diff --git a/build/next-release.txt b/build/next-release.txt
index c04c650a7a..db6fb4a911 100644
--- a/build/next-release.txt
+++ b/build/next-release.txt
@@ -1 +1 @@
-1.2.7
+1.2.8
diff --git a/configure.in b/configure.in
index 7c13de98ec..46068f80e7 100644
--- a/configure.in
+++ b/configure.in
@@ -6,7 +6,7 @@
 AC_INIT([freeswitch], [1.2.6], bugs@freeswitch.org)
 AC_SUBST(SWITCH_VERSION_MAJOR, [1])
 AC_SUBST(SWITCH_VERSION_MINOR, [2])
-AC_SUBST(SWITCH_VERSION_MICRO, [6])
+AC_SUBST(SWITCH_VERSION_MICRO, [7])
 AC_SUBST(SWITCH_VERSION_REVISION, [])
 AC_SUBST(SWITCH_VERSION_REVISION_HUMAN, [])