diff --git a/.actions/setup_tools.py b/.actions/setup_tools.py
index 45478600b5..cb079cd71e 100644
--- a/.actions/setup_tools.py
+++ b/.actions/setup_tools.py
@@ -12,7 +12,6 @@
 # See the License for the specific language governing permissions and
 # limitations under the License.
 import glob
-import logging
 import os
 import pathlib
 import re
@@ -23,9 +22,9 @@ import urllib.request
 from datetime import datetime
 from distutils.version import LooseVersion
 from importlib.util import module_from_spec, spec_from_file_location
-from itertools import chain, groupby
+from itertools import chain
 from types import ModuleType
-from typing import List, Sequence
+from typing import Dict, List, Sequence
 
 from pkg_resources import parse_requirements
 
@@ -114,8 +113,8 @@ def load_requirements(
     """Loading requirements from a file.
 
     >>> path_req = os.path.join(_PROJECT_ROOT, "requirements")
-    >>> load_requirements(path_req, unfreeze="major")  # doctest: +ELLIPSIS +NORMALIZE_WHITESPACE
-    ['pytorch_lightning...', 'lightning_app...']
+    >>> load_requirements(path_req, "docs.txt", unfreeze="major")  # doctest: +ELLIPSIS +NORMALIZE_WHITESPACE
+    ['sphinx>=4.0, <6.0  # strict', ...]
     """
     with open(os.path.join(path_dir, file_name)) as file:
         lines = [ln.strip() for ln in file.readlines()]
@@ -165,221 +164,6 @@ def load_readme_description(path_dir: str, homepage: str, version: str) -> str:
     return text
 
 
-def replace_block_with_imports(lines: List[str], import_path: str, kword: str = "class") -> List[str]:
-    """Parse a file and replace implementtaions bodies of function or class.
-
-    >>> py_file = os.path.join(_PROJECT_ROOT, "src", "pytorch_lightning", "loggers", "logger.py")
-    >>> import_path = ".".join(["pytorch_lightning", "loggers", "logger"])
-    >>> with open(py_file, encoding="utf-8") as fp:
-    ...     lines = [ln.rstrip() for ln in fp.readlines()]
-    >>> lines = replace_block_with_imports(lines, import_path, "class")
-    >>> lines = replace_block_with_imports(lines, import_path, "def")
-    """
-    body, tracking, skip_offset = [], False, 0
-    for i, ln in enumerate(lines):
-        # support for defining a class with this condition
-        conditional_class_definitions = ("if TYPE_CHECKING", "if typing.TYPE_CHECKING", "if torch.", "if _TORCH_")
-        if (
-            any(ln.startswith(pattern) for pattern in conditional_class_definitions)
-            # avoid bug in CI for the <1.7 meta code
-            and "pytorch_lightning.utilities.meta" not in import_path
-        ):
-            # dedent the next line
-            lines[i + 1] = lines[i + 1].lstrip()
-            continue
-
-        offset = len(ln) - len(ln.lstrip())
-        # in case of mating the class args are multi-line
-        if tracking and ln and offset <= skip_offset and not any(ln.lstrip().startswith(c) for c in ")]"):
-            tracking = False
-        if ln.lstrip().startswith(f"{kword} ") and not tracking:
-            name = ln.replace(f"{kword} ", "").strip()
-            idxs = [name.index(c) for c in ":(" if c in name]
-            name = name[: min(idxs)]
-            # skip private, TODO: consider skip even protected
-            if not name.startswith("__"):
-                body.append(f"{' ' * offset}from {import_path} import {name}  # noqa: F401")
-            tracking, skip_offset = True, offset
-            continue
-        if not tracking:
-            body.append(ln)
-    return body
-
-
-def replace_vars_with_imports(lines: List[str], import_path: str) -> List[str]:
-    """Parse a file and replace variable filling with import.
-
-    >>> py_file = os.path.join(_PROJECT_ROOT, "src", "pytorch_lightning", "utilities", "imports.py")
-    >>> import_path = ".".join(["pytorch_lightning", "utilities", "imports"])
-    >>> with open(py_file, encoding="utf-8") as fp:
-    ...     lines = [ln.rstrip() for ln in fp.readlines()]
-    >>> lines = replace_vars_with_imports(lines, import_path)
-    """
-    copied = []
-    body, tracking, skip_offset = [], False, 0
-    for ln in lines:
-        offset = len(ln) - len(ln.lstrip())
-        # in case of mating the class args are multi-line
-        if tracking and ln and offset <= skip_offset and not any(ln.lstrip().startswith(c) for c in ")]}"):
-            tracking = False
-        var = re.match(r"^([\w_\d]+)[: [\w\., \[\]]*]? = ", ln.lstrip())
-        if var:
-            name = var.groups()[0]
-            # skip private or apply white-list for allowed vars
-            if name not in copied and (not name.startswith("__") or name in ("__all__",)):
-                body.append(f"{' ' * offset}from {import_path} import {name}  # noqa: F401")
-                copied.append(name)
-            tracking, skip_offset = True, offset
-            continue
-        if not tracking:
-            body.append(ln)
-    return body
-
-
-def prune_imports_callables(lines: List[str]) -> List[str]:
-    """Prune imports and calling functions from a file, even multi-line.
-
-    >>> py_file = os.path.join(_PROJECT_ROOT, "src", "pytorch_lightning", "utilities", "cli.py")
-    >>> import_path = ".".join(["pytorch_lightning", "utilities", "cli"])
-    >>> with open(py_file, encoding="utf-8") as fp:
-    ...     lines = [ln.rstrip() for ln in fp.readlines()]
-    >>> lines = prune_imports_callables(lines)
-    """
-    body, tracking, skip_offset = [], False, 0
-    for ln in lines:
-        if ln.lstrip().startswith("import "):
-            continue
-        offset = len(ln) - len(ln.lstrip())
-        # in case of mating the class args are multi-line
-        if tracking and ln and offset <= skip_offset and not any(ln.lstrip().startswith(c) for c in ")]}"):
-            tracking = False
-        # catching callable
-        call = re.match(r"^[\w_\d\.]+\(", ln.lstrip())
-        if (ln.lstrip().startswith("from ") and " import " in ln) or call:
-            tracking, skip_offset = True, offset
-            continue
-        if not tracking:
-            body.append(ln)
-    return body
-
-
-def prune_func_calls(lines: List[str]) -> List[str]:
-    """Prune calling functions from a file, even multi-line.
-
-    >>> py_file = os.path.join(_PROJECT_ROOT, "src", "pytorch_lightning", "loggers", "__init__.py")
-    >>> import_path = ".".join(["pytorch_lightning", "loggers"])
-    >>> with open(py_file, encoding="utf-8") as fp:
-    ...     lines = [ln.rstrip() for ln in fp.readlines()]
-    >>> lines = prune_func_calls(lines)
-    """
-    body, tracking, score = [], False, 0
-    for ln in lines:
-        # catching callable
-        calling = re.match(r"^@?[\w_\d\.]+ *\(", ln.lstrip())
-        if calling and " import " not in ln:
-            tracking = True
-            score = 0
-        if tracking:
-            score += ln.count("(") - ln.count(")")
-            if score == 0:
-                tracking = False
-        else:
-            body.append(ln)
-    return body
-
-
-def prune_empty_statements(lines: List[str]) -> List[str]:
-    """Prune emprty if/else and try/except.
-
-    >>> py_file = os.path.join(_PROJECT_ROOT, "src", "pytorch_lightning", "utilities", "cli.py")
-    >>> import_path = ".".join(["pytorch_lightning", "utilities", "cli"])
-    >>> with open(py_file, encoding="utf-8") as fp:
-    ...     lines = [ln.rstrip() for ln in fp.readlines()]
-    >>> lines = prune_imports_callables(lines)
-    >>> lines = prune_empty_statements(lines)
-    """
-    kwords_pairs = ("with", "if ", "elif ", "else", "try", "except")
-    body, tracking, skip_offset, last_count = [], False, 0, 0
-    # todo: consider some more complex logic as for example only some leaves of if/else tree are empty
-    for i, ln in enumerate(lines):
-        offset = len(ln) - len(ln.lstrip())
-        # skipp all decorators
-        if ln.lstrip().startswith("@"):
-            # consider also multi-line decorators
-            if "(" in ln and ")" not in ln:
-                tracking, skip_offset = True, offset
-            continue
-        # in case of mating the class args are multi-line
-        if tracking and ln and offset <= skip_offset and not any(ln.lstrip().startswith(c) for c in ")]}"):
-            tracking = False
-        starts = [k for k in kwords_pairs if ln.lstrip().startswith(k)]
-        if starts:
-            start, count = starts[0], -1
-            # look forward if this statement has a body
-            for ln_ in lines[i:]:
-                offset_ = len(ln_) - len(ln_.lstrip())
-                if count == -1 and ln_.rstrip().endswith(":"):
-                    count = 0
-                elif ln_ and offset_ <= offset:
-                    break
-                # skipp all til end of statement
-                elif ln_.lstrip():
-                    # count non-zero body lines
-                    count += 1
-            # cache the last key body as the supplement canot be without
-            if start in ("if", "elif", "try"):
-                last_count = count
-            if count <= 0 or (start in ("else", "except") and last_count <= 0):
-                tracking, skip_offset = True, offset
-        if not tracking:
-            body.append(ln)
-    return body
-
-
-def prune_comments_docstrings(lines: List[str]) -> List[str]:
-    """Prune all doctsrings with triple " notation.
-
-    >>> py_file = os.path.join(_PROJECT_ROOT, "src", "pytorch_lightning", "loggers", "csv_logs.py")
-    >>> import_path = ".".join(["pytorch_lightning", "loggers", "csv_logs"])
-    >>> with open(py_file, encoding="utf-8") as fp:
-    ...     lines = [ln.rstrip() for ln in fp.readlines()]
-    >>> lines = prune_comments_docstrings(lines)
-    """
-    body, tracking = [], False
-    for ln in lines:
-        if "#" in ln and "noqa:" not in ln:
-            ln = ln[: ln.index("#")]
-        if not tracking and any(ln.lstrip().startswith(s) for s in ['"""', 'r"""']):
-            # oneliners skip directly
-            if len(ln.strip()) >= 6 and ln.rstrip().endswith('"""'):
-                continue
-            tracking = True
-        elif ln.rstrip().endswith('"""'):
-            tracking = False
-            continue
-        if not tracking:
-            body.append(ln.rstrip())
-    return body
-
-
-def wrap_try_except(body: List[str], pkg: str, ver: str) -> List[str]:
-    """Wrap the file with try/except for better traceability of import misalignment."""
-    not_empty = sum(1 for ln in body if ln)
-    if not_empty == 0:
-        return body
-    body = ["try:"] + [f"    {ln}" if ln else "" for ln in body]
-    body += [
-        "",
-        "except ImportError as err:",
-        "",
-        "    from os import linesep",
-        f"    from {pkg} import __version__",
-        f"    msg = f'Your `lightning` package was built for `{pkg}=={ver}`," + " but you are running {__version__}'",
-        "    raise type(err)(str(err) + linesep + msg)",
-    ]
-    return body
-
-
 def parse_version_from_file(pkg_root: str) -> str:
     """Loading the package version from file."""
     file_ver = os.path.join(pkg_root, "__version__.py")
@@ -393,74 +177,64 @@ def parse_version_from_file(pkg_root: str) -> str:
     return ver
 
 
-def prune_duplicate_lines(body):
-    body_ = []
-    # drop duplicated lines
-    for ln in body:
-        if ln.lstrip() not in body_ or ln.lstrip() in (")", ""):
-            body_.append(ln)
-    return body_
+def _replace_imports_in_file(lines: List[str], pkg_lut: Dict[str, str]) -> List[str]:
+    """Replace imports of standalone package to lightning.
 
-
-def create_meta_package(src_folder: str, pkg_name: str = "pytorch_lightning", lit_name: str = "pytorch"):
-    """Parse the real python package and for each module create a mirroe version with repalcing all function and
-    class implementations by cross-imports to the true package.
-
-    As validation run in termnal: `flake8 src/lightning/ --ignore E402,F401,E501`
-
-    >>> create_meta_package(os.path.join(_PROJECT_ROOT, "src"))
+    >>> lns = ["lightning_app",
+    ...        "delete_cloud_lightning_apps",
+    ...        "from lightning_app import",
+    ...        "lightning_apps = []",
+    ...        "lightning_app is ours",
+    ...        "def _lightning_app():",
+    ...        ":class:`~lightning_app.core.flow.LightningFlow`"]
+    >>> from pprint import pprint
+    >>> pprint(_replace_imports_in_file(lns, {"app": "lightning_app"}))
+    ['lightning.app',
+     'delete_cloud_lightning_apps',
+     'from lightning.app import',
+     'lightning_apps = []',
+     'lightning.app is ours',
+     'def _lightning_app():',
+     ':class:`~lightning.app.core.flow.LightningFlow`']
     """
+    for n2, n1 in pkg_lut.items():
+        for i, ln in enumerate(lines):
+            lines[i] = re.sub(rf"([^_]|^){n1}([^_\w]|$)", rf"\1lightning.{n2}\2", ln)
+    return lines
+
+
+# TODO: unify usage with assistant function, such that import this function in there
+def copy_adjusted_modules(src_folder: str, pkg_name: str, lit_name: str, pkg_lut: dict) -> None:
+    """Recursively replace imports in given folder."""
     package_dir = os.path.join(src_folder, pkg_name)
-    pkg_ver = parse_version_from_file(package_dir)
-    # shutil.rmtree(os.path.join(src_folder, "lightning", lit_name))
-    py_files = glob.glob(os.path.join(src_folder, pkg_name, "**", "*.py"), recursive=True)
-    for py_file in py_files:
-        local_path = py_file.replace(package_dir + os.path.sep, "")
-        fname = os.path.basename(py_file)
-        if "-" in local_path:
-            continue
-        with open(py_file, encoding="utf-8") as fp:
-            lines = [ln.rstrip() for ln in fp.readlines()]
-        import_path = pkg_name + "." + local_path.replace(".py", "").replace(os.path.sep, ".")
-        import_path = import_path.replace(".__init__", "")
-
-        if fname in ("__about__.py", "__version__.py"):
-            body = lines
-        else:
-            if fname.startswith("_") and fname not in ("__init__.py", "__main__.py"):
-                logging.warning(f"unsupported file: {local_path}")
-                continue
-            # ToDO: perform some smarter parsing - preserve Constants, lambdas, etc
-            body = prune_comments_docstrings([ln.rstrip() for ln in lines])
-            if fname not in ("__init__.py", "__main__.py"):
-                body = prune_imports_callables(body)
-            for key_word in ("class", "def", "async def"):
-                body = replace_block_with_imports(body, import_path, key_word)
-            # TODO: fix reimporting which is artefact after replacing var assignment with import;
-            #  after fixing , update CI by remove F811 from CI/check pkg
-            body = replace_vars_with_imports(body, import_path)
-            if fname not in ("__main__.py",):
-                body = prune_func_calls(body)
-            body_len = -1
-            # in case of several in-depth statements
-            while body_len != len(body):
-                body_len = len(body)
-                body = prune_duplicate_lines(body)
-                body = prune_empty_statements(body)
-            # add try/catch wrapper for whole body,
-            #  so when import fails it tells you what is the package version this meta package was generated for...
-            body = wrap_try_except(body, pkg_name, pkg_ver)
-
-        # todo: apply pre-commit formatting
-        # clean to many empty lines
-        body = [ln for ln, _group in groupby(body)]
-        # drop duplicated lines
-        body = prune_duplicate_lines(body)
-        # compose the target file name
+    all_files = glob.glob(os.path.join(package_dir, "**", "*.*"), recursive=True)
+    for fname in all_files:
+        local_path = fname.replace(package_dir + os.path.sep, "")
         new_file = os.path.join(src_folder, "lightning", lit_name, local_path)
+        if not fname.endswith(".py"):
+            if not fname.endswith(".pyc"):
+                os.makedirs(os.path.dirname(new_file), exist_ok=True)
+                shutil.copy2(fname, new_file)
+            continue
+
+        with open(fname, encoding="utf-8") as fo:
+            py = fo.readlines()
+        py = _replace_imports_in_file(py, pkg_lut)
         os.makedirs(os.path.dirname(new_file), exist_ok=True)
-        with open(new_file, "w", encoding="utf-8") as fp:
-            fp.writelines([ln + os.linesep for ln in body])
+        with open(new_file, "w", encoding="utf-8") as fo:
+            fo.writelines(py)
+
+
+def create_mirror_package(src_folder: str, lit_pkg_mapping: dict) -> None:
+    """Recursively replace imports in given folder.
+
+    >>> create_mirror_package(
+    ...     os.path.join(_PROJECT_ROOT, "src"),
+    ...     {"pytorch": "pytorch_lightning", "app": "lightning_app", "lite": "lightning_lite"}
+    ... )
+    """
+    for lit_name, pkg_name in lit_pkg_mapping.items():
+        copy_adjusted_modules(src_folder, pkg_name, lit_name, lit_pkg_mapping)
 
 
 def set_version_today(fpath: str) -> None:
@@ -477,12 +251,12 @@ def set_version_today(fpath: str) -> None:
         fp.writelines(lines)
 
 
-def _download_frontend(root: str = _PROJECT_ROOT):
+def _download_frontend(pkg_path: str):
     """Downloads an archive file for a specific release of the Lightning frontend and extracts it to the correct
     directory."""
 
     try:
-        frontend_dir = pathlib.Path(root, "src", "lightning_app", "ui")
+        frontend_dir = pathlib.Path(pkg_path, "ui")
         download_dir = tempfile.mkdtemp()
 
         shutil.rmtree(frontend_dir, ignore_errors=True)
diff --git a/.azure/app-cloud-e2e.yml b/.azure/app-cloud-e2e.yml
index 01776baed3..909b8d29a1 100644
--- a/.azure/app-cloud-e2e.yml
+++ b/.azure/app-cloud-e2e.yml
@@ -100,6 +100,7 @@ jobs:
         path: $(pip_cache_dir)
       displayName: Cache pip
 
+    # TODO: we are testing it as `lightning`, so add also version for `lightning_app`
     - bash: git restore . && python -m pip install -e . -r requirements/app/test.txt -r requirements/app/ui.txt --find-links https://download.pytorch.org/whl/cpu/torch_stable.html
       displayName: 'Install Lightning & dependencies'
 
@@ -125,6 +126,16 @@ jobs:
       condition: eq(variables['name'], 'quick_start')
       displayName: 'Install Quick Start'
 
+    - bash: python -m pip install -q -r .actions/requirements.txt
+      displayName: 'Install assistant dependencies'
+
+    # Fix imports to use `lightning` instead of `lightning_app` since we install lightning only ATM
+    # TODO: fixme when installing `lightning_app` as well
+    - bash: |
+        python .actions/assistant.py copy_replace_imports --source_dir="./examples" --source_import="lightning_app" --target_import="lightning.app"
+        python .actions/assistant.py copy_replace_imports --source_dir="./tests" --source_import="lightning_app" --target_import="lightning.app"
+      displayName: 'Adjust examples'
+
     - bash: |
         pip --version
         pip list
@@ -144,12 +155,12 @@ jobs:
         TEST_APP_NAME: $(name)
         HAR_LOCATION: './artifacts/hars'
         SLOW_MO: '50'
-        # LAI_USER: $(LAI_USER)
-        # LAI_PASS: $(LAI_PASS)
-        LIGHTNING_USER_ID: $(LIGHTNING_USER_ID_PROD)
-        LIGHTNING_API_KEY: $(LIGHTNING_API_KEY_PROD)
+        LAI_USER: $(LAI_USER)  # for STAGING
+        LAI_PASS: $(LAI_PASS)  # for STAGING
+        LIGHTNING_USER_ID: $(LIGHTNING_USER_ID_STAGING)
+        LIGHTNING_API_KEY: $(LIGHTNING_API_KEY_STAGING)
         LIGHTNING_USERNAME: $(LIGHTNING_USERNAME)
-        LIGHTNING_CLOUD_URL: $(LIGHTNING_CLOUD_URL_PROD)
+        LIGHTNING_CLOUD_URL: $(LIGHTNING_CLOUD_URL_STAGING)
         LIGHTNING_DEBUG: '1'
       displayName: 'Run the tests'
 
@@ -162,12 +173,12 @@ jobs:
         time python -c "from lightning.app import testing; testing.delete_cloud_lightning_apps()"
       condition: always()
       env:
-        # LAI_USER: $(LAI_USER)
-        # LAI_PASS: $(LAI_PASS)
-        LIGHTNING_USER_ID: $(LIGHTNING_USER_ID_PROD)
-        LIGHTNING_API_KEY: $(LIGHTNING_API_KEY_PROD)
+        LAI_USER: $(LAI_USER)  # for STAGING
+        LAI_PASS: $(LAI_PASS)  # for STAGING
+        LIGHTNING_USER_ID: $(LIGHTNING_USER_ID_STAGING)
+        LIGHTNING_API_KEY: $(LIGHTNING_API_KEY_STAGING)
         LIGHTNING_USERNAME: $(LIGHTNING_USERNAME)
-        LIGHTNING_CLOUD_URL: $(LIGHTNING_CLOUD_URL_PROD)
+        LIGHTNING_CLOUD_URL: $(LIGHTNING_CLOUD_URL_STAGING)
         PR_NUMBER: $(local_id)
         TEST_APP_NAME: $(name)
         # GRID_USER_ID: $(LIGHTNING_USER_ID)  # TODO: clarify the meaning
diff --git a/.github/actions/pkg-check/action.yml b/.github/actions/pkg-check/action.yml
index bfd1602e69..9f86319774 100644
--- a/.github/actions/pkg-check/action.yml
+++ b/.github/actions/pkg-check/action.yml
@@ -5,6 +5,7 @@ inputs:
   pkg-name:
     description: package name inside lightning.*
     required: true
+    default: ""
   nb-dirs:
     description: nb of packages in the wrap/distribution
     required: false
@@ -21,10 +22,7 @@ runs:
   - name: Source check
     env:
       PACKAGE_NAME: ${{ inputs.pkg-name }}
-    run: |
-      python setup.py check --metadata --strict
-      # TODO: fix reimporting (F811) which is aftefact after rplacing var assigne with import in meta package
-      flake8 src/lightning/ --ignore E402,F401,E501,W391,E303,F811
+    run: python setup.py check --metadata --strict
     shell: bash
 
   - name: Create package
@@ -40,10 +38,6 @@ runs:
       # python setup.py clean
     shell: bash
 
-  - name: copy/export pkg
-    run: cp dist/* pypi/
-    shell: bash
-
   - name: Unzip packages
     if: ${{ inputs.pkg-name != '' }}
     working-directory: dist
diff --git a/.github/actions/pkg-install/action.yml b/.github/actions/pkg-install/action.yml
index c39d11eca4..155c4edf99 100644
--- a/.github/actions/pkg-install/action.yml
+++ b/.github/actions/pkg-install/action.yml
@@ -25,7 +25,7 @@ runs:
     run: echo "PKG_NAME=${{ inputs.pkg-name }}" >> $GITHUB_ENV
     shell: bash
 
-  - name: Install | Uninstall package - archive
+  - name: Install package - archive
     working-directory: ./dist
     run: |
       pip install *.tar.gz ${{ inputs.pip-flags }}
@@ -33,7 +33,7 @@ runs:
       python -c "import ${PKG_NAME} ; print(${PKG_NAME}.__version__)"
     shell: bash
 
-  - name: Install | Uninstall package - wheel
+  - name: Install package - wheel
     working-directory: ./dist
     run: |
       pip install *.whl ${{ inputs.pip-flags }}
diff --git a/.github/checkgroup.yml b/.github/checkgroup.yml
index e0f4a3060a..4e26e87005 100644
--- a/.github/checkgroup.yml
+++ b/.github/checkgroup.yml
@@ -30,16 +30,23 @@ subprojects:
       - "pl-cpu (macOS-11, pytorch, 3.10, 1.12)"
       - "pl-cpu (macOS-11, pytorch, 3.7, 1.9, oldest)"
       - "pl-cpu (macOS-11, pytorch, 3.10, 1.13, pre)"
-      - "pl-cpu (ubuntu-20.04, pytorch, 3.8, 1.11)"
+      - "pl-cpu (ubuntu-20.04, pytorch, 3.8, 1.10)"
+      - "pl-cpu (ubuntu-20.04, pytorch, 3.9, 1.11)"
+      - "pl-cpu (ubuntu-20.04, pytorch, 3.10, 1.11)"
       - "pl-cpu (ubuntu-20.04, pytorch, 3.10, 1.12)"
       - "pl-cpu (ubuntu-20.04, pytorch, 3.7, 1.9, oldest)"
       - "pl-cpu (ubuntu-20.04, pytorch, 3.9, 1.13, pre)"
-      - "pl-cpu (windows-2022, pytorch, 3.8, 1.9)"
-      - "pl-cpu (windows-2022, pytorch, 3.9, 1.10)"
+      - "pl-cpu (windows-2022, pytorch, 3.9, 1.11)"
       - "pl-cpu (windows-2022, pytorch, 3.10, 1.11)"
       - "pl-cpu (windows-2022, pytorch, 3.10, 1.12)"
       - "pl-cpu (windows-2022, pytorch, 3.7, 1.9, oldest)"
       - "pl-cpu (windows-2022, pytorch, 3.8, 1.13, pre)"
+      - "pl-cpu (macOS-11, lightning, 3.10, 1.12)"
+      #- "pl-cpu (macOS-11, lightning, 3.7, 1.9, oldest)"
+      - "pl-cpu (ubuntu-20.04, lightning, 3.10, 1.12)"
+      #- "pl-cpu (ubuntu-20.04, lightning, 3.7, 1.9, oldest)"
+      - "pl-cpu (windows-2022, lightning, 3.10, 1.12)"
+      #- "pl-cpu (windows-2022, lightning, 3.7, 1.9, oldest)"
       - "make-doctest (pytorch)"
       - "make-html (pytorch)"
       - "mypy"
@@ -56,21 +63,28 @@ subprojects:
     paths:
       - ".github/workflows/ci-pytorch-tests.yml"
     checks:
-      - "pl-cpu (macOS-11, pytorch, 3.9, 1.11)"
       - "pl-cpu (macOS-11, pytorch, 3.8, 1.10)"
+      - "pl-cpu (macOS-11, pytorch, 3.9, 1.11)"
       - "pl-cpu (macOS-11, pytorch, 3.10, 1.12)"
       - "pl-cpu (macOS-11, pytorch, 3.7, 1.9, oldest)"
       - "pl-cpu (macOS-11, pytorch, 3.10, 1.13, pre)"
-      - "pl-cpu (ubuntu-20.04, pytorch, 3.8, 1.11)"
+      - "pl-cpu (ubuntu-20.04, pytorch, 3.8, 1.10)"
+      - "pl-cpu (ubuntu-20.04, pytorch, 3.9, 1.11)"
+      - "pl-cpu (ubuntu-20.04, pytorch, 3.10, 1.11)"
       - "pl-cpu (ubuntu-20.04, pytorch, 3.10, 1.12)"
       - "pl-cpu (ubuntu-20.04, pytorch, 3.7, 1.9, oldest)"
       - "pl-cpu (ubuntu-20.04, pytorch, 3.9, 1.13, pre)"
-      - "pl-cpu (windows-2022, pytorch, 3.8, 1.9)"
-      - "pl-cpu (windows-2022, pytorch, 3.9, 1.10)"
+      - "pl-cpu (windows-2022, pytorch, 3.9, 1.11)"
       - "pl-cpu (windows-2022, pytorch, 3.10, 1.11)"
       - "pl-cpu (windows-2022, pytorch, 3.10, 1.12)"
       - "pl-cpu (windows-2022, pytorch, 3.7, 1.9, oldest)"
       - "pl-cpu (windows-2022, pytorch, 3.8, 1.13, pre)"
+      - "pl-cpu (macOS-11, lightning, 3.10, 1.12)"
+      #- "pl-cpu (macOS-11, lightning, 3.7, 1.9, oldest)"
+      - "pl-cpu (ubuntu-20.04, lightning, 3.10, 1.12)"
+      #- "pl-cpu (ubuntu-20.04, lightning, 3.7, 1.9, oldest)"
+      - "pl-cpu (windows-2022, lightning, 3.10, 1.12)"
+      #- "pl-cpu (windows-2022, lightning, 3.7, 1.9, oldest)"
 
   - id: "pytorch_lightning: Slow"
     paths:
@@ -165,24 +179,34 @@ subprojects:
       - "lite-cpu (windows-2022, lite, 3.10, 1.12)"
       - "lite-cpu (windows-2022, lite, 3.7, 1.9, oldest)"
       - "lite-cpu (windows-2022, lite, 3.8, 1.13, pre)"
+      - "lite-cpu (macOS-11, lightning, 3.8, 1.12)"
+      - "lite-cpu (ubuntu-20.04, lightning, 3.8, 1.12)"
+      - "lite-cpu (windows-2022, lightning, 3.8, 1.12)"
       - "lightning-lite (GPUs)"
       - "mypy"
       # Lite also requires PL checks as it depends on Lite
-      - "pl-cpu (macOS-11, pytorch, 3.9, 1.11)"
       - "pl-cpu (macOS-11, pytorch, 3.8, 1.10)"
+      - "pl-cpu (macOS-11, pytorch, 3.9, 1.11)"
       - "pl-cpu (macOS-11, pytorch, 3.10, 1.12)"
       - "pl-cpu (macOS-11, pytorch, 3.7, 1.9, oldest)"
       - "pl-cpu (macOS-11, pytorch, 3.10, 1.13, pre)"
-      - "pl-cpu (ubuntu-20.04, pytorch, 3.8, 1.11)"
+      - "pl-cpu (ubuntu-20.04, pytorch, 3.8, 1.10)"
+      - "pl-cpu (ubuntu-20.04, pytorch, 3.9, 1.11)"
+      - "pl-cpu (ubuntu-20.04, pytorch, 3.10, 1.11)"
       - "pl-cpu (ubuntu-20.04, pytorch, 3.10, 1.12)"
       - "pl-cpu (ubuntu-20.04, pytorch, 3.7, 1.9, oldest)"
       - "pl-cpu (ubuntu-20.04, pytorch, 3.9, 1.13, pre)"
-      - "pl-cpu (windows-2022, pytorch, 3.8, 1.9)"
-      - "pl-cpu (windows-2022, pytorch, 3.9, 1.10)"
+      - "pl-cpu (windows-2022, pytorch, 3.9, 1.11)"
       - "pl-cpu (windows-2022, pytorch, 3.10, 1.11)"
       - "pl-cpu (windows-2022, pytorch, 3.10, 1.12)"
       - "pl-cpu (windows-2022, pytorch, 3.7, 1.9, oldest)"
       - "pl-cpu (windows-2022, pytorch, 3.8, 1.13, pre)"
+      - "pl-cpu (macOS-11, lightning, 3.10, 1.12)"
+      #- "pl-cpu (macOS-11, lightning, 3.7, 1.9, oldest)"
+      - "pl-cpu (ubuntu-20.04, lightning, 3.10, 1.12)"
+      #- "pl-cpu (ubuntu-20.04, lightning, 3.7, 1.9, oldest)"
+      - "pl-cpu (windows-2022, lightning, 3.10, 1.12)"
+      #- "pl-cpu (windows-2022, lightning, 3.7, 1.9, oldest)"
       - "make-doctest (pytorch)"
       - "make-html (pytorch)"
       - "pytorch-lightning (GPUs)"
@@ -210,6 +234,9 @@ subprojects:
       - "lite-cpu (windows-2022, lite, 3.10, 1.12)"
       - "lite-cpu (windows-2022, lite, 3.7, 1.9, oldest)"
       - "lite-cpu (windows-2022, lite, 3.8, 1.13, pre)"
+      - "lite-cpu (macOS-11, lightning, 3.8, 1.12)"
+      - "lite-cpu (ubuntu-20.04, lightning, 3.8, 1.12)"
+      - "lite-cpu (windows-2022, lightning, 3.8, 1.12)"
       - "lightning-lite (GPUs)"
 
   - id: "lightning_lite: Azure GPU"
@@ -235,18 +262,24 @@ subprojects:
       - "App.cloud-e2e"
       - "make-doctest (app)"
       - "make-html (app)"
-      - "app-examples (macOS-11, app, 3.8, latest)"
-      - "app-examples (macOS-11, app, 3.8, oldest)"
-      - "app-examples (ubuntu-20.04, app, 3.8, latest)"
-      - "app-examples (ubuntu-20.04, app, 3.8, oldest)"
-      - "app-examples (windows-2022, app, 3.8, latest)"
-      - "app-examples (windows-2022, app, 3.8, oldest)"
+      - "app-examples (macOS-11, app, 3.9, latest)"
+      - "app-examples (macOS-11, app, 3.9, oldest)"
+      - "app-examples (macOS-11, lightning, 3.9, latest)"
+      - "app-examples (ubuntu-20.04, app, 3.9, latest)"
+      - "app-examples (ubuntu-20.04, app, 3.9, oldest)"
+      - "app-examples (ubuntu-20.04, lightning, 3.9, latest)"
+      - "app-examples (windows-2022, app, 3.9, latest)"
+      - "app-examples (windows-2022, app, 3.9, oldest)"
+      - "app-examples (windows-2022, lightning, 3.9, latest)"
       - "app-pytest (macOS-11, app, 3.8, latest)"
       - "app-pytest (macOS-11, app, 3.8, oldest)"
+      - "app-pytest (macOS-11, lightning, 3.9, latest)"
       - "app-pytest (ubuntu-20.04, app, 3.8, latest)"
       - "app-pytest (ubuntu-20.04, app, 3.8, oldest)"
+      - "app-pytest (ubuntu-20.04, lightning, 3.9, latest)"
       - "app-pytest (windows-2022, app, 3.8, latest)"
       - "app-pytest (windows-2022, app, 3.8, oldest)"
+      - "app-pytest (windows-2022, lightning, 3.9, latest)"
 
   - id: "lightning_app: Azure"
     paths:
@@ -287,15 +320,21 @@ subprojects:
       - "install-pkg (ubuntu-22.04, lite, 3.10)"
       - "install-pkg (ubuntu-22.04, pytorch, 3.7)"
       - "install-pkg (ubuntu-22.04, pytorch, 3.10)"
+      - "install-pkg (ubuntu-22.04, 3.7)"
+      - "install-pkg (ubuntu-22.04, 3.10)"
       - "install-pkg (macOS-12, app, 3.7)"
       - "install-pkg (macOS-12, app, 3.10)"
       - "install-pkg (macOS-12, lite, 3.7)"
       - "install-pkg (macOS-12, lite, 3.10)"
       - "install-pkg (macOS-12, pytorch, 3.7)"
       - "install-pkg (macOS-12, pytorch, 3.10)"
+      - "install-pkg (macOS-12, 3.7)"
+      - "install-pkg (macOS-12, 3.10)"
       - "install-pkg (windows-2022, app, 3.7)"
       - "install-pkg (windows-2022, app, 3.10)"
       - "install-pkg (windows-2022, lite, 3.7)"
       - "install-pkg (windows-2022, lite, 3.10)"
       - "install-pkg (windows-2022, pytorch, 3.7)"
       - "install-pkg (windows-2022, pytorch, 3.10)"
+      - "install-pkg (windows-2022, 3.7)"
+      - "install-pkg (windows-2022, 3.10)"
diff --git a/.github/workflows/ci-app-examples.yml b/.github/workflows/ci-app-examples.yml
index 684c096879..35c748a4da 100644
--- a/.github/workflows/ci-app-examples.yml
+++ b/.github/workflows/ci-app-examples.yml
@@ -32,12 +32,17 @@ jobs:
       fail-fast: false
       matrix:
         os: [ubuntu-20.04, macOS-11, windows-2022]
-        pkg-name: ["app"]  # TODO: add "LAI" # "LAI" installs the monolithic package
-        python-version: [3.8]
+        pkg-name: ["app"]
+        python-version: ["3.9"]
         requires: ["oldest", "latest"]
+        include:
+          # "lightning" installs the monolithic package
+          - {os: "macOS-11", pkg-name: "lightning", python-version: "3.9", requires: "latest"}
+          - {os: "ubuntu-20.04", pkg-name: "lightning", python-version: "3.9", requires: "latest"}
+          - {os: "windows-2022", pkg-name: "lightning", python-version: "3.9", requires: "latest"}
 
     # Timeout: https://stackoverflow.com/a/59076067/4521646
-    timeout-minutes: 10
+    timeout-minutes: 15
 
     steps:
       - uses: actions/checkout@v3
@@ -89,11 +94,17 @@ jobs:
         run: pip install -e .
 
       - name: Adjust tests
-        if: ${{ matrix.pkg-name == 'LAI' }}
+        if: ${{ matrix.pkg-name == 'lightning' }}
         run: python .actions/assistant.py copy_replace_imports --source_dir="./tests" --source_import="lightning_app" --target_import="lightning.app"
 
-      - name: switch coverage scope
-        run: python -c "print('COVERAGE_SCOPE=' + str('lightning' if '${{matrix.pkg-name}}' == 'LAI' else 'lightning_app'))" >> $GITHUB_ENV
+      - name: Adjust examples
+        if: ${{ matrix.pkg-name != 'lightning' }}
+        run: |
+          python .actions/assistant.py copy_replace_imports --source_dir="./examples" --source_import="lightning.app" --target_import="lightning_app"
+          python .actions/assistant.py copy_replace_imports --source_dir="./examples" --source_import="lightning" --target_import="lightning_app"
+
+      - name: Switch coverage scope
+        run: python -c "print('COVERAGE_SCOPE=' + str('lightning' if '${{matrix.pkg-name}}' == 'lightning' else 'lightning_app'))" >> $GITHUB_ENV
 
       - name: Tests
         working-directory: ./tests
diff --git a/.github/workflows/ci-app-tests.yml b/.github/workflows/ci-app-tests.yml
index 4ad14c2829..2e09c9e8c2 100644
--- a/.github/workflows/ci-app-tests.yml
+++ b/.github/workflows/ci-app-tests.yml
@@ -33,12 +33,17 @@ jobs:
       fail-fast: false
       matrix:
         os: [ubuntu-20.04, macOS-11, windows-2022]
-        pkg-name: ["app"]  # TODO: add "LAI" # "LAI" installs the monolithic package
-        python-version: [3.8]
+        pkg-name: ["app"]
+        python-version: ["3.8"]
         requires: ["oldest", "latest"]
+        include:
+          # "lightning" installs the monolithic package
+          - {os: "macOS-11", pkg-name: "lightning", python-version: "3.9", requires: "latest"}
+          - {os: "ubuntu-20.04", pkg-name: "lightning", python-version: "3.9", requires: "latest"}
+          - {os: "windows-2022", pkg-name: "lightning", python-version: "3.9", requires: "latest"}
 
     # Timeout: https://stackoverflow.com/a/59076067/4521646
-    timeout-minutes: 25
+    timeout-minutes: 30
 
     steps:
       - uses: actions/checkout@v3
@@ -54,21 +59,6 @@ jobs:
         if: ${{ matrix.requires == 'oldest' }}
         run: python .actions/assistant.py replace_oldest_ver
 
-      - name: switch PyTorch URL
-        run: python -c "print('TORCH_URL=https://download.pytorch.org/whl/' + str('test/cpu/torch_test.html' if '${{matrix.release}}' == 'pre' else 'cpu/torch_stable.html'))" >> $GITHUB_ENV
-
-      - name: Install package
-        env:
-          PACKAGE_NAME: ${{ matrix.pkg-name }}
-        run: |
-          pip install -e . pytest --upgrade --find-links ${TORCH_URL}
-          pip list
-
-      - name: DocTests App
-        if: ${{ matrix.pkg-name != 'LAI' }}
-        working-directory: src
-        run: python -m pytest lightning_app --ignore-glob="**/cli/*-template/**"
-
       - name: Get pip cache
         id: pip-cache
         run: |
@@ -81,6 +71,15 @@ jobs:
           key: ${{ runner.os }}-pip-py${{ matrix.python-version }}-${{ matrix.pkg-name }}-${{ matrix.requires }}-${{ hashFiles('requirements/app/base.txt') }}
           restore-keys: ${{ runner.os }}-pip-py${{ matrix.python-version }}-${{ matrix.pkg-name }}-${{ matrix.requires }}-
 
+      - name: Switch PyTorch URL
+        run: python -c "print('TORCH_URL=https://download.pytorch.org/whl/' + str('test/cpu/torch_test.html' if '${{matrix.release}}' == 'pre' else 'cpu/torch_stable.html'))" >> $GITHUB_ENV
+
+      - name: Install package
+        env:
+          PACKAGE_NAME: ${{ matrix.pkg-name }}
+        run: |
+          pip install -e . pytest --upgrade --find-links ${TORCH_URL}
+          pip list
 
       - name: Install dependencies
         env:  # TODO: drop this when we will be using regular releases for testing
@@ -98,17 +97,17 @@ jobs:
         run: npm install -g yarn
 
       - name: Adjust tests
-        if: ${{ matrix.pkg-name == 'LAI' }}
+        if: ${{ matrix.pkg-name == 'lightning' }}
         run: python .actions/assistant.py copy_replace_imports --source_dir="./tests" --source_import="lightning_app" --target_import="lightning.app"
 
       - name: Adjust examples
-        if: ${{ matrix.pkg-name != 'LAI' }}
+        if: ${{ matrix.pkg-name != 'lightning' }}
         run: |
           python .actions/assistant.py copy_replace_imports --source_dir="./examples" --source_import="lightning.app" --target_import="lightning_app"
           python .actions/assistant.py copy_replace_imports --source_dir="./examples" --source_import="lightning" --target_import="lightning_app"
 
-      - name: switch coverage scope
-        run: python -c "print('COVERAGE_SCOPE=' + str('lightning' if '${{matrix.pkg-name}}' == 'LAI' else 'lightning_app'))" >> $GITHUB_ENV
+      - name: Switch coverage scope
+        run: python -c "print('COVERAGE_SCOPE=' + str('lightning' if '${{matrix.pkg-name}}' == 'lightning' else 'lightning_app'))" >> $GITHUB_ENV
 
       - name: Tests
         working-directory: ./tests
diff --git a/.github/workflows/ci-lite-tests.yml b/.github/workflows/ci-lite-tests.yml
index 2d94a34b0e..2a49ce8836 100644
--- a/.github/workflows/ci-lite-tests.yml
+++ b/.github/workflows/ci-lite-tests.yml
@@ -54,8 +54,12 @@ jobs:
           - {os: "macOS-11", pkg-name: "lite", python-version: "3.10", pytorch-version: "1.13", release: "pre"}
           - {os: "ubuntu-20.04", pkg-name: "lite", python-version: "3.9", pytorch-version: "1.13", release: "pre"}
           - {os: "windows-2022", pkg-name: "lite", python-version: "3.8", pytorch-version: "1.13", release: "pre"}
+          # "lightning" installs the monolithic package
+          - {os: "macOS-11", pkg-name: "lightning", python-version: "3.8", pytorch-version: "1.12"}
+          - {os: "ubuntu-20.04", pkg-name: "lightning", python-version: "3.8", pytorch-version: "1.12"}
+          - {os: "windows-2022", pkg-name: "lightning", python-version: "3.8", pytorch-version: "1.12"}
 
-    timeout-minutes: 10
+    timeout-minutes: 15
 
     steps:
     - uses: actions/checkout@v3
@@ -108,9 +112,10 @@ jobs:
         PACKAGE_NAME: ${{ matrix.pkg-name }}
       run: |
         pip install -e . "pytest-timeout" -r requirements/lite/devel.txt --upgrade --find-links ${TORCH_URL}
+        pip list
 
     - name: Adjust tests
-      if: ${{ matrix.pkg-name == 'LAI' }}
+      if: ${{ matrix.pkg-name == 'lightning' }}
       run: python .actions/assistant.py copy_replace_imports --source_dir="./tests" --source_import="lightning_lite" --target_import="lightning.lite"
 
     - name: Testing Warnings
@@ -121,7 +126,7 @@ jobs:
       run: python utilities/test_warnings.py
 
     - name: Switch coverage scope
-      run: python -c "print('COVERAGE_SCOPE=' + str('lightning' if '${{matrix.pkg-name}}' == 'LAI' else 'lightning_lite'))" >> $GITHUB_ENV
+      run: python -c "print('COVERAGE_SCOPE=' + str('lightning' if '${{matrix.pkg-name}}' == 'lightning' else 'lightning_lite'))" >> $GITHUB_ENV
 
     - name: Testing Lite
       working-directory: tests/tests_lite
diff --git a/.github/workflows/ci-pkg-install.yml b/.github/workflows/ci-pkg-install.yml
index 4940fd232b..942d6eb5a9 100644
--- a/.github/workflows/ci-pkg-install.yml
+++ b/.github/workflows/ci-pkg-install.yml
@@ -23,24 +23,13 @@ defaults:
 
 jobs:
 
-  init-temp:
-    runs-on: ubuntu-20.04
-    steps:
-    - run: mkdir pypi && touch pypi/.placeholder
-    - uses: actions/upload-artifact@v3
-      with:
-        name: ci-packages-${{ github.sha }}
-        path: pypi
-
   install-pkg:
-    needs: init-temp
     runs-on: ${{ matrix.os }}
     strategy:
-      fail-fast: true
-      max-parallel: 1
+      fail-fast: false
       matrix:
         os: [ubuntu-22.04, macOS-12, windows-2022]
-        pkg: ["app", "lite", "pytorch"]
+        pkg: ["app", "lite", "pytorch", ""]
         python-version: ["3.7" , "3.10"]
     steps:
       - uses: actions/checkout@v3
@@ -51,112 +40,24 @@ jobs:
       - name: DocTests actions
         working-directory: .actions/
         run: |
-          grep 'pytest=' ../requirements/pytorch/test.txt | xargs -0 pip install
+          pip install pytest -q
           python -m pytest setup_tools.py
 
-      - uses: actions/download-artifact@v3
-        with:
-          name: ci-packages-${{ github.sha }}
-          path: pypi
-      - run: ls -lh pypi/
-
       - run: python -c "print('NB_DIRS=' + str(2 if '${{ matrix.pkg }}' == 'pytorch' else 1))" >> $GITHUB_ENV
       - uses: ./.github/actions/pkg-check
         with:
           pkg-name: ${{ matrix.pkg }}
           nb-dirs: ${{ env.NB_DIRS }}
 
-      - uses: actions/upload-artifact@v3
-        with:
-          name: ci-packages-${{ github.sha }}
-          path: pypi
-
       - uses: ./.github/actions/pkg-install
 
-  install-meta-src:
-    needs: install-pkg
-    runs-on: ${{ matrix.os }}
-    strategy:
-      fail-fast: false
-      # max-parallel: 1
-      matrix:
-        os: [ubuntu-20.04, ubuntu-22.04, macOS-11, macOS-12, windows-2022]
-        pkg: ["", "lightning"]
-        python-version: [3.8]  # , 3.9
-
-    steps:
-      - uses: actions/checkout@v3
-      - uses: actions/setup-python@v4
-        with:
-          python-version: ${{ matrix.python-version }}
-
-      - run: mkdir -p pypi
-      - uses: actions/download-artifact@v3
-        if: matrix.pkg != ''
-        with:
-          name: ci-packages-${{ github.sha }}
-          path: pypi
-      - run: ls -lh pypi/
-
-      - uses: ./.github/actions/pkg-check
-        with:
-          pkg-name: ${{ matrix.pkg }}
-
-      - uses: ./.github/actions/pkg-install
-        with:
-          pkg-name: "lightning"
-          pip-flags: "-U --pre --find-links ../pypi/"
-
       - name: Run CLI
+        # todo: add testing for `lightning_app`
+        if: ${{ matrix.pkg == '' }}
         run: python -m lightning --version
 
-  install-meta-pypi:
-    runs-on: ${{ matrix.os }}
-    strategy:
-      fail-fast: false
-      # max-parallel: 1
-      matrix:
-        os: [ubuntu-20.04, ubuntu-22.04, macOS-11, macOS-12, windows-2022]
-        python-version: [3.8]  # , 3.9
-
-    steps:
-      - uses: actions/checkout@v3
-      - uses: actions/setup-python@v4
-        with:
-          python-version: ${{ matrix.python-version }}
-
-      - name: Dowload package
-        # todo: download also lite after it is fist published
+      - name: DocTest package
         run: |
-          pip install -q -r .actions/requirements.txt
-          for pkg in 'app' 'pytorch' ; do
-            python .actions/assistant.py download_package --package "$pkg" --folder pypi
-          done
-          ls -lh pypi/
-
-      - name: Unzip packages
-        working-directory: pypi
-        run: for file in `ls *.gz`; do tar -xzf $file; done
-      - name: Show upacked pkgs
-        if: runner.os == 'linux'
-        run: |
-          sudo apt install -y tree
-          tree pypi/ -L 3
-
-      - name: Miror source
-        run: |
-          pip install -q -r .actions/requirements.txt
-          python .actions/assistant.py mirror_pkg2source --pypi_folder pypi --src_folder src
-          ls -R src/
-
-      - uses: ./.github/actions/pkg-check
-        with:
-          pkg-name: "lightning"
-
-      - uses: ./.github/actions/pkg-install
-        with:
-          pkg-name: "lightning"
-          pip-flags: "-U --pre --find-links ../pypi/"
-
-      - name: Run CLI
-        run: python -m lightning --version
+          pip list
+          scope=$(python -c "lut = {'app': 'lightning_app', 'lite': 'lightning_lite', 'pytorch': 'pytorch_lightning'} ; print(lut.get('${{matrix.pkg}}', 'lightning'))")
+          python -m pytest src/${scope} --ignore-glob="**/cli/*-template/**"
diff --git a/.github/workflows/ci-pytorch-tests.yml b/.github/workflows/ci-pytorch-tests.yml
index 1d2087c430..4595bb65ce 100644
--- a/.github/workflows/ci-pytorch-tests.yml
+++ b/.github/workflows/ci-pytorch-tests.yml
@@ -42,18 +42,26 @@ jobs:
           # note: there's no distribution of Torch==1.9 for Python>=3.9 or torch==1.10 for Python>=3.10
           - {os: "macOS-11", pkg-name: "pytorch", python-version: "3.9", pytorch-version: "1.11"}
           - {os: "macOS-11", pkg-name: "pytorch", python-version: "3.8", pytorch-version: "1.10"}
+          - {os: "ubuntu-20.04", pkg-name: "pytorch", python-version: "3.8", pytorch-version: "1.10"}
+          - {os: "ubuntu-20.04", pkg-name: "pytorch", python-version: "3.9", pytorch-version: "1.11"}
+          - {os: "ubuntu-20.04", pkg-name: "pytorch", python-version: "3.10", pytorch-version: "1.11"}
+          - {os: "windows-2022", pkg-name: "pytorch", python-version: "3.8", pytorch-version: "1.10"}
+          - {os: "windows-2022", pkg-name: "pytorch", python-version: "3.9", pytorch-version: "1.11"}
           - {os: "windows-2022", pkg-name: "pytorch", python-version: "3.10", pytorch-version: "1.11"}
-          - {os: "windows-2022", pkg-name: "pytorch", python-version: "3.9", pytorch-version: "1.10"}
-          - {os: "windows-2022", pkg-name: "pytorch", python-version: "3.8", pytorch-version: "1.9"}
-          - {os: "ubuntu-20.04", pkg-name: "pytorch", python-version: "3.8", pytorch-version: "1.11"}
           # only run PyTorch latest with Python latest
           - {os: "macOS-11", pkg-name: "pytorch", python-version: "3.10", pytorch-version: "1.12"}
+          - {os: "macOS-11", pkg-name: "lightning", python-version: "3.10", pytorch-version: "1.12"}
           - {os: "ubuntu-20.04", pkg-name: "pytorch", python-version: "3.10", pytorch-version: "1.12"}
+          - {os: "ubuntu-20.04", pkg-name: "lightning", python-version: "3.10", pytorch-version: "1.12"}
           - {os: "windows-2022", pkg-name: "pytorch", python-version: "3.10", pytorch-version: "1.12"}
+          - {os: "windows-2022", pkg-name: "lightning", python-version: "3.10", pytorch-version: "1.12"}
           # "oldest" versions tests, only on minimum Python
           - {os: "macOS-11", pkg-name: "pytorch", python-version: "3.7", pytorch-version: "1.9", requires: "oldest"}
+          - {os: "macOS-11", pkg-name: "lightning", python-version: "3.7", pytorch-version: "1.9", requires: "oldest"}
           - {os: "ubuntu-20.04", pkg-name: "pytorch", python-version: "3.7", pytorch-version: "1.9", requires: "oldest"}
+          - {os: "ubuntu-20.04", pkg-name: "lightning", python-version: "3.7", pytorch-version: "1.9", requires: "oldest"}
           - {os: "windows-2022", pkg-name: "pytorch", python-version: "3.7", pytorch-version: "1.9", requires: "oldest"}
+          - {os: "windows-2022", pkg-name: "lightning", python-version: "3.7", pytorch-version: "1.9", requires: "oldest"}
           # release-candidate tests, mixed Python versions
           - {os: "macOS-11", pkg-name: "pytorch", python-version: "3.10", pytorch-version: "1.13", release: "pre"}
           - {os: "ubuntu-20.04", pkg-name: "pytorch", python-version: "3.9", pytorch-version: "1.13", release: "pre"}
@@ -99,22 +107,6 @@ jobs:
         python ./requirements/pytorch/adjust-versions.py requirements/pytorch/examples.txt ${{ matrix.pytorch-version }}
         cat requirements/pytorch/base.txt
 
-    - name: switch PyTorch URL
-      run: python -c "print('TORCH_URL=https://download.pytorch.org/whl/' + str('test/cpu/torch_test.html' if '${{matrix.release}}' == 'pre' else 'cpu/torch_stable.html'))" >> $GITHUB_ENV
-
-    - name: Install package
-      env:
-        PACKAGE_NAME: ${{ matrix.pkg-name }}
-      run: |
-        pip install -e . pytest --upgrade --find-links ${TORCH_URL}
-        pip install pytest-timeout
-        pip list
-
-    - name: DocTests PL
-      if: ${{ matrix.pkg-name != 'LAI' }}
-      working-directory: src
-      run: python -m pytest pytorch_lightning
-
     - name: Get pip cache dir
       id: pip-cache
       run: echo "::set-output name=dir::$(pip cache dir)"
@@ -127,9 +119,14 @@ jobs:
         restore-keys: |
           ${{ runner.os }}-pip-py${{ matrix.python-version }}-${{ matrix.pkg-name }}-${{ matrix.release }}-${{ matrix.requires }}-
 
-    - name: Install dependencies
+    - name: Switch PyTorch URL
+      run: python -c "print('TORCH_URL=https://download.pytorch.org/whl/' + str('test/cpu/torch_test.html' if '${{matrix.release}}' == 'pre' else 'cpu/torch_stable.html'))" >> $GITHUB_ENV
+
+    - name: Install package & dependencies
+      env:
+        PACKAGE_NAME: ${{ matrix.pkg-name }}
       run: |
-        pip install -r requirements/pytorch/devel.txt --upgrade --find-links ${TORCH_URL}
+        pip install -e . "pytest-timeout" -r requirements/pytorch/devel.txt --upgrade --find-links ${TORCH_URL}
         pip list
 
     - name: Reinstall Horovod if necessary
@@ -161,8 +158,8 @@ jobs:
         python requirements/pytorch/check-avail-extras.py
 
     - name: Adjust tests
-      if: ${{ matrix.pkg-name == 'LAI' }}
-      run: python .actions/assistant.py copy_replace_imports --source_dir="./tests" --source_import="pytorch_lightning" --target_import="lightning.pytorch"
+      if: ${{ matrix.pkg-name == 'lightning' }}
+      run: python .actions/assistant.py copy_replace_imports --source_dir="./tests" --source_import="pytorch_lightning,lightning_lite" --target_import="lightning.pytorch,lightning.lite"
 
     - name: Testing Warnings
       # the stacklevel can only be set on >=3.7
@@ -171,8 +168,8 @@ jobs:
       # needs to run outside of `pytest`
       run: python utilities/test_warnings.py
 
-    - name: switch coverage scope
-      run: python -c "print('COVERAGE_SCOPE=' + str('lightning' if '${{matrix.pkg-name}}' == 'LAI' else 'pytorch_lightning'))" >> $GITHUB_ENV
+    - name: Switch coverage scope
+      run: python -c "print('COVERAGE_SCOPE=' + str('lightning' if '${{matrix.pkg-name}}' == 'lightning' else 'pytorch_lightning'))" >> $GITHUB_ENV
 
     - name: Testing PyTorch
       working-directory: tests/tests_pytorch
diff --git a/dockers/nvidia/Dockerfile b/dockers/nvidia/Dockerfile
index 5328d6dea8..5e67d2044f 100644
--- a/dockers/nvidia/Dockerfile
+++ b/dockers/nvidia/Dockerfile
@@ -50,9 +50,6 @@ RUN \
 
 RUN pip install jupyterlab[all] -U
 
-RUN pip install lightning-grid -U && \
-    pip install "py>=1.10" "protobuf>=3.15.6" --upgrade-strategy only-if-needed
-
 ENV PYTHONPATH="/workspace"
 
 RUN \
@@ -63,6 +60,6 @@ RUN \
     pip --version && \
     pip list | grep torch && \
     python -c "import torch; assert torch.__version__.startswith('$TORCH_VERSION'), torch.__version__" && \
-    python -c "import pytorch_lightning as pl; print(pl.__version__)"
+    python -c "import lightning as L; print(L.__version__)"
 
 CMD ["jupyter", "notebook", "--port=8888", "--no-browser", "--ip=0.0.0.0", "--allow-root"]
diff --git a/docs/source-lit/conf.py b/docs/source-lit/conf.py
index ecf45c56ab..d5dd5e242e 100644
--- a/docs/source-lit/conf.py
+++ b/docs/source-lit/conf.py
@@ -398,20 +398,20 @@ import lightning as L
 from typing import Optional
 
 import torch
-import pytorch_lightning as pl
+import lightning.pytorch as pl
 from torch import nn
 from torch.utils.data import IterableDataset, DataLoader, Dataset
-from pytorch_lightning import LightningDataModule, LightningModule, Trainer, seed_everything
-from pytorch_lightning.callbacks import Callback
-from pytorch_lightning.cli import _JSONARGPARSE_SIGNATURES_AVAILABLE as _JSONARGPARSE_AVAILABLE
-from pytorch_lightning.utilities import (
+from lightning.pytorch import LightningDataModule, LightningModule, Trainer, seed_everything
+from lightning.pytorch.callbacks import Callback
+from lightning.pytorch.cli import _JSONARGPARSE_SIGNATURES_AVAILABLE as _JSONARGPARSE_AVAILABLE
+from lightning.pytorch.utilities import (
     _APEX_AVAILABLE,
     _TORCHVISION_AVAILABLE,
     _TORCH_GREATER_EQUAL_1_10,
 )
-from pytorch_lightning.loggers.neptune import _NEPTUNE_AVAILABLE
-from pytorch_lightning.loggers.comet import _COMET_AVAILABLE
-from pytorch_lightning.loggers.mlflow import _MLFLOW_AVAILABLE
-from pytorch_lightning.loggers.wandb import _WANDB_AVAILABLE
+from lightning.pytorch.loggers.neptune import _NEPTUNE_AVAILABLE
+from lightning.pytorch.loggers.comet import _COMET_AVAILABLE
+from lightning.pytorch.loggers.mlflow import _MLFLOW_AVAILABLE
+from lightning.pytorch.loggers.wandb import _WANDB_AVAILABLE
 """
 coverage_skip_undoc_in_source = True
diff --git a/requirements/app/base.txt b/requirements/app/base.txt
index 99a8e70aea..b987369650 100644
--- a/requirements/app/base.txt
+++ b/requirements/app/base.txt
@@ -1,5 +1,5 @@
 lightning-cloud>=0.5.10
-packaging
+typing-extensions>=4.0.0, <4.3.1
 deepdiff>=5.7.0, <=5.8.1
 starsessions>=1.2.1, <2.0 # strict
 fsspec>=2022.5.0, <=2022.7.1
diff --git a/requirements/base.txt b/requirements/base.txt
index fea4ee10f4..e69de29bb2 100644
--- a/requirements/base.txt
+++ b/requirements/base.txt
@@ -1,2 +0,0 @@
-pytorch_lightning>=1.6.5
-lightning_app>=0.5.2
diff --git a/setup.py b/setup.py
index d558a24e0b..b400133b14 100755
--- a/setup.py
+++ b/setup.py
@@ -25,12 +25,13 @@ There are considered three main scenarios for installing this project:
     In case you want to install just one package you need to export env. variable before calling `pip`
 
      - for `pytorch-lightning` use `export PACKAGE_NAME=pytorch ; pip install .`
+     - for `lightning-lite` use `export PACKAGE_NAME=lite ; pip install .`
      - for `lightning-app` use `export PACKAGE_NAME=app ; pip install .`
 
 3. Building packages as sdist or binary wheel and installing or publish to PyPI afterwords you use command
     `python setup.py sdist` or `python setup.py bdist_wheel` accordingly.
    In case you want to build just a particular package you would use exporting env. variable as above:
-   `export PACKAGE_NAME=pytorch|app ; python setup.py sdist bdist_wheel`
+   `export PACKAGE_NAME=pytorch|app|lite ; python setup.py sdist bdist_wheel`
 
 4. Automated releasing with GitHub action is natural extension of 3) is composed of three consecutive steps:
     a) determine which packages shall be released based on version increment in `__version__.py` and eventually
@@ -94,17 +95,10 @@ def _load_py_module(name: str, location: str) -> ModuleType:
 if __name__ == "__main__":
     _SETUP_TOOLS = _load_py_module(name="setup_tools", location=os.path.join(".actions", "setup_tools.py"))
 
-    if _PACKAGE_NAME == "lightning":  # install just the meta package
-        _SETUP_TOOLS._relax_require_versions(_PATH_SRC, _PATH_REQUIRE)
-    elif _PACKAGE_NAME not in _PACKAGE_MAPPING:  # install everything
+    if _PACKAGE_NAME not in _PACKAGE_MAPPING:  # install everything
         _SETUP_TOOLS._load_aggregate_requirements(_PATH_REQUIRE, _FREEZE_REQUIREMENTS)
 
-    if _PACKAGE_NAME not in _PACKAGE_MAPPING:
-        _SETUP_TOOLS.set_version_today(os.path.join(_PATH_SRC, "lightning", "__version__.py"))
-
-    for lit_name, pkg_name in _PACKAGE_MAPPING.items():
-        # fixme: if we run creation of meta pkg against stable we shall pull the source
-        _SETUP_TOOLS.create_meta_package(os.path.join(_PATH_ROOT, "src"), pkg_name, lit_name)
+    _SETUP_TOOLS.create_mirror_package(os.path.join(_PATH_ROOT, "src"), _PACKAGE_MAPPING)
 
     _SETUP_MODULE = _load_py_module(name="pkg_setup", location=_PATH_SETUP)
     _SETUP_MODULE._adjust_manifest(pkg_name=_REAL_PKG_NAME)
diff --git a/src/lightning/__init__.py b/src/lightning/__init__.py
index cf8873d3d8..62275b02b0 100644
--- a/src/lightning/__init__.py
+++ b/src/lightning/__init__.py
@@ -1,5 +1,6 @@
 """Root package info."""
 import logging
+import os
 from typing import Any
 
 _DETAIL = 15  # between logging.INFO and logging.DEBUG, used for logging in production use cases
@@ -39,6 +40,10 @@ from lightning.pytorch.core import LightningDataModule, LightningModule  # noqa:
 from lightning.pytorch.trainer import Trainer  # noqa: E402
 from lightning.pytorch.utilities.seed import seed_everything  # noqa: E402
 
+import lightning.app  # isort: skip # noqa: E402
+
+lightning.app._PROJECT_ROOT = os.path.dirname(lightning.app._PROJECT_ROOT)
+
 __all__ = [
     "LightningApp",
     "LightningFlow",
diff --git a/src/lightning/__setup__.py b/src/lightning/__setup__.py
index cc3a4f8d11..58f0ee4260 100644
--- a/src/lightning/__setup__.py
+++ b/src/lightning/__setup__.py
@@ -30,21 +30,16 @@ def _adjust_manifest(**kwargs: Any) -> None:
     assert os.path.isfile(manifest_path)
     with open(manifest_path) as fp:
         lines = [ln.rstrip() for ln in fp.readlines()]
-    if kwargs["pkg_name"] == "lightning":
-        lines += [
-            "recursive-include src/lightning *.md",
-            "include requirements/base.txt",
-            # fixme: this is strange, this shall work with setup find package - include
-            "prune src/lightning_app",
-            "prune src/pytorch_lightning",
-        ]
-    else:
-        lines += [
-            "recursive-include src *.md",
-            "recursive-include requirements *.txt",
-            "recursive-include src/lightning_app/ui *",
-            "recursive-include src/lightning_app/cli/*-template *",  # Add templates as build-in
-        ]
+    lines += [
+        "recursive-include src/lightning *.md",
+        "recursive-include requirements *.txt",
+        "recursive-include src/lightning/app/ui *",
+        "recursive-include src/lightning/cli/*-template *",  # Add templates as build-in
+        # fixme: this is strange, this shall work with setup find package - include
+        "prune src/lightning_app",
+        "prune src/lightning_lite",
+        "prune src/pytorch_lightning",
+    ]
     with open(manifest_path, "w") as fp:
         fp.writelines([ln + os.linesep for ln in lines])
 
@@ -55,12 +50,12 @@ def _setup_args(**kwargs: Any) -> Dict[str, Any]:
     _long_description = _SETUP_TOOLS.load_readme_description(
         _PROJECT_ROOT, homepage=_about.__homepage__, version=_version.version
     )
-    _include_pkgs = ["lightning", "lightning.*"] if kwargs["pkg_name"] == "lightning" else ["*"]
+    _include_pkgs = ["lightning", "lightning.*"]
 
     # TODO: consider invaliding some additional arguments from packages, for example if include data or safe to zip
 
     # TODO: remove this once lightning-ui package is ready as a dependency
-    _SETUP_TOOLS._download_frontend(_PROJECT_ROOT)
+    _SETUP_TOOLS._download_frontend(os.path.join(_SOURCE_ROOT, "lightning", "app"))
 
     return dict(
         name="lightning",
@@ -81,7 +76,7 @@ def _setup_args(**kwargs: Any) -> Dict[str, Any]:
         python_requires=">=3.7",  # todo: take the lowes based on all packages
         entry_points={
             "console_scripts": [
-                "lightning = lightning_app.cli.lightning_cli:main",
+                "lightning = lightning.app.cli.lightning_cli:main",
             ],
         },
         setup_requires=[],
diff --git a/src/lightning/__version__.py b/src/lightning/__version__.py
index 1a929693c0..037ac1fafe 100644
--- a/src/lightning/__version__.py
+++ b/src/lightning/__version__.py
@@ -1 +1 @@
-version = "YYYY.-M.-D"
+version = "1.8.0rc1"
diff --git a/src/lightning_app/__setup__.py b/src/lightning_app/__setup__.py
index 87998c6914..55ba6d09fa 100644
--- a/src/lightning_app/__setup__.py
+++ b/src/lightning_app/__setup__.py
@@ -70,7 +70,7 @@ def _setup_args(**__: Any) -> Dict[str, Any]:
     )
 
     # TODO: remove this once lightning-ui package is ready as a dependency
-    _setup_tools._download_frontend(_PROJECT_ROOT)
+    _setup_tools._download_frontend(_PACKAGE_ROOT)
 
     return dict(
         name="lightning-app",
diff --git a/src/lightning_app/__version__.py b/src/lightning_app/__version__.py
index ea312c65c4..037ac1fafe 100644
--- a/src/lightning_app/__version__.py
+++ b/src/lightning_app/__version__.py
@@ -1 +1 @@
-version = "1.8.0rc0"
+version = "1.8.0rc1"
diff --git a/src/lightning_app/components/database/utilities.py b/src/lightning_app/components/database/utilities.py
index 5edcb321dd..8e34828afc 100644
--- a/src/lightning_app/components/database/utilities.py
+++ b/src/lightning_app/components/database/utilities.py
@@ -111,7 +111,7 @@ def pydantic_column_type(pydantic_type: Any) -> Any:
     return PydanticJSONType
 
 
-@functools.lru_cache
+@functools.lru_cache(maxsize=128)  # compatibility for py3.7
 def get_primary_key(model_type: Type["SQLModel"]) -> str:
     primary_keys = sqlalchemy_inspect(model_type).primary_key
 
diff --git a/src/lightning_app/storage/payload.py b/src/lightning_app/storage/payload.py
index 88a6099b1f..c7dbf5e0fc 100644
--- a/src/lightning_app/storage/payload.py
+++ b/src/lightning_app/storage/payload.py
@@ -168,6 +168,9 @@ class BasePayload(ABC):
         _logger.debug(f"Attempting to copy {str(response.path)} -> {str(local_path)}")
         fs.get(str(response.path), str(local_path), recursive=False)
 
+        # Ensure the file is properly written
+        sleep(0.5)
+
         self._value = self.load(local_path)
         return self._value
 
diff --git a/src/lightning_app/testing/testing.py b/src/lightning_app/testing/testing.py
index 2794b5231e..7cb06602ba 100644
--- a/src/lightning_app/testing/testing.py
+++ b/src/lightning_app/testing/testing.py
@@ -136,7 +136,9 @@ def application_testing(
 
     from click.testing import CliRunner
 
-    with mock.patch("lightning.LightningApp", lightning_app_cls):
+    with mock.patch("lightning.LightningApp", lightning_app_cls), mock.patch(
+        "lightning_app.LightningApp", lightning_app_cls
+    ):
         original = sys.argv
         sys.argv = command_line
         runner = CliRunner()
diff --git a/src/lightning_app/utilities/packaging/lightning_utils.py b/src/lightning_app/utilities/packaging/lightning_utils.py
index 224b8e6614..4fc6fba69b 100644
--- a/src/lightning_app/utilities/packaging/lightning_utils.py
+++ b/src/lightning_app/utilities/packaging/lightning_utils.py
@@ -15,7 +15,7 @@ from packaging.version import Version
 
 from lightning_app import _logger, _PROJECT_ROOT, _root_logger
 from lightning_app.__version__ import version
-from lightning_app.core.constants import PACKAGE_LIGHTNING
+from lightning_app.core.constants import FRONTEND_DIR, PACKAGE_LIGHTNING
 from lightning_app.utilities.app_helpers import Logger
 from lightning_app.utilities.git import check_github_repository, get_dir_name
 
@@ -30,7 +30,7 @@ def download_frontend(root: str = _PROJECT_ROOT):
     """Downloads an archive file for a specific release of the Lightning frontend and extracts it to the correct
     directory."""
     build_dir = "build"
-    frontend_dir = pathlib.Path(root, "src", "lightning_app", "ui")
+    frontend_dir = pathlib.Path(FRONTEND_DIR)
     download_dir = tempfile.mkdtemp()
 
     shutil.rmtree(frontend_dir, ignore_errors=True)
diff --git a/src/lightning_lite/__version__.py b/src/lightning_lite/__version__.py
index ea312c65c4..037ac1fafe 100644
--- a/src/lightning_lite/__version__.py
+++ b/src/lightning_lite/__version__.py
@@ -1 +1 @@
-version = "1.8.0rc0"
+version = "1.8.0rc1"
diff --git a/src/pytorch_lightning/__version__.py b/src/pytorch_lightning/__version__.py
index ea312c65c4..037ac1fafe 100644
--- a/src/pytorch_lightning/__version__.py
+++ b/src/pytorch_lightning/__version__.py
@@ -1 +1 @@
-version = "1.8.0rc0"
+version = "1.8.0rc1"
diff --git a/tests/tests_app/cli/test_connect.py b/tests/tests_app/cli/test_connect.py
index ba7616bdf6..605e1f97af 100644
--- a/tests/tests_app/cli/test_connect.py
+++ b/tests/tests_app/cli/test_connect.py
@@ -6,7 +6,7 @@ from unittest.mock import MagicMock
 import click
 import pytest
 
-from lightning_app import _PACKAGE_ROOT
+from lightning_app import _PROJECT_ROOT
 from lightning_app.cli.commands.connection import (
     _list_app_commands,
     _PPID,
@@ -30,7 +30,7 @@ def test_connect_disconnect_local(monkeypatch):
         data = json.load(f)
 
     data["paths"]["/command/command_with_client"]["post"]["cls_path"] = os.path.join(
-        os.path.dirname(os.path.dirname(_PACKAGE_ROOT)),
+        _PROJECT_ROOT,
         data["paths"]["/command/command_with_client"]["post"]["cls_path"],
     )
 
@@ -92,7 +92,7 @@ def test_connect_disconnect_cloud(monkeypatch):
         data = json.load(f)
 
     data["paths"]["/command/command_with_client"]["post"]["cls_path"] = os.path.join(
-        os.path.dirname(os.path.dirname(_PACKAGE_ROOT)),
+        _PROJECT_ROOT,
         data["paths"]["/command/command_with_client"]["post"]["cls_path"],
     )
 
diff --git a/tests/tests_app/utilities/packaging/test_build_spec.py b/tests/tests_app/utilities/packaging/test_build_spec.py
index 4d3855d6f9..e1b9466dc0 100644
--- a/tests/tests_app/utilities/packaging/test_build_spec.py
+++ b/tests/tests_app/utilities/packaging/test_build_spec.py
@@ -1,7 +1,7 @@
 import os
 import sys
 
-from tests_app import _PROJECT_ROOT
+from tests_app import _TESTS_ROOT
 
 from lightning_app.testing import application_testing, LightningTestApp
 from lightning_app.utilities.packaging.build_config import BuildConfig
@@ -17,7 +17,7 @@ class NoRequirementsLightningTestApp(LightningTestApp):
 
 
 def test_build_config_no_requirements():
-    command_line = [os.path.join(_PROJECT_ROOT, "tests/utilities/packaging/projects/no_req/app.py")]
+    command_line = [os.path.join(_TESTS_ROOT, "utilities/packaging/projects/no_req/app.py")]
     application_testing(NoRequirementsLightningTestApp, command_line + EXTRAS_ARGS)
     sys.path = sys.path[:-1]
 
@@ -60,7 +60,7 @@ class DockerfileLightningTestApp(LightningTestApp):
 
 
 def test_build_config_dockerfile():
-    command_line = [os.path.join(_PROJECT_ROOT, "tests/utilities/packaging/projects/dockerfile/app.py")]
+    command_line = [os.path.join(_TESTS_ROOT, "utilities/packaging/projects/dockerfile/app.py")]
     application_testing(DockerfileLightningTestApp, command_line + EXTRAS_ARGS)
     sys.path = sys.path[:-1]
 
@@ -76,6 +76,6 @@ class RequirementsLightningTestApp(LightningTestApp):
 
 
 def test_build_config_requirements():
-    command_line = [os.path.join(_PROJECT_ROOT, "tests/utilities/packaging/projects/req/app.py")]
+    command_line = [os.path.join(_TESTS_ROOT, "utilities/packaging/projects/req/app.py")]
     application_testing(RequirementsLightningTestApp, command_line + EXTRAS_ARGS)
     sys.path = sys.path[:-1]
diff --git a/tests/tests_app_examples/test_argparse.py b/tests/tests_app_examples/test_argparse.py
index 0c1e55b0d4..7d34b7d0c0 100644
--- a/tests/tests_app_examples/test_argparse.py
+++ b/tests/tests_app_examples/test_argparse.py
@@ -1,7 +1,7 @@
 import os
 import sys
 
-from lightning_app import _PACKAGE_ROOT
+from lightning_app import _PROJECT_ROOT
 from lightning_app.testing.testing import application_testing
 from lightning_app.utilities.load_app import _patch_sys_argv
 
@@ -10,7 +10,7 @@ def test_app_argparse_example():
     original_argv = sys.argv
 
     command_line = [
-        os.path.join(os.path.dirname(os.path.dirname(_PACKAGE_ROOT)), "examples/app_argparse/app.py"),
+        os.path.join(_PROJECT_ROOT, "examples/app_argparse/app.py"),
         "--app_args",
         "--use_gpu",
         "--without-server",
diff --git a/tests/tests_app_examples/test_collect_failures.py b/tests/tests_app_examples/test_collect_failures.py
index c149211e10..6bda6bf4bd 100644
--- a/tests/tests_app_examples/test_collect_failures.py
+++ b/tests/tests_app_examples/test_collect_failures.py
@@ -2,8 +2,8 @@ import os
 from time import sleep
 
 import pytest
-from tests_app import _PROJECT_ROOT
 
+from lightning_app import _PROJECT_ROOT
 from lightning_app.testing.testing import run_app_in_cloud
 
 
diff --git a/tests/tests_pytorch/conftest.py b/tests/tests_pytorch/conftest.py
index b6f4942dc6..5d8616ad00 100644
--- a/tests/tests_pytorch/conftest.py
+++ b/tests/tests_pytorch/conftest.py
@@ -191,11 +191,23 @@ def caplog(caplog):
     """
     import logging
 
-    lightning_logger = logging.getLogger("pytorch_lightning")
-    propagate = lightning_logger.propagate
-    lightning_logger.propagate = True
+    root_logger = logging.getLogger()
+    root_propagate = root_logger.propagate
+    root_logger.propagate = True
+
+    propagation_dict = {
+        name: logging.getLogger(name).propagate
+        for name in logging.root.manager.loggerDict
+        if name.startswith("pytorch_lightning")
+    }
+    for name in propagation_dict.keys():
+        logging.getLogger(name).propagate = True
+
     yield caplog
-    lightning_logger.propagate = propagate
+
+    root_logger.propagate = root_propagate
+    for name, propagate in propagation_dict.items():
+        logging.getLogger(name).propagate = propagate
 
 
 @pytest.fixture
diff --git a/tests/tests_pytorch/loops/test_training_loop.py b/tests/tests_pytorch/loops/test_training_loop.py
index dc52a08f06..203bcf38c6 100644
--- a/tests/tests_pytorch/loops/test_training_loop.py
+++ b/tests/tests_pytorch/loops/test_training_loop.py
@@ -20,6 +20,7 @@ import torch
 from pytorch_lightning import seed_everything, Trainer
 from pytorch_lightning.demos.boring_classes import BoringModel
 from pytorch_lightning.loops import FitLoop
+from tests_pytorch.helpers.runif import RunIf
 
 
 def test_outputs_format(tmpdir):
@@ -140,6 +141,7 @@ def test_should_stop_mid_epoch(tmpdir):
     assert model.validation_called_at == (0, 5)
 
 
+@RunIf(standalone=True)
 def test_fit_loop_done_log_messages(caplog):
     fit_loop = FitLoop(max_epochs=1)
     trainer = Mock(spec=Trainer)
@@ -210,6 +212,7 @@ def test_warning_valid_train_step_end(tmpdir):
         (4, 10, 4, True, True, True),
     ],
 )
+@RunIf(standalone=True)
 def test_should_stop_early_stopping_conditions_met(
     caplog, min_epochs, min_steps, current_epoch, early_stop, fit_loop_done, raise_debug_msg
 ):