 'run-server'] as const) {
 
     test('should be able to connect when the wsEndpoint is passed as an option', async ({ browserType, startRemoteServer }) => {
       const remoteServer = await startRemoteServer(kind);
-      const browser = await browserType.connect({
-        wsEndpoint: remoteServer.wsEndpoint(),
+      const browser = await browserType.connect(remoteServer.wsEndpoint(), {
         headers: {
           'x-playwright-launch-options': JSON.stringify((browserType as any)._playwright._defaultLaunchOptions || {}),
         },
@@ -850,7 +849,7 @@ for (const kind of ['launchServer', 'run-server'] as const) {
         });
         const examplePort = 20_000 + testInfo.workerIndex * 3;
         const remoteServer = await startRemoteServer(kind);
-        const browser = await connect(remoteServer.wsEndpoint(), { _exposeNetwork: '*' } as any, dummyServerPort);
+        const browser = await connect(remoteServer.wsEndpoint(), { exposeNetwork: '*' } as any, dummyServerPort);
         const page = await browser.newPage();
         {
           await page.setContent('empty');
diff --git a/tests/library/browsertype-launch-server.spec.ts b/tests/library/browsertype-launch-server.spec.ts
index fed973dde57d1..cc6490fb270fd 100644
--- a/tests/library/browsertype-launch-server.spec.ts
+++ b/tests/library/browsertype-launch-server.spec.ts
@@ -66,7 +66,7 @@ it.describe('launch server', () => {
 
   it('should provide an error when ws endpoint is incorrect', async ({ browserType }) => {
     const browserServer = await browserType.launchServer();
-    const error = await browserType.connect({ wsEndpoint: browserServer.wsEndpoint() + '-foo' }).catch(e => e);
+    const error = await browserType.connect(browserServer.wsEndpoint() + '-foo').catch(e => e);
     await browserServer.close();
     expect(error.message).toContain('400 Bad Request');
   });
diff --git a/tests/playwright-test/test-modifiers.spec.ts b/tests/playwright-test/test-modifiers.spec.ts
index b6ff2f35d6c35..e73e483b278c4 100644
--- a/tests/playwright-test/test-modifiers.spec.ts
+++ b/tests/playwright-test/test-modifiers.spec.ts
@@ -283,13 +283,13 @@ test.describe('test modifier annotations', () => {
     const result = await runInlineTest({
       'a.test.ts': `
         import { test, expect } from '@playwright/test';
-
+  
         test.describe.only("suite", () => {
           test.skip('focused skip by suite', () => {});
           test.fixme('focused fixme by suite', () => {});
           test.fail.only('focused fail by suite', () => { expect(1).toBe(2); });
         });
-
+  
         test.describe.skip('not focused', () => {
           test('no marker', () => {});
         });
@@ -527,7 +527,7 @@ test('modifier timeout should be reported', async ({ runInlineTest }) => {
   }, { timeout: 2000 });
   expect(result.exitCode).toBe(1);
   expect(result.failed).toBe(1);
-  expect(result.output).toContain('"beforeAll" hook timeout of 2000ms exceeded.');
+  expect(result.output).toContain('"skip" modifier timeout of 2000ms exceeded.');
   expect(result.output).toContain('3 |       test.skip(async () => new Promise(() => {}));');
 });
 
diff --git a/tests/playwright-test/worker-index.spec.ts b/tests/playwright-test/worker-index.spec.ts
index e84a205d565c0..419549b8ce0b6 100644
--- a/tests/playwright-test/worker-index.spec.ts
+++ b/tests/playwright-test/worker-index.spec.ts
@@ -280,6 +280,47 @@ test('should respect project.workers=1', async ({ runInlineTest }) => {
   ]);
 });
 
+test('should respect project.workers=1 on startup', async ({ runInlineTest }) => {
+  const result = await runInlineTest({
+    'playwright.config.ts': `
+      export default {
+        workers: 2,
+        projects: [
+          { name: 'project1' },
+          { name: 'project2', workers: 1 },
+        ],
+      };
+    `,
+    'a.test.js': `
+      import { test, expect } from '@playwright/test';
+      test('test1', async ({}, testInfo) => {
+        console.log('%%test1-begin:' + testInfo.project.name);
+        await new Promise(f => setTimeout(f, 2000));
+        console.log('%%test1-end:' + testInfo.project.name);
+      });
+    `,
+    'b.test.js': `
+      import { test, expect } from '@playwright/test';
+      test('test2', async ({}, testInfo) => {
+        console.log('%%test2-begin:' + testInfo.project.name);
+        await new Promise(f => setTimeout(f, 2000));
+        console.log('%%test2-end:' + testInfo.project.name);
+      });
+    `,
+  }, { workers: 2 });
+  expect(result.passed).toBe(4);
+  expect(result.exitCode).toBe(0);
+
+  // Once both tests from the first project finish apporximately at the same time,
+  // tests from the second project should run sequentially.
+  expect(result.outputLines.slice(4, 8)).toEqual([
+    'test1-begin:project2',
+    'test1-end:project2',
+    'test2-begin:project2',
+    'test2-end:project2',
+  ]);
+});
+
 test('should respect project.workers>1', async ({ runInlineTest }) => {
   const result = await runInlineTest({
     'playwright.config.ts': `