diff --git a/.github/workflows/bench.yml b/.github/workflows/bench.yml
index d27e4219c..7d6783b0b 100644
--- a/.github/workflows/bench.yml
+++ b/.github/workflows/bench.yml
@@ -32,6 +32,8 @@ jobs:
 
       - name: Run benchmarks
         uses: CodSpeedHQ/action@0010eb0ca6e89b80c88e8edaaa07cfe5f3e6664d # v3.5.0
+        env:
+          NUXT_SOCKET: 1
         with:
           run: pnpm vitest bench
           token: ${{ secrets.CODSPEED_TOKEN }}
diff --git a/packages/nuxi/src/commands/dev.ts b/packages/nuxi/src/commands/dev.ts
index 8375c0957..d041352b5 100644
--- a/packages/nuxi/src/commands/dev.ts
+++ b/packages/nuxi/src/commands/dev.ts
@@ -18,6 +18,7 @@ import { isBun, isTest } from 'std-env'
 
 import { initialize } from '../dev'
 import { renderError } from '../dev/error'
+import { isSocketURL, parseSocketURL } from '../dev/socket'
 import { showVersions } from '../utils/banner'
 import { overrideEnv } from '../utils/env'
 import { loadKit } from '../utils/kit'
@@ -128,6 +129,8 @@ const command = defineCommand({
     // Start proxy Listener
     const devProxy = await createDevProxy(nuxtOptions, listenOptions)
 
+    const useSocket = nuxtOptions._majorVersion === 4 || !!process.env.NUXT_SOCKET
+
     const urls = await devProxy.listener.getURLs()
     // run initially in in no-fork mode
     const { onRestart, onReady, close } = await initialize({
@@ -141,7 +144,9 @@ const command = defineCommand({
         urls,
         https: devProxy.listener.https,
       },
-    })
+      // if running with nuxt v4 or `NUXT_SOCKET=1`, we use the socket listener
+      // otherwise pass 'true' to listen on a random port instead
+    }, {}, useSocket ? undefined : true)
 
     onReady(address => devProxy.setAddress(address))
 
@@ -150,7 +155,7 @@ const command = defineCommand({
     onRestart(async (devServer) => {
       await devServer.close()
       const subprocess = await fork
-      await subprocess.initialize(devProxy)
+      await subprocess.initialize(devProxy, useSocket)
     })
 
     return {
@@ -216,7 +221,8 @@ async function createDevProxy(nuxtOptions: NuxtOptions, listenOptions: Partial<L
       }
       return resolveLoadingMessage()
     }
-    proxy.web(req, res, { target: address })
+    const target = isSocketURL(address) ? parseSocketURL(address) : address
+    proxy.web(req, res, { target })
   }, listenOptions)
 
   listener.server.on('upgrade', (req, socket, head) => {
@@ -224,8 +230,9 @@ async function createDevProxy(nuxtOptions: NuxtOptions, listenOptions: Partial<L
       socket.destroy()
       return
     }
+    const target = isSocketURL(address) ? parseSocketURL(address) : address
     // @ts-expect-error TODO: fix socket type in httpxy
-    return proxy.ws(req, socket, { target: address }, head)
+    return proxy.ws(req, socket, { target }, head)
   })
 
   return {
@@ -256,12 +263,13 @@ async function startSubprocess(cwd: string, args: { logLevel: string, clear: boo
     }
   }
 
-  async function initialize(proxy: DevProxy) {
+  async function initialize(proxy: DevProxy, socket: boolean) {
     devProxy = proxy
     const urls = await devProxy.listener.getURLs()
     await ready
     childProc!.send({
       type: 'nuxt:internal:dev:context',
+      socket,
       context: {
         cwd,
         args,
diff --git a/packages/nuxi/src/dev/index.ts b/packages/nuxi/src/dev/index.ts
index b870989f7..994d3e663 100644
--- a/packages/nuxi/src/dev/index.ts
+++ b/packages/nuxi/src/dev/index.ts
@@ -27,7 +27,7 @@ class IPC {
     })
     process.on('message', (message: NuxtParentIPCMessage) => {
       if (message.type === 'nuxt:internal:dev:context') {
-        initialize(message.context)
+        initialize(message.context, {}, message.socket ? undefined : true)
       }
     })
     this.send({ type: 'nuxt:internal:dev:fork-ready' })
@@ -42,7 +42,7 @@ class IPC {
 
 const ipc = new IPC()
 
-export async function initialize(devContext: NuxtDevContext, ctx: InitializeOptions = {}, listenOptions?: Partial<ListenOptions>) {
+export async function initialize(devContext: NuxtDevContext, ctx: InitializeOptions = {}, listenOptions?: true | Partial<ListenOptions>) {
   const devServerOverrides = resolveDevServerOverrides({
     public: devContext.public,
   })
diff --git a/packages/nuxi/src/dev/socket.ts b/packages/nuxi/src/dev/socket.ts
new file mode 100644
index 000000000..36a204c9c
--- /dev/null
+++ b/packages/nuxi/src/dev/socket.ts
@@ -0,0 +1,89 @@
+import type { RequestListener } from 'node:http'
+import { existsSync, unlinkSync } from 'node:fs'
+import { Server } from 'node:http'
+import process from 'node:process'
+
+function generateSocketPath(prefix: string): string {
+  const timestamp = Date.now()
+  const random = Math.random().toString(36).slice(2, 8)
+
+  if (process.platform === 'win32') {
+    // Windows named pipes
+    return `\\\\.\\pipe\\nuxt-${prefix}-${timestamp}-${random}`
+  }
+
+  // Unix domain sockets
+  return `/tmp/nuxt-${prefix}-${timestamp}-${random}.sock`
+}
+
+export function formatSocketURL(socketPath: string, ssl = false): string {
+  const protocol = ssl ? 'https' : 'http'
+  if (process.platform === 'win32') {
+    // Windows named pipes need special encoding
+    const encodedPath = encodeURIComponent(socketPath)
+    return `${protocol}+unix://${encodedPath}`
+  }
+
+  // Unix sockets can use the unix: protocol
+  return `${protocol}+unix://${socketPath.replace(/\//g, '%2F')}`
+}
+
+export function isSocketURL(url: string): boolean {
+  return url.startsWith('http+unix://') || url.startsWith('https+unix://')
+}
+
+export function parseSocketURL(url: string): { socketPath: string, protocol: 'https' | 'http' } {
+  if (!isSocketURL(url)) {
+    throw new Error(`Invalid socket URL: ${url}`)
+  }
+
+  const ssl = url.startsWith('https+unix://')
+  const path = url.slice(ssl ? 'https+unix://'.length : 'http+unix://'.length)
+  const socketPath = decodeURIComponent(path.replace(/%2F/g, '/'))
+
+  return { socketPath, protocol: ssl ? 'https' : 'http' }
+}
+
+export async function createSocketListener(handler: RequestListener, ssl = false) {
+  const socketPath = generateSocketPath('nuxt-dev')
+  const server = new Server(handler)
+
+  if (process.platform !== 'win32' && existsSync(socketPath)) {
+    try {
+      unlinkSync(socketPath)
+    }
+    catch {
+      // suppress errors if the socket file cannot be removed
+    }
+  }
+  await new Promise<void>(resolve => server.listen({ path: socketPath }, resolve))
+  const url = formatSocketURL(socketPath, ssl)
+  return {
+    url,
+    address: {
+      socketPath,
+      address: 'localhost',
+      port: 3000,
+    },
+    async close() {
+      try {
+        server.removeAllListeners()
+        await new Promise<void>((resolve, reject) => server.close(err => err ? reject(err) : resolve()))
+      }
+      finally {
+        // Clean up socket file on Unix systems
+        if (process.platform !== 'win32') {
+          try {
+            unlinkSync(socketPath)
+          }
+          catch {
+            // suppress errors
+          }
+        }
+      }
+    },
+    getURLs: async () => [{ url, type: 'network' as const }],
+    https: false as const,
+    server,
+  }
+}
diff --git a/packages/nuxi/src/dev/utils.ts b/packages/nuxi/src/dev/utils.ts
index 7b7aa3be3..98bdce37b 100644
--- a/packages/nuxi/src/dev/utils.ts
+++ b/packages/nuxi/src/dev/utils.ts
@@ -24,9 +24,10 @@ import { loadKit } from '../utils/kit'
 
 import { loadNuxtManifest, resolveNuxtManifest, writeNuxtManifest } from '../utils/nuxt'
 import { renderError } from './error'
+import { createSocketListener, formatSocketURL } from './socket'
 
 export type NuxtParentIPCMessage
-  = | { type: 'nuxt:internal:dev:context', context: NuxtDevContext }
+  = | { type: 'nuxt:internal:dev:context', context: NuxtDevContext, socket?: boolean }
 
 export type NuxtDevIPCMessage
   = | { type: 'nuxt:internal:dev:fork-ready' }
@@ -67,19 +68,21 @@ interface NuxtDevServerOptions {
   devContext: NuxtDevContext
 }
 
-export async function createNuxtDevServer(options: NuxtDevServerOptions, listenOptions?: Partial<ListenOptions>) {
+export async function createNuxtDevServer(options: NuxtDevServerOptions, listenOptions?: true | Partial<ListenOptions>) {
   // Initialize dev server
   const devServer = new NuxtDevServer(options)
 
   // Attach internal listener
-  devServer.listener = await listen(
-    devServer.handler,
-    listenOptions || {
-      port: options.port ?? 0,
-      hostname: '127.0.0.1',
-      showURL: false,
-    },
-  )
+  devServer.listener = listenOptions
+    ? await listen(devServer.handler, typeof listenOptions === 'object'
+        ? listenOptions
+        : { port: options.port ?? 0, hostname: '127.0.0.1', showURL: false })
+    : await createSocketListener(devServer.handler)
+
+  if (process.env.DEBUG) {
+    // eslint-disable-next-line no-console
+    console.debug(`Using ${listenOptions ? 'network' : 'socket'} listener for Nuxt dev server.`)
+  }
 
   // Merge interface with public context
   devServer.listener._url = devServer.listener.url
@@ -119,7 +122,7 @@ export class NuxtDevServer extends EventEmitter<DevServerEventMap> {
   handler: RequestListener
   listener: Pick<Listener, 'server' | 'getURLs' | 'https' | 'url' | 'close'> & {
     _url?: string
-    address: AddressInfo & { socketPath?: string }
+    address: { socketPath: string, port: number, address: string } | AddressInfo
   }
 
   constructor(private options: NuxtDevServerOptions) {
@@ -317,9 +320,10 @@ export class NuxtDevServer extends EventEmitter<DevServerEventMap> {
     const addr = this.listener.address
     this._currentNuxt.options.devServer.host = addr.address
     this._currentNuxt.options.devServer.port = addr.port
-    this._currentNuxt.options.devServer.url = getAddressURL(addr, !!this.listener.https)
-    this._currentNuxt.options.devServer.https = this.options.devContext.proxy
-      ?.https as boolean | { key: string, cert: string }
+    this._currentNuxt.options.devServer.url = 'socketPath' in addr
+      ? this.options.devContext.proxy?.url || getAddressURL(addr, !!this.listener.https)
+      : getAddressURL(addr, !!this.listener.https)
+    this._currentNuxt.options.devServer.https = this.options.devContext.proxy?.https as boolean | { key: string, cert: string }
 
     if (this.listener.https && !process.env.NODE_TLS_REJECT_UNAUTHORIZED) {
       console.warn('You might need `NODE_TLS_REJECT_UNAUTHORIZED=0` environment variable to make https work.')
@@ -343,7 +347,7 @@ export class NuxtDevServer extends EventEmitter<DevServerEventMap> {
     })
 
     this._handler = toNodeListener(this._currentNuxt.server.app)
-    this.emit('ready', `http://127.0.0.1:${addr.port}`)
+    this.emit('ready', 'socketPath' in addr ? formatSocketURL(addr.socketPath, !!this.listener.https) : `http://127.0.0.1:${addr.port}`)
   }
 
   async _watchConfig() {
@@ -361,7 +365,7 @@ export class NuxtDevServer extends EventEmitter<DevServerEventMap> {
   }
 }
 
-function getAddressURL(addr: AddressInfo, https: boolean) {
+function getAddressURL(addr: Pick<AddressInfo, 'address' | 'port'>, https: boolean) {
   const proto = https ? 'https' : 'http'
   let host = addr.address.includes(':') ? `[${addr.address}]` : addr.address
   if (host === '[::]') {