diff --git a/hypershift-operator/controllers/nodepool/capi.go b/hypershift-operator/controllers/nodepool/capi.go
index 2448a9bec4..17f894b532 100644
--- a/hypershift-operator/controllers/nodepool/capi.go
+++ b/hypershift-operator/controllers/nodepool/capi.go
@@ -849,7 +849,7 @@ func (c *CAPI) machineTemplateBuilders() (client.Object, func(object client.Obje
 	case hyperv1.OpenStackPlatform:
 		template = &capiopenstackv1beta1.OpenStackMachineTemplate{}
 		var err error
-		machineTemplateSpec, err = openstack.MachineTemplateSpec(hcluster, nodePool)
+		machineTemplateSpec, err = openstack.MachineTemplateSpec(hcluster, nodePool, c.releaseImage)
 		if err != nil {
 			SetStatusCondition(&nodePool.Status.Conditions, hyperv1.NodePoolCondition{
 				Type:               hyperv1.NodePoolValidMachineTemplateConditionType,
diff --git a/hypershift-operator/controllers/nodepool/openstack/openstack.go b/hypershift-operator/controllers/nodepool/openstack/openstack.go
index 470fcb4c77..a80bd457eb 100644
--- a/hypershift-operator/controllers/nodepool/openstack/openstack.go
+++ b/hypershift-operator/controllers/nodepool/openstack/openstack.go
@@ -17,7 +17,7 @@ import (
 	capiopenstackv1beta1 "sigs.k8s.io/cluster-api-provider-openstack/api/v1beta1"
 )
 
-func MachineTemplateSpec(hcluster *hyperv1.HostedCluster, nodePool *hyperv1.NodePool) (*capiopenstackv1beta1.OpenStackMachineTemplateSpec, error) {
+func MachineTemplateSpec(hcluster *hyperv1.HostedCluster, nodePool *hyperv1.NodePool, releaseImage *releaseinfo.ReleaseImage) (*capiopenstackv1beta1.OpenStackMachineTemplateSpec, error) {
 	openStackMachineTemplate := &capiopenstackv1beta1.OpenStackMachineTemplateSpec{Template: capiopenstackv1beta1.OpenStackMachineTemplateResource{Spec: capiopenstackv1beta1.OpenStackMachineSpec{
 		Flavor: ptr.To(nodePool.Spec.Platform.OpenStack.Flavor),
 	}}}
@@ -28,7 +28,7 @@ func MachineTemplateSpec(hcluster *hyperv1.HostedCluster, nodePool *hyperv1.Node
 		}
 	} else {
 		openStackMachineTemplate.Template.Spec.Image.ImageRef = &capiopenstackv1beta1.ResourceReference{
-			Name: "rhcos-" + hcluster.Name,
+			Name: "rhcos-" + releaseImage.Version() + hcluster.Name,
 		}
 	}
 
@@ -80,7 +80,7 @@ func MachineTemplateSpec(hcluster *hyperv1.HostedCluster, nodePool *hyperv1.Node
 func ReconcileOpenStackImageCR(ctx context.Context, client client.Client, createOrUpdate upsert.CreateOrUpdateFN, hcluster *hyperv1.HostedCluster, release *releaseinfo.ReleaseImage) error {
 	openStackImage := orc.Image{
 		ObjectMeta: metav1.ObjectMeta{
-			Name:      "rhcos-" + hcluster.Name,
+			Name:      "rhcos-" + release.Version() + hcluster.Name,
 			Namespace: hcluster.Namespace,
 			// TODO: add proper cleanup in CAPI resources cleanup
 			OwnerReferences: []metav1.OwnerReference{
@@ -119,7 +119,7 @@ func reconcileOpenStackImageSpec(hcluster *hyperv1.HostedCluster, openStackImage
 	}
 
 	openStackImageSpec.Resource = &orc.ImageResourceSpec{
-		Name: "rhcos-" + hcluster.Name,
+		Name: "rhcos-" + release.Version() + hcluster.Name,
 		Content: &orc.ImageContent{
 			DiskFormat: "qcow2",
 			Download: &orc.ImageContentSourceDownload{