diff --git a/test/setup/main.tf b/test/setup/main.tf
index a77f4ea88..2c5b94878 100644
--- a/test/setup/main.tf
+++ b/test/setup/main.tf
@@ -25,7 +25,7 @@ locals {
 module "projects" {
   count   = local.num_projects
   source  = "terraform-google-modules/project-factory/google"
-  version = "~> 16.0"
+  version = "~> 17.0"
 
   name                     = "ci-tf-samples-${count.index}"
   random_project_id        = true