diff --git a/beta/src/components/MDX/CodeBlock/CodeBlock.tsx b/beta/src/components/MDX/CodeBlock/CodeBlock.tsx
index e9ba2452..0b44734a 100644
--- a/beta/src/components/MDX/CodeBlock/CodeBlock.tsx
+++ b/beta/src/components/MDX/CodeBlock/CodeBlock.tsx
@@ -3,10 +3,9 @@
  */
 
 import cn from 'classnames';
-import {
-  SandpackCodeViewer,
-  SandpackProvider,
-} from '@codesandbox/sandpack-react';
+import {highlightTree} from '@codemirror/highlight';
+import {javascript} from '@codemirror/lang-javascript';
+import {HighlightStyle, tags} from '@codemirror/highlight';
 import rangeParser from 'parse-numeric-range';
 import {CustomTheme} from '../Sandpack/Themes';
 
@@ -33,84 +32,275 @@ const CodeBlock = function CodeBlock({
   className?: string;
   noMargin?: boolean;
 }) {
-  const getDecoratedLineInfo = () => {
-    if (!meta) {
-      return [];
+  code = code.trimEnd();
+  const tree = language.language.parser.parse(code);
+  let tokenStarts = new Map();
+  let tokenEnds = new Map();
+  const highlightTheme = getSyntaxHighlight(CustomTheme);
+  highlightTree(tree, highlightTheme.match, (from, to, className) => {
+    tokenStarts.set(from, className);
+    tokenEnds.set(to, className);
+  });
+
+  const highlightedLines = new Map();
+  const lines = code.split('\n');
+  const lineDecorators = getLineDecorators(code, meta);
+  for (let decorator of lineDecorators) {
+    highlightedLines.set(decorator.line - 1, decorator.className);
+  }
+
+  const inlineDecorators = getInlineDecorators(code, meta);
+  const decoratorStarts = new Map();
+  const decoratorEnds = new Map();
+  for (let decorator of inlineDecorators) {
+    // Find where inline highlight starts and ends.
+    let decoratorStart = 0;
+    for (let i = 0; i < decorator.line - 1; i++) {
+      decoratorStart += lines[i].length + 1;
+    }
+    decoratorStart += decorator.startColumn;
+    const decoratorEnd =
+      decoratorStart + (decorator.endColumn - decorator.startColumn);
+    if (decoratorStarts.has(decoratorStart)) {
+      throw Error('Already opened decorator at ' + decoratorStart);
+    }
+    decoratorStarts.set(decoratorStart, decorator.className);
+    if (decoratorEnds.has(decoratorEnd)) {
+      throw Error('Already closed decorator at ' + decoratorEnd);
     }
+    decoratorEnds.set(decoratorEnd, decorator.className);
+  }
 
-    const linesToHighlight = getHighlightLines(meta);
-    const highlightedLineConfig = linesToHighlight.map((line) => {
-      return {
-        className: 'bg-github-highlight dark:bg-opacity-10',
-        line,
-      };
-    });
-
-    const inlineHighlightLines = getInlineHighlights(meta, code);
-    const inlineHighlightConfig = inlineHighlightLines.map(
-      (line: InlineHiglight) => ({
-        ...line,
-        elementAttributes: {'data-step': `${line.step}`},
-        className: cn(
-          'code-step bg-opacity-10 dark:bg-opacity-20 relative rounded px-1 py-[1.5px] border-b-[2px] border-opacity-60',
-          {
-            'bg-blue-40 border-blue-40 text-blue-60 dark:text-blue-30 font-bold':
-              line.step === 1,
-            'bg-yellow-40 border-yellow-40 text-yellow-60 dark:text-yellow-30 font-bold':
-              line.step === 2,
-            'bg-purple-40 border-purple-40 text-purple-60 dark:text-purple-30 font-bold':
-              line.step === 3,
-            'bg-green-40 border-green-40 text-green-60 dark:text-green-30 font-bold':
-              line.step === 4,
-          }
-        ),
-      })
-    );
-
-    return highlightedLineConfig.concat(inlineHighlightConfig);
-  };
+  // Produce output based on tokens and decorators.
+  // We assume tokens never overlap other tokens, and
+  // decorators never overlap with other decorators.
+  // However, tokens and decorators may mutually overlap.
+  // In that case, decorators always take precedence.
+  let currentDecorator = null;
+  let currentToken = null;
+  let buffer = '';
+  let lineIndex = 0;
+  let lineOutput = [];
+  let finalOutput = [];
+  for (let i = 0; i < code.length; i++) {
+    if (tokenEnds.has(i)) {
+      if (!currentToken) {
+        throw Error('Cannot close token at ' + i + ' because it was not open.');
+      }
+      if (!currentDecorator) {
+        lineOutput.push(
+          <span key={i + '/t'} className={currentToken}>
+            {buffer}
+          </span>
+        );
+        buffer = '';
+      }
+      currentToken = null;
+    }
+    if (decoratorEnds.has(i)) {
+      if (!currentDecorator) {
+        throw Error(
+          'Cannot close decorator at ' + i + ' because it was not open.'
+        );
+      }
+      lineOutput.push(
+        <span key={i + '/d'} className={currentDecorator}>
+          {buffer}
+        </span>
+      );
+      buffer = '';
+      currentDecorator = null;
+    }
+    if (decoratorStarts.has(i)) {
+      if (currentDecorator) {
+        throw Error(
+          'Cannot open decorator at ' + i + ' before closing last one.'
+        );
+      }
+      if (currentToken) {
+        lineOutput.push(
+          <span key={i + 'd'} className={currentToken}>
+            {buffer}
+          </span>
+        );
+        buffer = '';
+      } else {
+        lineOutput.push(buffer);
+        buffer = '';
+      }
+      currentDecorator = decoratorStarts.get(i);
+    }
+    if (tokenStarts.has(i)) {
+      if (currentToken) {
+        throw Error('Cannot open token at ' + i + ' before closing last one.');
+      }
+      currentToken = tokenStarts.get(i);
+      if (!currentDecorator) {
+        lineOutput.push(buffer);
+        buffer = '';
+      }
+    }
+    if (code[i] === '\n') {
+      lineOutput.push(buffer);
+      buffer = '';
+      finalOutput.push(
+        <div
+          key={lineIndex}
+          className={'cm-line ' + highlightedLines.get(lineIndex)}>
+          {lineOutput}
+          <br />
+        </div>
+      );
+      lineOutput = [];
+      lineIndex++;
+    } else {
+      buffer += code[i];
+    }
+  }
+  lineOutput.push(buffer);
+  finalOutput.push(
+    <div
+      key={lineIndex}
+      className={'cm-line ' + highlightedLines.get(lineIndex)}>
+      {lineOutput}
+    </div>
+  );
 
-  // e.g. "language-js"
-  const language = className.substring(9);
-  const filename = '/index.' + language;
-  const decorators = getDecoratedLineInfo();
   return (
     <div
-      key={
-        // HACK: There seems to be a bug where the rendered result
-        // "lags behind" the edits to it. For now, force it to reset.
-        process.env.NODE_ENV === 'development' ? code : ''
-      }
       className={cn(
         'sandpack sandpack--codeblock',
         'rounded-lg h-full w-full overflow-x-auto flex items-center bg-wash dark:bg-gray-95 shadow-lg',
         !noMargin && 'my-8'
       )}>
-      <SandpackProvider
-        files={{
-          [filename]: {
-            code: code.trimEnd(),
-          },
-        }}
-        customSetup={{
-          entry: filename,
-        }}
-        options={{
-          initMode: 'immediate',
-        }}
-        theme={CustomTheme}>
-        <SandpackCodeViewer
-          key={code.trimEnd()}
-          showLineNumbers={false}
-          decorators={decorators}
-        />
-      </SandpackProvider>
+      {/* These classes are fragile and depend on Sandpack. TODO: some better way. */}
+      <div className="sp-wrapper sp-121717251 sp-c-fVPbOs sp-c-fVPbOs-LrWkf-variant-dark">
+        <div className="sp-stack sp-c-kLppIp">
+          <div className="sp-code-editor sp-c-bNbSGz">
+            <pre className="sp-cm sp-pristine sp-javascript sp-c-jcgexo sp-c-jkvvao">
+              <code className="sp-pre-placeholder sp-c-fWymNx">
+                {finalOutput}
+              </code>
+            </pre>
+          </div>
+        </div>
+      </div>
     </div>
   );
 };
 
 export default CodeBlock;
 
+const language = javascript({jsx: true, typescript: false});
+
+function classNameToken(name: string): string {
+  return `sp-syntax-${name}`;
+}
+
+function getSyntaxHighlight(theme: any): HighlightStyle {
+  return HighlightStyle.define([
+    {tag: tags.link, textdecorator: 'underline'},
+    {tag: tags.emphasis, fontStyle: 'italic'},
+    {tag: tags.strong, fontWeight: 'bold'},
+
+    {
+      tag: tags.keyword,
+      class: classNameToken('keyword'),
+    },
+    {
+      tag: [tags.atom, tags.number, tags.bool],
+      class: classNameToken('static'),
+    },
+    {
+      tag: tags.tagName,
+      class: classNameToken('tag'),
+    },
+    {tag: tags.variableName, class: classNameToken('plain')},
+    {
+      // Highlight function call
+      tag: tags.function(tags.variableName),
+      class: classNameToken('definition'),
+    },
+    {
+      // Highlight function definition differently (eg: functional component def in React)
+      tag: tags.definition(tags.function(tags.variableName)),
+      class: classNameToken('definition'),
+    },
+    {
+      tag: tags.propertyName,
+      class: classNameToken('property'),
+    },
+    {
+      tag: [tags.literal, tags.inserted],
+      class: classNameToken(theme.syntax.string ? 'string' : 'static'),
+    },
+    {
+      tag: tags.punctuation,
+      class: classNameToken('punctuation'),
+    },
+    {
+      tag: [tags.comment, tags.quote],
+      class: classNameToken('comment'),
+    },
+  ]);
+}
+
+function getLineDecorators(
+  code: string,
+  meta: string
+): Array<{
+  line: number;
+  className: string;
+}> {
+  if (!meta) {
+    return [];
+  }
+  const linesToHighlight = getHighlightLines(meta);
+  const highlightedLineConfig = linesToHighlight.map((line) => {
+    return {
+      className: 'bg-github-highlight dark:bg-opacity-10',
+      line,
+    };
+  });
+  return highlightedLineConfig;
+}
+
+function getInlineDecorators(
+  code: string,
+  meta: string
+): Array<{
+  step: number;
+  line: number;
+  startColumn: number;
+  endColumn: number;
+  className: string;
+}> {
+  if (!meta) {
+    return [];
+  }
+  const inlineHighlightLines = getInlineHighlights(meta, code);
+  const inlineHighlightConfig = inlineHighlightLines.map(
+    (line: InlineHiglight) => ({
+      ...line,
+      elementAttributes: {'data-step': `${line.step}`},
+      className: cn(
+        'code-step bg-opacity-10 dark:bg-opacity-20 relative rounded px-1 py-[1.5px] border-b-[2px] border-opacity-60',
+        {
+          'bg-blue-40 border-blue-40 text-blue-60 dark:text-blue-30 font-bold':
+            line.step === 1,
+          'bg-yellow-40 border-yellow-40 text-yellow-60 dark:text-yellow-30 font-bold':
+            line.step === 2,
+          'bg-purple-40 border-purple-40 text-purple-60 dark:text-purple-30 font-bold':
+            line.step === 3,
+          'bg-green-40 border-green-40 text-green-60 dark:text-green-30 font-bold':
+            line.step === 4,
+        }
+      ),
+    })
+  );
+  return inlineHighlightConfig;
+}
+
 /**
  *
  * @param meta string provided after the language in a markdown block
diff --git a/beta/src/styles/sandpack.css b/beta/src/styles/sandpack.css
index 32013601..e1ca99e3 100644
--- a/beta/src/styles/sandpack.css
+++ b/beta/src/styles/sandpack.css
@@ -227,8 +227,9 @@ html.dark .sandpack--playground .sp-overlay {
   padding: 0;
 }
 
-.sandpack--codeblock .cm-content.cm-readonly .cm-line {
-  padding: 0 var(--sp-space-3);
+.sandpack--codeblock .cm-line {
+  margin-left: -20px;
+  padding-left: 20px;
 }
 
 /**
@@ -239,6 +240,7 @@ html.dark .sandpack--playground .sp-overlay {
   font-size: 13.6px;
   line-height: 24px;
   padding: 18px 0;
+  -webkit-font-smoothing: auto;
 }
 
 .sandpack--codeblock .sp-code-editor .sp-pre-placeholder {