diff --git a/app/client/packages/dsl/src/migrate/index.ts b/app/client/packages/dsl/src/migrate/index.ts
index 9f54258ed4..3a11b3b9d6 100644
--- a/app/client/packages/dsl/src/migrate/index.ts
+++ b/app/client/packages/dsl/src/migrate/index.ts
@@ -92,9 +92,10 @@ import { migrateChartwidgetCustomEchartConfig } from "./migrations/087-migrate-c
 import { migrateCustomWidgetDynamicHeight } from "./migrations/088-migrate-custom-widget-dynamic-height";
 import { migrateTableWidgetV2CurrentRowInValidationsBinding } from "./migrations/089-migrage-table-widget-v2-currentRow-binding";
 import { migrateTableComputeValueBinding } from "./migrations/090-migrate-table-compute-value-binding";
+import { migrateAIChatWidget } from "./migrations/092-update-ai-chat-widget";
 import type { DSLWidget } from "./types";
 
-export const LATEST_DSL_VERSION = 92;
+export const LATEST_DSL_VERSION = 93;
 
 export const calculateDynamicHeight = () => {
   const DEFAULT_GRID_ROW_HEIGHT = 10;
@@ -630,6 +631,11 @@ const migrateVersionedDSL = async (currentDSL: DSLWidget, newPage = false) => {
      * What we missed was that, the auto-commit does not handle clientVersion, which lead to this bug: https://github.com/appsmithorg/appsmith/issues/38511
      * We are bumping this version to make sure that the auto-commit will handle this version bump.
      */
+    currentDSL.version = 92;
+  }
+
+  if (currentDSL.version === 92) {
+    currentDSL = migrateAIChatWidget(currentDSL);
     currentDSL.version = LATEST_DSL_VERSION;
   }
 
diff --git a/app/client/packages/dsl/src/migrate/migrations/092-update-ai-chat-widget.ts b/app/client/packages/dsl/src/migrate/migrations/092-update-ai-chat-widget.ts
new file mode 100644
index 0000000000..7d7f2a6e81
--- /dev/null
+++ b/app/client/packages/dsl/src/migrate/migrations/092-update-ai-chat-widget.ts
@@ -0,0 +1,25 @@
+// This migration updates the ai chat widget to use dynamic bindings
+// Earlier we had chatQuery which was a static field of the name of the query
+// Now we have queryRun which is a dynamic binding path which points to the actionId of the query
+// Old format: [QueryName]
+// New format: {{[QueryName].actionId}}
+
+import type { DSLWidget, WidgetProps } from "../types";
+import { traverseDSLAndMigrate } from "../utils";
+
+export const migrateAIChatWidget = (currentDSL: DSLWidget) => {
+  return traverseDSLAndMigrate(currentDSL, (widget: WidgetProps) => {
+    if (widget.type !== "WDS_AI_CHAT_WIDGET") return;
+
+    const queryName = widget.chatQuery;
+
+    if (!queryName) return;
+
+    widget.queryRun = `{{${queryName}.actionId}}`;
+    widget.dynamicBindingPathList = widget.dynamicBindingPathList
+      .filter((path: string) => path !== "chatQuery")
+      .concat({ key: "queryRun" });
+
+    delete widget.chatQuery;
+  });
+};
diff --git a/app/client/packages/dsl/src/migrate/tests/DSLMigration.test.ts b/app/client/packages/dsl/src/migrate/tests/DSLMigration.test.ts
index 90a2d19cb5..a8e1a1b0b2 100644
--- a/app/client/packages/dsl/src/migrate/tests/DSLMigration.test.ts
+++ b/app/client/packages/dsl/src/migrate/tests/DSLMigration.test.ts
@@ -91,6 +91,7 @@ import * as m87 from "../migrations/087-migrate-chart-widget-customechartdata";
 import * as m88 from "../migrations/088-migrate-custom-widget-dynamic-height";
 import * as m89 from "../migrations/089-migrage-table-widget-v2-currentRow-binding";
 import * as m90 from "../migrations/090-migrate-table-compute-value-binding";
+import * as m92 from "../migrations/092-update-ai-chat-widget";
 
 interface Migration {
   functionLookup: {
@@ -941,9 +942,19 @@ const migrations: Migration[] = [
     version: 90,
   },
   {
+    // This migration is skipped
     functionLookup: [],
     version: 91,
   },
+  {
+    functionLookup: [
+      {
+        moduleObj: m92,
+        functionName: "migrateAIChatWidget",
+      },
+    ],
+    version: 92,
+  },
 ];
 
 const mockFnObj: Record<number, any> = {};
diff --git a/app/client/src/ce/sagas/DatasourcesSagas.ts b/app/client/src/ce/sagas/DatasourcesSagas.ts
index 52edd1169e..5e6c39721c 100644
--- a/app/client/src/ce/sagas/DatasourcesSagas.ts
+++ b/app/client/src/ce/sagas/DatasourcesSagas.ts
@@ -1168,6 +1168,8 @@ export function* createOrUpdateDataSourceWithAction(
     type: ReduxActionTypes.CREATE_ACTION_REQUEST,
   });
 
+  yield take(ReduxActionTypes.CREATE_ACTION_SUCCESS);
+
   yield put(setIdeEditorViewMode(EditorViewMode.SplitScreen));
 
   const actions: ActionDataState = yield select(getActions);