diff --git a/desktop/src/app/App.tsx b/desktop/src/app/App.tsx
index 4d71da8fa..62a5a5e9f 100644
--- a/desktop/src/app/App.tsx
+++ b/desktop/src/app/App.tsx
@@ -4,6 +4,7 @@ import { RouterProvider } from "@tanstack/react-router";
 import { useCallback, useLayoutEffect } from "react";
 
 import { router } from "@/app/router";
+import { UpdaterProvider } from "@/features/settings/hooks/UpdaterProvider";
 import { useAppOnboardingState } from "@/features/onboarding/hooks";
 import { OnboardingFlow } from "@/features/onboarding/ui/OnboardingFlow";
 import { useWorkspaceInit } from "@/features/workspaces/useWorkspaceInit";
@@ -92,5 +93,9 @@ export function App() {
     return <AppLoadingGate />;
   }
 
-  return <AppReady key={workspaceKey} />;
+  return (
+    <UpdaterProvider>
+      <AppReady key={workspaceKey} />
+    </UpdaterProvider>
+  );
 }
diff --git a/desktop/src/app/AppShell.tsx b/desktop/src/app/AppShell.tsx
index 6fc34148d..bd93673da 100644
--- a/desktop/src/app/AppShell.tsx
+++ b/desktop/src/app/AppShell.tsx
@@ -51,7 +51,6 @@ import {
   SidebarProvider,
   SidebarTrigger,
 } from "@/shared/ui/sidebar";
-import { UpdaterProvider } from "@/features/settings/hooks/UpdaterProvider";
 import { UpdateIndicator } from "@/features/settings/UpdateIndicator";
 
 type AppView = "home" | "channel" | "agents" | "workflows" | "pulse";
@@ -453,209 +452,205 @@ export function AppShell() {
   }, [handleCloseSettings, handleOpenSettings, settingsOpen]);
 
   return (
-    <UpdaterProvider>
-      <ChannelNavigationProvider channels={channels}>
-        <AppShellProvider
-          value={{
-            markChannelRead,
-            openChannelManagement: () => {
-              setIsChannelManagementOpen(true);
-            },
-          }}
-        >
-          <HuddleProvider>
-            <div className="flex h-dvh flex-col overflow-hidden overscroll-none">
-              <SidebarProvider className="min-h-0 flex-1 overflow-hidden">
-                <div className="fixed left-[80px] top-[8px] z-50 flex items-center gap-1.5">
-                  <SidebarTrigger className="h-6 w-6 text-muted-foreground/70 hover:bg-muted/60 hover:text-foreground" />
-                  <Button
-                    aria-label="Go back"
-                    className="h-6 w-6 text-muted-foreground/70 hover:bg-muted/60 hover:text-foreground"
-                    data-testid="global-back"
-                    disabled={!canGoBack}
-                    onClick={goBack}
-                    size="icon"
-                    variant="ghost"
-                  >
-                    <ChevronLeft className="h-3.5 w-3.5" />
-                  </Button>
-                  <Button
-                    aria-label="Go forward"
-                    className="h-6 w-6 text-muted-foreground/70 hover:bg-muted/60 hover:text-foreground"
-                    data-testid="global-forward"
-                    disabled={!canGoForward}
-                    onClick={goForward}
-                    size="icon"
-                    variant="ghost"
-                  >
-                    <ChevronRight className="h-3.5 w-3.5" />
-                  </Button>
-                </div>
-                <div className="fixed right-[16px] top-[8px] z-50">
-                  <UpdateIndicator
-                    onOpenUpdates={() => handleOpenSettings("updates")}
-                  />
-                </div>
-                <AppSidebar
-                  activeWorkspace={workspacesHook.activeWorkspace}
-                  channels={sidebarChannels}
-                  currentPubkey={identityQuery.data?.pubkey}
-                  errorMessage={
-                    channelsQuery.error instanceof Error
-                      ? channelsQuery.error.message
-                      : undefined
-                  }
-                  fallbackDisplayName={identityQuery.data?.displayName}
-                  homeBadgeCount={homeBadgeCount}
-                  isAddWorkspaceOpen={isAddWorkspaceOpen}
-                  isCreatingChannel={createChannelMutation.isPending}
-                  isCreatingForum={createForumMutation.isPending}
-                  isLoading={channelsQuery.isLoading}
-                  isOpeningDm={openDmMutation.isPending}
-                  isNewDmOpen={isNewDmOpen}
-                  isPresencePending={presenceSession.isPending}
-                  onAddWorkspace={(workspace) => {
-                    const id = workspacesHook.addWorkspace(workspace);
-                    workspacesHook.switchWorkspace(id);
-                  }}
-                  onAddWorkspaceOpenChange={setIsAddWorkspaceOpen}
-                  onNewDmOpenChange={setIsNewDmOpen}
-                  onOpenAddWorkspace={() => setIsAddWorkspaceOpen(true)}
-                  onUpdateWorkspace={workspacesHook.updateWorkspace}
-                  onRemoveWorkspace={workspacesHook.removeWorkspace}
-                  onSwitchWorkspace={workspacesHook.switchWorkspace}
-                  selfPresenceStatus={presenceSession.currentStatus}
-                  workspaces={workspacesHook.workspaces}
-                  onCreateChannel={async ({
-                    description,
-                    name,
-                    visibility,
-                    ttlSeconds,
-                  }) => {
-                    const createdChannel =
-                      await createChannelMutation.mutateAsync({
-                        name,
-                        description,
-                        channelType: "stream",
-                        visibility,
-                        ttlSeconds,
-                      });
-
-                    await goChannel(createdChannel.id);
-                  }}
-                  onCreateForum={async ({
-                    description,
-                    name,
-                    visibility,
-                    ttlSeconds,
-                  }) => {
-                    const createdForum = await createForumMutation.mutateAsync({
+    <ChannelNavigationProvider channels={channels}>
+      <AppShellProvider
+        value={{
+          markChannelRead,
+          openChannelManagement: () => {
+            setIsChannelManagementOpen(true);
+          },
+        }}
+      >
+        <HuddleProvider>
+          <div className="flex h-dvh flex-col overflow-hidden overscroll-none">
+            <SidebarProvider className="min-h-0 flex-1 overflow-hidden">
+              <div className="fixed left-[80px] top-[8px] z-50 flex items-center gap-1.5">
+                <SidebarTrigger className="h-6 w-6 text-muted-foreground/70 hover:bg-muted/60 hover:text-foreground" />
+                <Button
+                  aria-label="Go back"
+                  className="h-6 w-6 text-muted-foreground/70 hover:bg-muted/60 hover:text-foreground"
+                  data-testid="global-back"
+                  disabled={!canGoBack}
+                  onClick={goBack}
+                  size="icon"
+                  variant="ghost"
+                >
+                  <ChevronLeft className="h-3.5 w-3.5" />
+                </Button>
+                <Button
+                  aria-label="Go forward"
+                  className="h-6 w-6 text-muted-foreground/70 hover:bg-muted/60 hover:text-foreground"
+                  data-testid="global-forward"
+                  disabled={!canGoForward}
+                  onClick={goForward}
+                  size="icon"
+                  variant="ghost"
+                >
+                  <ChevronRight className="h-3.5 w-3.5" />
+                </Button>
+              </div>
+              <div className="fixed right-[16px] top-[8px] z-50">
+                <UpdateIndicator
+                  onOpenUpdates={() => handleOpenSettings("updates")}
+                />
+              </div>
+              <AppSidebar
+                activeWorkspace={workspacesHook.activeWorkspace}
+                channels={sidebarChannels}
+                currentPubkey={identityQuery.data?.pubkey}
+                errorMessage={
+                  channelsQuery.error instanceof Error
+                    ? channelsQuery.error.message
+                    : undefined
+                }
+                fallbackDisplayName={identityQuery.data?.displayName}
+                homeBadgeCount={homeBadgeCount}
+                isAddWorkspaceOpen={isAddWorkspaceOpen}
+                isCreatingChannel={createChannelMutation.isPending}
+                isCreatingForum={createForumMutation.isPending}
+                isLoading={channelsQuery.isLoading}
+                isOpeningDm={openDmMutation.isPending}
+                isNewDmOpen={isNewDmOpen}
+                isPresencePending={presenceSession.isPending}
+                onAddWorkspace={(workspace) => {
+                  const id = workspacesHook.addWorkspace(workspace);
+                  workspacesHook.switchWorkspace(id);
+                }}
+                onAddWorkspaceOpenChange={setIsAddWorkspaceOpen}
+                onNewDmOpenChange={setIsNewDmOpen}
+                onOpenAddWorkspace={() => setIsAddWorkspaceOpen(true)}
+                onUpdateWorkspace={workspacesHook.updateWorkspace}
+                onRemoveWorkspace={workspacesHook.removeWorkspace}
+                onSwitchWorkspace={workspacesHook.switchWorkspace}
+                selfPresenceStatus={presenceSession.currentStatus}
+                workspaces={workspacesHook.workspaces}
+                onCreateChannel={async ({
+                  description,
+                  name,
+                  visibility,
+                  ttlSeconds,
+                }) => {
+                  const createdChannel =
+                    await createChannelMutation.mutateAsync({
                       name,
                       description,
-                      channelType: "forum",
+                      channelType: "stream",
                       visibility,
                       ttlSeconds,
                     });
 
-                    await goChannel(createdForum.id);
-                  }}
-                  onHideDm={handleHideDm}
-                  onOpenBrowseChannels={handleOpenBrowseChannels}
-                  onOpenBrowseForums={handleOpenBrowseForums}
-                  onOpenDm={async ({ pubkeys }) => {
-                    const directMessage = await openDmMutation.mutateAsync({
-                      pubkeys,
-                    });
-                    await goChannel(directMessage.id);
-                  }}
-                  onOpenSearch={handleOpenSearch}
-                  onSelectAgents={() => {
-                    void goAgents();
-                  }}
-                  onSelectChannel={(channelId) => {
-                    void goChannel(channelId);
-                  }}
-                  onSelectHome={() => {
-                    void goHome();
-                  }}
-                  onSelectPulse={() => {
-                    void goPulse();
-                  }}
-                  onSelectSettings={handleOpenSettings}
-                  onSelectWorkflows={() => {
-                    void goWorkflows();
-                  }}
-                  onSetPresenceStatus={(status) =>
-                    presenceSession.setStatus(status)
-                  }
-                  profile={profileQuery.data}
-                  selectedChannelId={selectedChannelId}
-                  selectedView={selectedView}
-                  unreadChannelIds={unreadChannelIds}
-                />
+                  await goChannel(createdChannel.id);
+                }}
+                onCreateForum={async ({
+                  description,
+                  name,
+                  visibility,
+                  ttlSeconds,
+                }) => {
+                  const createdForum = await createForumMutation.mutateAsync({
+                    name,
+                    description,
+                    channelType: "forum",
+                    visibility,
+                    ttlSeconds,
+                  });
 
-                <SidebarInset className="min-h-0 min-w-0 overflow-hidden">
-                  <Outlet />
-                </SidebarInset>
+                  await goChannel(createdForum.id);
+                }}
+                onHideDm={handleHideDm}
+                onOpenBrowseChannels={handleOpenBrowseChannels}
+                onOpenBrowseForums={handleOpenBrowseForums}
+                onOpenDm={async ({ pubkeys }) => {
+                  const directMessage = await openDmMutation.mutateAsync({
+                    pubkeys,
+                  });
+                  await goChannel(directMessage.id);
+                }}
+                onOpenSearch={handleOpenSearch}
+                onSelectAgents={() => {
+                  void goAgents();
+                }}
+                onSelectChannel={(channelId) => {
+                  void goChannel(channelId);
+                }}
+                onSelectHome={() => {
+                  void goHome();
+                }}
+                onSelectPulse={() => {
+                  void goPulse();
+                }}
+                onSelectSettings={handleOpenSettings}
+                onSelectWorkflows={() => {
+                  void goWorkflows();
+                }}
+                onSetPresenceStatus={(status) =>
+                  presenceSession.setStatus(status)
+                }
+                profile={profileQuery.data}
+                selectedChannelId={selectedChannelId}
+                selectedView={selectedView}
+                unreadChannelIds={unreadChannelIds}
+              />
 
-                <AppShellOverlays
-                  activeChannel={activeChannel}
-                  browseDialogType={browseDialogType}
-                  channels={channels}
-                  currentPubkey={identityQuery.data?.pubkey}
-                  isChannelManagementOpen={isChannelManagementOpen}
-                  isSearchOpen={isSearchOpen}
-                  onBrowseChannelJoin={handleBrowseChannelJoin}
-                  onBrowseDialogOpenChange={handleBrowseDialogOpenChange}
-                  onChannelManagementOpenChange={setIsChannelManagementOpen}
-                  onDeleteActiveChannel={() => {
-                    setIsChannelManagementOpen(false);
-                    void goHome({ replace: true });
-                  }}
-                  onOpenSearchResult={handleOpenSearchResult}
-                  onSearchOpenChange={setIsSearchOpen}
-                  onSelectChannel={(channelId) => {
-                    void goChannel(channelId);
-                  }}
-                />
+              <SidebarInset className="min-h-0 min-w-0 overflow-hidden">
+                <Outlet />
+              </SidebarInset>
 
-                {settingsOpen ? (
-                  <React.Suspense fallback={null}>
-                    <LazySettingsScreen
-                      currentPubkey={identityQuery.data?.pubkey}
-                      fallbackDisplayName={identityQuery.data?.displayName}
-                      isUpdatingDesktopNotifications={
-                        notificationSettings.isUpdatingDesktopEnabled
-                      }
-                      notificationErrorMessage={
-                        notificationSettings.errorMessage
-                      }
-                      notificationPermission={notificationSettings.permission}
-                      notificationSettings={notificationSettings.settings}
-                      onClose={handleCloseSettings}
-                      onSectionChange={setSettingsSection}
-                      onSetDesktopNotificationsEnabled={
-                        notificationSettings.setDesktopEnabled
-                      }
-                      onSetHomeBadgeEnabled={
-                        notificationSettings.setHomeBadgeEnabled
-                      }
-                      onSetMentionNotificationsEnabled={
-                        notificationSettings.setMentionsEnabled
-                      }
-                      onSetNeedsActionNotificationsEnabled={
-                        notificationSettings.setNeedsActionEnabled
-                      }
-                      section={settingsSection}
-                    />
-                  </React.Suspense>
-                ) : null}
-              </SidebarProvider>
-              <HuddleBar />
-            </div>
-          </HuddleProvider>
-        </AppShellProvider>
-      </ChannelNavigationProvider>
-    </UpdaterProvider>
+              <AppShellOverlays
+                activeChannel={activeChannel}
+                browseDialogType={browseDialogType}
+                channels={channels}
+                currentPubkey={identityQuery.data?.pubkey}
+                isChannelManagementOpen={isChannelManagementOpen}
+                isSearchOpen={isSearchOpen}
+                onBrowseChannelJoin={handleBrowseChannelJoin}
+                onBrowseDialogOpenChange={handleBrowseDialogOpenChange}
+                onChannelManagementOpenChange={setIsChannelManagementOpen}
+                onDeleteActiveChannel={() => {
+                  setIsChannelManagementOpen(false);
+                  void goHome({ replace: true });
+                }}
+                onOpenSearchResult={handleOpenSearchResult}
+                onSearchOpenChange={setIsSearchOpen}
+                onSelectChannel={(channelId) => {
+                  void goChannel(channelId);
+                }}
+              />
+
+              {settingsOpen ? (
+                <React.Suspense fallback={null}>
+                  <LazySettingsScreen
+                    currentPubkey={identityQuery.data?.pubkey}
+                    fallbackDisplayName={identityQuery.data?.displayName}
+                    isUpdatingDesktopNotifications={
+                      notificationSettings.isUpdatingDesktopEnabled
+                    }
+                    notificationErrorMessage={notificationSettings.errorMessage}
+                    notificationPermission={notificationSettings.permission}
+                    notificationSettings={notificationSettings.settings}
+                    onClose={handleCloseSettings}
+                    onSectionChange={setSettingsSection}
+                    onSetDesktopNotificationsEnabled={
+                      notificationSettings.setDesktopEnabled
+                    }
+                    onSetHomeBadgeEnabled={
+                      notificationSettings.setHomeBadgeEnabled
+                    }
+                    onSetMentionNotificationsEnabled={
+                      notificationSettings.setMentionsEnabled
+                    }
+                    onSetNeedsActionNotificationsEnabled={
+                      notificationSettings.setNeedsActionEnabled
+                    }
+                    section={settingsSection}
+                  />
+                </React.Suspense>
+              ) : null}
+            </SidebarProvider>
+            <HuddleBar />
+          </div>
+        </HuddleProvider>
+      </AppShellProvider>
+    </ChannelNavigationProvider>
   );
 }
diff --git a/desktop/src/features/settings/UpdateChecker.tsx b/desktop/src/features/settings/UpdateChecker.tsx
index 3efb5e784..9a35fbace 100644
--- a/desktop/src/features/settings/UpdateChecker.tsx
+++ b/desktop/src/features/settings/UpdateChecker.tsx
@@ -1,10 +1,8 @@
 import { useUpdaterContext } from "./hooks/UpdaterProvider";
 import { Button } from "@/shared/ui/button";
-import { Badge } from "@/shared/ui/badge";
 
 export function UpdateChecker() {
-  const { status, checkForUpdate, downloadAndInstall, relaunch } =
-    useUpdaterContext();
+  const { status, checkForUpdate, relaunch } = useUpdaterContext();
 
   return (
     <section className="min-w-0">
@@ -44,14 +42,7 @@ export function UpdateChecker() {
       )}
 
       {status.state === "available" && (
-        <div className="flex items-center justify-between">
-          <p className="text-sm text-foreground">
-            Version <Badge variant="info">{status.version}</Badge> is available.
-          </p>
-          <Button size="sm" onClick={downloadAndInstall}>
-            Download &amp; Install
-          </Button>
-        </div>
+        <p className="text-sm text-muted-foreground">Preparing update...</p>
       )}
 
       {status.state === "downloading" && (
diff --git a/desktop/src/features/settings/UpdateIndicator.tsx b/desktop/src/features/settings/UpdateIndicator.tsx
index 7c9590053..3aed48ab5 100644
--- a/desktop/src/features/settings/UpdateIndicator.tsx
+++ b/desktop/src/features/settings/UpdateIndicator.tsx
@@ -1,4 +1,4 @@
-import { Download, RefreshCw } from "lucide-react";
+import { Download, Loader2, RefreshCw } from "lucide-react";
 
 import { Button } from "@/shared/ui/button";
 
@@ -11,23 +11,47 @@ const indicatorButtonClass =
 const iconClass = "h-3.5 w-3.5";
 
 const variants: Record<
-  "available" | "ready",
-  { Icon: typeof Download; label: string; badgeColor: string }
+  "available" | "downloading" | "installing" | "ready",
+  {
+    Icon: typeof Download;
+    label: string;
+    badgeColor: string;
+    iconClass: string;
+  }
 > = {
   available: {
     Icon: Download,
     label: "Update available",
     badgeColor: "bg-primary",
+    iconClass: iconClass,
+  },
+  downloading: {
+    Icon: Loader2,
+    label: "Downloading update\u2026",
+    badgeColor: "bg-primary",
+    iconClass: `${iconClass} animate-spin`,
+  },
+  installing: {
+    Icon: Loader2,
+    label: "Installing update\u2026",
+    badgeColor: "bg-primary",
+    iconClass: `${iconClass} animate-spin`,
   },
   ready: {
     Icon: RefreshCw,
     label: "Restart to update",
     badgeColor: "bg-emerald-500",
+    iconClass: iconClass,
   },
 };
 
 function getVariant(state: UpdateStatus["state"]) {
-  if (state === "available" || state === "ready") {
+  if (
+    state === "available" ||
+    state === "downloading" ||
+    state === "installing" ||
+    state === "ready"
+  ) {
     return variants[state];
   }
   return null;
@@ -45,7 +69,7 @@ export function UpdateIndicator({
     return null;
   }
 
-  const { Icon, label, badgeColor } = variant;
+  const { Icon, label, badgeColor, iconClass: variantIconClass } = variant;
 
   return (
     <Button
@@ -55,7 +79,7 @@ export function UpdateIndicator({
       size="sm"
       variant="ghost"
     >
-      <Icon className={iconClass} />
+      <Icon className={variantIconClass} />
       {label}
       <span
         className={`absolute -top-0.5 -right-0.5 h-2 w-2 rounded-full ${badgeColor} animate-pulse`}
diff --git a/desktop/src/features/settings/hooks/use-updater.ts b/desktop/src/features/settings/hooks/use-updater.ts
index 1cce67995..5cee98d2d 100644
--- a/desktop/src/features/settings/hooks/use-updater.ts
+++ b/desktop/src/features/settings/hooks/use-updater.ts
@@ -13,7 +13,6 @@ export type UpdateStatus =
   | { state: "ready" }
   | { state: "error"; message: string };
 
-const TOAST_ID = "update-available";
 const BACKGROUND_UPDATE_CHECK_INTERVAL_MS = 6 * 60 * 60 * 1000;
 const BACKGROUND_BLOCKED_STATES = new Set<UpdateStatus["state"]>([
   "checking",
@@ -43,6 +42,7 @@ export function useUpdater() {
   const statusRef = useRef<UpdateStatus>({ state: "idle" });
   const updateRef = useRef<Update | null>(null);
   const checkInFlightRef = useRef(false);
+  const downloadInFlightRef = useRef(false);
   const manualResultRequestedRef = useRef(false);
 
   const setStatus = useCallback((nextStatus: UpdateStatus) => {
@@ -51,6 +51,9 @@ export function useUpdater() {
   }, []);
 
   const closeUpdate = useCallback(async () => {
+    if (downloadInFlightRef.current) {
+      return;
+    }
     const current = updateRef.current;
     if (current) {
       updateRef.current = null;
@@ -59,13 +62,17 @@ export function useUpdater() {
   }, []);
 
   const downloadAndInstall = useCallback(async () => {
+    if (downloadInFlightRef.current) {
+      return;
+    }
+
+    downloadInFlightRef.current = true;
     try {
       const update = updateRef.current;
       if (!update) {
         return;
       }
 
-      toast.dismiss(TOAST_ID);
       setStatus({ state: "downloading" });
 
       await update.downloadAndInstall((event) => {
@@ -76,8 +83,14 @@ export function useUpdater() {
 
       updateRef.current = null;
       setStatus({ state: "ready" });
+      toast("Update ready", {
+        description: "Restart when you're ready to apply the update.",
+        duration: 8000,
+      });
     } catch (err) {
       setStatus({ state: "error", message: toErrorMessage(err) });
+    } finally {
+      downloadInFlightRef.current = false;
     }
   }, [setStatus]);
 
@@ -112,15 +125,8 @@ export function useUpdater() {
         if (update) {
           updateRef.current = update;
           setStatus({ state: "available", version: update.version });
-          toast("Update Available", {
-            id: TOAST_ID,
-            description: `Version ${update.version} is ready to download.`,
-            duration: Infinity,
-            action: {
-              label: "Download & install",
-              onClick: () => downloadAndInstall(),
-            },
-          });
+          // Start download automatically — user sees "restart" when done
+          void downloadAndInstall();
         } else if (shouldShowQuietResult) {
           setStatus({ state: "up-to-date" });
         }