diff --git a/embedded-localstack/pom.xml b/embedded-localstack/pom.xml
index a47ffd5c5..83e67b230 100644
--- a/embedded-localstack/pom.xml
+++ b/embedded-localstack/pom.xml
@@ -13,7 +13,7 @@
     <artifactId>embedded-localstack</artifactId>
 
     <properties>
-        <aws-java-sdk.version>1.12.261</aws-java-sdk.version>
+        <aws-java-sdk.version>1.12.643</aws-java-sdk.version>
     </properties>
 
     <dependencies>
diff --git a/embedded-localstack/src/main/java/com/playtika/testcontainer/localstack/EmbeddedLocalStackBootstrapConfiguration.java b/embedded-localstack/src/main/java/com/playtika/testcontainer/localstack/EmbeddedLocalStackBootstrapConfiguration.java
index d8b72f2e1..99bcc5b1d 100644
--- a/embedded-localstack/src/main/java/com/playtika/testcontainer/localstack/EmbeddedLocalStackBootstrapConfiguration.java
+++ b/embedded-localstack/src/main/java/com/playtika/testcontainer/localstack/EmbeddedLocalStackBootstrapConfiguration.java
@@ -65,7 +65,8 @@ public LocalStackContainer localStack(ConfigurableEnvironment environment,
                 .withExposedPorts(properties.getEdgePort())
                 .withEnv("EDGE_PORT", String.valueOf(properties.getEdgePort()))
                 .withEnv("HOSTNAME", properties.getHostname())
-                .withEnv("HOSTNAME_EXTERNAL", properties.getHostnameExternal())
+                .withEnv("LOCALSTACK_HOST", properties.getHostnameExternal())
+                .withEnv("SKIP_SSL_CERT_DOWNLOAD", "1")
                 .withNetworkAliases(LOCALSTACK_NETWORK_ALIAS);
 
         network.ifPresent(localStackContainer::withNetwork);
diff --git a/embedded-localstack/src/main/java/com/playtika/testcontainer/localstack/LocalStackProperties.java b/embedded-localstack/src/main/java/com/playtika/testcontainer/localstack/LocalStackProperties.java
index f75b7199f..892a1f8bc 100644
--- a/embedded-localstack/src/main/java/com/playtika/testcontainer/localstack/LocalStackProperties.java
+++ b/embedded-localstack/src/main/java/com/playtika/testcontainer/localstack/LocalStackProperties.java
@@ -16,10 +16,9 @@ public class LocalStackProperties extends CommonContainerProperties {
     public static final String BEAN_NAME_EMBEDDED_LOCALSTACK = "embeddedLocalstack";
     public Collection<LocalStackContainer.Service> services = Collections.emptyList();
     public int edgePort = 4566;
-    public String hostname = "127.0.0.1";
+    public String hostname = "localhost";
     public String hostnameExternal = "127.0.0.1";
 
-    // https://hub.docker.com/r/localstack/localstack
     @Override
     public String getDefaultDockerImage() {
         // Please don`t remove this comment.
diff --git a/embedded-localstack/src/main/resources/META-INF/additional-spring-configuration-metadata.json b/embedded-localstack/src/main/resources/META-INF/additional-spring-configuration-metadata.json
index 6d87e2af0..c2d4620b6 100644
--- a/embedded-localstack/src/main/resources/META-INF/additional-spring-configuration-metadata.json
+++ b/embedded-localstack/src/main/resources/META-INF/additional-spring-configuration-metadata.json
@@ -14,7 +14,7 @@
     {
       "name": "embedded.localstack.docker-image",
       "type": "java.lang.String",
-      "defaultValue": "localstack/localstack:0.10.8"
+      "defaultValue": "localstack/localstack:3.0.0"
     }
   ],
   "hints": [
@@ -36,7 +36,7 @@
       "values": [
         {
           "value": "localstack/localstack:3.0.0",
-          "description": "Default Localstack image in version 0.10.8. Ref https://hub.docker.com/r/localstack/localstack for further info."
+          "description": "Default Localstack image. Ref https://hub.docker.com/r/localstack/localstack for further info."
         }
       ]
     },
diff --git a/embedded-localstack/src/test/java/com/playtika/testcontainer/localstack/EmbeddedLocalStackTest.java b/embedded-localstack/src/test/java/com/playtika/testcontainer/localstack/EmbeddedLocalStackTest.java
index 8cc3d9459..5719e3e4c 100644
--- a/embedded-localstack/src/test/java/com/playtika/testcontainer/localstack/EmbeddedLocalStackTest.java
+++ b/embedded-localstack/src/test/java/com/playtika/testcontainer/localstack/EmbeddedLocalStackTest.java
@@ -15,6 +15,7 @@
 import com.amazonaws.services.sqs.AmazonSQS;
 import com.amazonaws.services.sqs.AmazonSQSClientBuilder;
 import com.amazonaws.services.sqs.model.CreateQueueResult;
+import com.amazonaws.services.sqs.model.SendMessageRequest;
 import org.junit.jupiter.api.Test;
 import org.springframework.beans.factory.annotation.Autowired;
 import org.springframework.beans.factory.annotation.Value;
@@ -91,10 +92,12 @@ public void shouldStartSQS() {
 
         CreateQueueResult queueResult = sqs.createQueue("baz");
         String fooQueueUrl = queueResult.getQueueUrl();
-        assertThat(fooQueueUrl).
-                contains("http://" + properties.getHostname() + ":" + sqsPort);
 
-        sqs.sendMessage(fooQueueUrl, "test");
+        SendMessageRequest sendMessageRequest = new SendMessageRequest();
+        sendMessageRequest.setQueueUrl(fooQueueUrl);
+        sendMessageRequest.setMessageBody("test");
+        sqs.sendMessage(sendMessageRequest);
+
         long messageCount = sqs.receiveMessage(fooQueueUrl).getMessages().stream()
                 .filter(message -> message.getBody().equals("test"))
                 .count();