diff --git a/packages/schematics/angular/universal/files/root/__tsconfigFileName__.json.template b/packages/schematics/angular/universal/files/root/__tsconfigFileName__.json.template
index e6b4269669..f11e5fa482 100644
--- a/packages/schematics/angular/universal/files/root/__tsconfigFileName__.json.template
+++ b/packages/schematics/angular/universal/files/root/__tsconfigFileName__.json.template
@@ -1,10 +1,9 @@
 {
   "extends": "./<%= tsConfigExtends %>",
   "compilerOptions": {
-    "outDir": "<%= outDir %>-server",
-    "baseUrl": "."
+    "outDir": "<%= outDir %>-server"
   },
   "angularCompilerOptions": {
-    "entryModule": "<%= rootInSrc ? '' : 'src/' %><%= appDir %>/<%= stripTsExtension(rootModuleFileName) %>#<%= rootModuleClassName %>"
+    "entryModule": "./<%= rootInSrc ? '' : 'src/' %><%= appDir %>/<%= stripTsExtension(rootModuleFileName) %>#<%= rootModuleClassName %>"
   }
 }
diff --git a/packages/schematics/angular/universal/index_spec.ts b/packages/schematics/angular/universal/index_spec.ts
index 9c788f0f59..d08d3bb3f8 100644
--- a/packages/schematics/angular/universal/index_spec.ts
+++ b/packages/schematics/angular/universal/index_spec.ts
@@ -80,10 +80,9 @@ describe('Universal Schematic', () => {
       extends: './tsconfig.app.json',
       compilerOptions: {
         outDir: './out-tsc/app-server',
-        baseUrl: '.',
       },
       angularCompilerOptions: {
-        entryModule: 'src/app/app.server.module#AppServerModule',
+        entryModule: './src/app/app.server.module#AppServerModule',
       },
     });
     const angularConfig = JSON.parse(tree.readContent('angular.json'));
@@ -100,10 +99,9 @@ describe('Universal Schematic', () => {
       extends: './tsconfig.app.json',
       compilerOptions: {
         outDir: '../../out-tsc/app-server',
-        baseUrl: '.',
       },
       angularCompilerOptions: {
-        entryModule: 'src/app/app.server.module#AppServerModule',
+        entryModule: './src/app/app.server.module#AppServerModule',
       },
     });
     const angularConfig = JSON.parse(tree.readContent('angular.json'));