diff --git a/docs/generated/packages/js/generators/library.json b/docs/generated/packages/js/generators/library.json
index 6a4c54a7b8..78223d2c7a 100644
--- a/docs/generated/packages/js/generators/library.json
+++ b/docs/generated/packages/js/generators/library.json
@@ -114,7 +114,7 @@
         "description": "The bundler to use. Choosing 'none' means this library is not buildable.",
         "type": "string",
         "enum": ["swc", "tsc", "rollup", "vite", "esbuild", "none"],
-        "default": "none",
+        "default": "tsc",
         "x-prompt": "Which bundler would you like to use to build the library? Choose 'none' to skip build setup.",
         "x-priority": "important"
       },
@@ -130,7 +130,7 @@
       }
     },
     "required": ["name"],
-    "examplesFile": "---\ntitle: JS library generator examples\ndescription: This page contains examples for the @nrwl/js:lib generator.\n---\n\nThe `@nrwl/js:lib` generator will generate a library for you, and it will configure it according to the options you provide.\n\n```bash\nnpx nx g @nrwl/js:lib mylib\n```\n\nBy default, the library that is generated when you use this executor without passing any options, like the example above, will be a buildable library, using the `@nrwl/js:tsc` executor as a builder.\n\nYou may configure the tools you want to use to build your library, or bundle it too, by passing the `--bundler` flag. The `--bundler` flag controls the compiler and/or the bundler that will be used to build your library. If you choose `tsc` or `swc`, the result will be a buildable library using either `tsc` or `swc` as the compiler. If you choose `rollup` or `vite`, the result will be a buildable library using `rollup` or `vite` as the bundler. In the case of `rollup`, it will default to the `tsc` compiler. If you choose `esbuild`, you may use the [`esbuildOptions` property](https://esbuild.github.io/api/) in your `project.json` under the `build` target options to specify whether you wish to bundle your library or not.\n\n## Examples\n\n{% tabs %}\n\n{% tab label=\"Buildable with default compiler (tsc)\" %}\n\nGenerate a buildable library using the `@nrwl/js:tsc` executor. This uses `tsc` as the compiler.\n\n```bash\nnpx nx g @nrwl/js:lib mylib\n```\n\n{% /tab %}\n\n{% tab label=\"Buildable with SWC compiler\" %}\n\nGenerate a buildable library using [SWC](https://swc.rs) as the compiler. This will use the `@nrwl/js:swc` executor.\n\n```bash\nnpx nx g @nrwl/js:lib mylib --bundler=swc\n```\n\n{% /tab %}\n\n{% tab label=\"Buildable with tsc\" %}\n\nGenerate a buildable library using tsc as the compiler. This will use the `@nrwl/js:tsc` executor.\n\n```bash\nnpx nx g @nrwl/js:lib mylib --bundler=tsc\n```\n\n{% /tab %}\n\n{% tab label=\"Buildable, with Rollup as a bundler\" %}\n\nGenerate a buildable library using [Rollup](https://rollupjs.org) as the bundler. This will use the `@nrwl/rollup:rollup` executor. It will also use [SWC](https://swc.rs) as the compiler.\n\n```bash\nnpx nx g @nrwl/js:lib mylib --bundler=rollup\n```\n\nIf you do not want to use `swc` as the compiler, and want to use the default `babel` compiler, you can do so in your `project.json` under the `build` target options, using the [`compiler` property](https://nx.dev/packages/rollup/executors/rollup#compiler):\n\n```jsonc {% fileName=\"libs/mylib/project.json\" %}\n\"build\": {\n  \"executor\": \"@nrwl/rollup:rollup\",\n  \"options\": {\n    //...\n    \"compiler\": \"babel\"\n  }\n}\n```\n\n{% /tab %}\n\n{% tab label=\"Buildable, with Vite as a bundler\" %}\n\nGenerate a buildable library using [Vite](https://vitejs.dev/) as the bundler. This will use the `@nrwl/vite:build` executor.\n\n```bash\nnpx nx g @nrwl/js:lib mylib --bundler=vite\n```\n\n{% /tab %}\n\n{% tab label=\"Using ESBuild\" %}\n\nGenerate a buildable library using [ESBuild](https://esbuild.github.io/) as the bundler. This will use the `@nrwl/esbuild:esbuild` executor.\n\n```bash\nnpx nx g @nrwl/js:lib mylib --bundler=esbuild\n```\n\nIf you want to specify whether you want to bundle your library or not, you can do so in your `project.json` under the `build` target options, using the [`esbuildOptions` property](https://esbuild.github.io/api/):\n\n```jsonc {% fileName=\"libs/mylib/project.json\" %}\n\"build\": {\n  \"executor\": \"@nrwl/esbuild:esbuild\",\n  \"options\": {\n    //...\n    \"esbuildOptions\": {\n        \"bundle\": true\n    }\n  }\n}\n```\n\n{% /tab %}\n\n{% tab label=\"Minimal publishing target\" %}\n\nGenerate a **publishable** library with a minimal publishing target. The result will be a buildable library using the `@nrwl/js:tsc` executor, using `tsc` as the compiler. You can change the compiler or the bundler by passing the `--bundler` flag.\n\n```bash\nnpx nx g lib mylib --publishable\n```\n\n{% /tab %}\n\n{% tab label=\"Using directory flag\" %}\n\nGenerate a library named `mylib` and put it under a directory named `myapp` (`libs/myapp/mylib`)\n\n```shell\nnpx nx g lib mylib --directory=myapp\n```\n\n{% /tab %}\n\n{% /tabs %}\n",
+    "examplesFile": "---\ntitle: JS library generator examples\ndescription: This page contains examples for the @nrwl/js:lib generator.\n---\n\nThe `@nrwl/js:lib` generator will generate a library for you, and it will configure it according to the options you provide.\n\n```bash\nnpx nx g @nrwl/js:lib mylib\n```\n\nBy default, the library that is generated when you use this executor without passing any options, like the example above, will be a buildable library, using the `@nrwl/js:tsc` executor as a builder.\n\nYou may configure the tools you want to use to build your library, or bundle it too, by passing the `--bundler` flag. The `--bundler` flag controls the compiler and/or the bundler that will be used to build your library. If you choose `tsc` or `swc`, the result will be a buildable library using either `tsc` or `swc` as the compiler. If you choose `rollup` or `vite`, the result will be a buildable library using `rollup` or `vite` as the bundler. In the case of `rollup`, it will default to the `tsc` compiler. If you choose `esbuild`, you may use the [`esbuildOptions` property](https://esbuild.github.io/api/) in your `project.json` under the `build` target options to specify whether you wish to bundle your library or not.\n\n## Examples\n\n{% tabs %}\n\n{% tab label=\"Buildable with default compiler (tsc)\" %}\n\nGenerate a buildable library using the `@nrwl/js:tsc` executor. This uses `tsc` as the compiler.\n\n```bash\nnpx nx g @nrwl/js:lib mylib\n```\n\n{% /tab %}\n\n{% tab label=\"Buildable with SWC compiler\" %}\n\nGenerate a buildable library using [SWC](https://swc.rs) as the compiler. This will use the `@nrwl/js:swc` executor.\n\n```bash\nnpx nx g @nrwl/js:lib mylib --bundler=swc\n```\n\n{% /tab %}\n\n{% tab label=\"Buildable with tsc\" %}\n\nGenerate a buildable library using tsc as the compiler. This will use the `@nrwl/js:tsc` executor.\n\n```bash\nnpx nx g @nrwl/js:lib mylib --bundler=tsc\n```\n\n{% /tab %}\n\n{% tab label=\"Buildable, with Rollup as a bundler\" %}\n\nGenerate a buildable library using [Rollup](https://rollupjs.org) as the bundler. This will use the `@nrwl/rollup:rollup` executor. It will also use [SWC](https://swc.rs) as the compiler.\n\n```bash\nnpx nx g @nrwl/js:lib mylib --bundler=rollup\n```\n\nIf you do not want to use `swc` as the compiler, and want to use the default `babel` compiler, you can do so in your `project.json` under the `build` target options, using the [`compiler` property](https://nx.dev/packages/rollup/executors/rollup#compiler):\n\n```jsonc {% fileName=\"libs/mylib/project.json\" %}\n\"build\": {\n  \"executor\": \"@nrwl/rollup:rollup\",\n  \"options\": {\n    //...\n    \"compiler\": \"babel\"\n  }\n}\n```\n\n{% /tab %}\n\n{% tab label=\"Buildable, with Vite as a bundler\" %}\n\nGenerate a buildable library using [Vite](https://vitejs.dev/) as the bundler. This will use the `@nrwl/vite:build` executor.\n\n```bash\nnpx nx g @nrwl/js:lib mylib --bundler=vite\n```\n\n{% /tab %}\n\n{% tab label=\"Using ESBuild\" %}\n\nGenerate a buildable library using [ESBuild](https://esbuild.github.io/) as the bundler. This will use the `@nrwl/esbuild:esbuild` executor.\n\n```bash\nnpx nx g @nrwl/js:lib mylib --bundler=esbuild\n```\n\nIf you want to specify whether you want to bundle your library or not, you can do so in your `project.json` under the `build` target options, using the [`esbuildOptions` property](https://esbuild.github.io/api/):\n\n```jsonc {% fileName=\"libs/mylib/project.json\" %}\n\"build\": {\n  \"executor\": \"@nrwl/esbuild:esbuild\",\n  \"options\": {\n    //...\n    \"esbuildOptions\": {\n        \"bundle\": true\n    }\n  }\n}\n```\n\n{% /tab %}\n\n{% tab label=\"Minimal publishing target\" %}\n\nGenerate a **publishable** library with a minimal publishing target. The result will be a buildable library using the `@nrwl/js:tsc` executor, using `tsc` as the compiler. You can change the compiler or the bundler by passing the `--bundler` flag.\n\n```bash\nnpx nx g lib mylib --publishable\n```\n\n{% /tab %}\n\n{% tab label=\"Using directory flag\" %}\n\nGenerate a library named `mylib` and put it under a directory named `myapp` (`libs/myapp/mylib`)\n\n```shell\nnpx nx g lib mylib --directory=myapp\n```\n\n{% /tab %}\n\n{% tab label=\"Non-buildable library\" %}\n\nGenerate a non-buildable library.\n\n```bash\nnpx nx g @nrwl/js:lib mylib --bundler=none\n```\n\n{% /tab %}\n\n{% /tabs %}\n",
     "presets": []
   },
   "aliases": ["lib"],
diff --git a/e2e/js/src/js-inlining.test.ts b/e2e/js/src/js-inlining.test.ts
index 26e69daea0..0b59a5c795 100644
--- a/e2e/js/src/js-inlining.test.ts
+++ b/e2e/js/src/js-inlining.test.ts
@@ -102,7 +102,7 @@ describe('inlining', () => {
 
   it('should inline nesting libraries', async () => {
     const parent = uniq('parent');
-    runCLI(`generate @nrwl/js:lib ${parent} --bundler=tsc --no-interactive`);
+    runCLI(`generate @nrwl/js:lib ${parent} --no-interactive`);
 
     const child = uniq('child');
     runCLI(`generate @nrwl/js:lib ${child} --bundler=none --no-interactive`);
diff --git a/e2e/nx-run/src/affected-graph.test.ts b/e2e/nx-run/src/affected-graph.test.ts
index cd27867e8d..d0c585cb1c 100644
--- a/e2e/nx-run/src/affected-graph.test.ts
+++ b/e2e/nx-run/src/affected-graph.test.ts
@@ -35,8 +35,8 @@ describe('Nx Affected and Graph Tests', () => {
       const mypublishablelib = uniq('mypublishablelib');
       runCLI(`generate @nrwl/web:app ${myapp}`);
       runCLI(`generate @nrwl/web:app ${myapp2}`);
-      runCLI(`generate @nrwl/js:lib ${mylib} --bundler=tsc`);
-      runCLI(`generate @nrwl/js:lib ${mylib2} --bundler=tsc`);
+      runCLI(`generate @nrwl/js:lib ${mylib}`);
+      runCLI(`generate @nrwl/js:lib ${mylib2}`);
       runCLI(
         `generate @nrwl/js:lib ${mypublishablelib} --publishable --importPath=@${proj}/${mypublishablelib}`
       );
@@ -195,7 +195,7 @@ describe('Nx Affected and Graph Tests', () => {
     function generateAll() {
       runCLI(`generate @nrwl/web:app ${myapp}`);
       runCLI(`generate @nrwl/web:app ${myapp2}`);
-      runCLI(`generate @nrwl/js:lib ${mylib} --bundler=tsc`);
+      runCLI(`generate @nrwl/js:lib ${mylib}`);
       runCommand(`git add . && git commit -am "add all"`);
     }
 
@@ -211,7 +211,7 @@ describe('Nx Affected and Graph Tests', () => {
         expect(runCLI('affected:apps')).toContain(myapp2);
         runCommand(`git add . && git commit -am "add ${myapp2}"`);
 
-        runCLI(`generate @nrwl/js:lib ${mylib} --bundler=tsc`);
+        runCLI(`generate @nrwl/js:lib ${mylib}`);
         expect(runCLI('affected:apps')).not.toContain(myapp);
         expect(runCLI('affected:apps')).not.toContain(myapp2);
         expect(runCLI('affected:libs')).toContain(mylib);
@@ -294,8 +294,8 @@ describe('Nx Affected and Graph Tests', () => {
 
       runCLI(`generate @nrwl/web:app ${myapp}`);
       runCLI(`generate @nrwl/web:app ${myapp2}`);
-      runCLI(`generate @nrwl/js:lib ${mylib} --bundler=tsc`);
-      runCLI(`generate @nrwl/js:lib ${mylib2} --bundler=tsc`);
+      runCLI(`generate @nrwl/js:lib ${mylib}`);
+      runCLI(`generate @nrwl/js:lib ${mylib2}`);
       runCLI(`generate @nrwl/js:lib ${mypublishablelib}`);
 
       const app1ElementSpec = readFile(
@@ -413,8 +413,8 @@ describe('Nx Affected and Graph Tests', () => {
       runCLI(`generate @nrwl/web:app ${myapp}`);
       runCLI(`generate @nrwl/web:app ${myapp2}`);
       runCLI(`generate @nrwl/web:app ${myapp3}`);
-      runCLI(`generate @nrwl/js:lib ${mylib} --bundler=tsc`);
-      runCLI(`generate @nrwl/js:lib ${mylib2} --bundler=tsc`);
+      runCLI(`generate @nrwl/js:lib ${mylib}`);
+      runCLI(`generate @nrwl/js:lib ${mylib2}`);
 
       runCommand(`git init`);
       runCommand(`git config user.email "test@test.com"`);
diff --git a/packages/js/docs/library-examples.md b/packages/js/docs/library-examples.md
index 6099dfae21..8776292073 100644
--- a/packages/js/docs/library-examples.md
+++ b/packages/js/docs/library-examples.md
@@ -123,4 +123,14 @@ npx nx g lib mylib --directory=myapp
 
 {% /tab %}
 
+{% tab label="Non-buildable library" %}
+
+Generate a non-buildable library.
+
+```bash
+npx nx g @nrwl/js:lib mylib --bundler=none
+```
+
+{% /tab %}
+
 {% /tabs %}
diff --git a/packages/js/src/generators/library/library.spec.ts b/packages/js/src/generators/library/library.spec.ts
index 74e9e2351e..608a2b14a3 100644
--- a/packages/js/src/generators/library/library.spec.ts
+++ b/packages/js/src/generators/library/library.spec.ts
@@ -212,7 +212,7 @@ describe('lib', () => {
         ).toBeTruthy();
         expect(tree.exists('libs/my-dir/my-lib/src/index.ts')).toBeTruthy();
         expect(tree.exists(`libs/my-dir/my-lib/.eslintrc.json`)).toBeTruthy();
-        expect(tree.exists(`libs/my-dir/my-lib/package.json`)).toBeFalsy();
+        expect(tree.exists(`libs/my-dir/my-lib/package.json`)).toBeTruthy();
       });
 
       it('should update project configuration', async () => {
@@ -739,14 +739,14 @@ describe('lib', () => {
         expect(config.targets.build).not.toBeDefined();
       });
 
-      it('should NOT generate the build target if bundler is undefined', async () => {
+      it('should still generate the build target if bundler is undefined', async () => {
         await libraryGenerator(tree, {
           ...defaultOptions,
           name: 'myLib',
         });
 
         const config = readProjectConfiguration(tree, 'my-lib');
-        expect(config.targets.build).not.toBeDefined();
+        expect(config.targets.build).toBeDefined();
       });
 
       it('should generate the build target', async () => {
diff --git a/packages/js/src/generators/library/library.ts b/packages/js/src/generators/library/library.ts
index 5c64276bea..ef5a750449 100644
--- a/packages/js/src/generators/library/library.ts
+++ b/packages/js/src/generators/library/library.ts
@@ -384,17 +384,18 @@ function normalizeOptions(
    * and no compiler was provided.
    *
    * If the user has not provided a bundler and no compiler, and has not set buildable to true, then
-   * set the bundler to none.
+   * set the bundler to tsc, to preserve old default behaviour (buildable: true by default).
    *
    * If it's publishable, we need to build the code before publishing it, so again
    * we default to `tsc`. In the previous version of this, it would set `buildable` to true
    * and that would default to `tsc`.
+   *
+   * In the past, the only way to get a non-buildable library was to set buildable to false.
+   * Now, the only way to get a non-buildble library is to set bundler to none.
+   * By default, with nothing provided, libraries are buildable with `@nrwl/js:tsc`.
    */
 
-  options.bundler =
-    options.bundler ??
-    options.compiler ??
-    (options.buildable || options.publishable ? 'tsc' : 'none');
+  options.bundler = options.bundler ?? options.compiler ?? 'tsc';
 
   if (options.publishable) {
     if (!options.importPath) {
@@ -404,11 +405,15 @@ function normalizeOptions(
     }
 
     if (options.bundler === 'none') {
-      // It must be buildable, so default to tsc
       options.bundler = 'tsc';
     }
   }
 
+  // This is to preserve old behaviour, buildable: false
+  if (options.publishable === false && options.buildable === false) {
+    options.bundler = 'none';
+  }
+
   const { Linter } = require('@nrwl/linter');
   if (options.config === 'npm-scripts') {
     options.unitTestRunner = 'none';
diff --git a/packages/js/src/generators/library/schema.json b/packages/js/src/generators/library/schema.json
index f8ada4e6d8..b0f26af936 100644
--- a/packages/js/src/generators/library/schema.json
+++ b/packages/js/src/generators/library/schema.json
@@ -114,7 +114,7 @@
       "description": "The bundler to use. Choosing 'none' means this library is not buildable.",
       "type": "string",
       "enum": ["swc", "tsc", "rollup", "vite", "esbuild", "none"],
-      "default": "none",
+      "default": "tsc",
       "x-prompt": "Which bundler would you like to use to build the library? Choose 'none' to skip build setup.",
       "x-priority": "important"
     },