diff --git a/docker/server/entrypoint.sh b/docker/server/entrypoint.sh
index c326937916..6a87468490 100644
--- a/docker/server/entrypoint.sh
+++ b/docker/server/entrypoint.sh
@@ -7,9 +7,21 @@ if [ -n "${GOOGLE_APPLICATION_CREDENTIALS_JSON}" ]; then
   echo "${GOOGLE_APPLICATION_CREDENTIALS_JSON}" > "${GOOGLE_APPLICATION_CREDENTIALS_DIR}/application_default_credentials.json"
 fi
 
+DB_PATH="${HOME}/.dstack/server/data/sqlite.db"
+mkdir -p "$(dirname "$DB_PATH")"
 if [[ -z "${LITESTREAM_REPLICA_URL}" ]]; then
-  dstack server --host 0.0.0.0
+  exec dstack server --host 0.0.0.0
 else
-  litestream restore -if-replica-exists -o ${HOME}/.dstack/server/data/sqlite.db ${LITESTREAM_REPLICA_URL}
-  litestream replicate -exec "dstack server --host 0.0.0.0" ${HOME}/.dstack/server/data/sqlite.db ${LITESTREAM_REPLICA_URL}
+  if [[ ! -f "$DB_PATH" ]]; then
+    echo "Attempting Litestream restore..."
+    if ! output=$(litestream restore -o "$DB_PATH" "$LITESTREAM_REPLICA_URL" 2>&1); then
+      if echo "$output" | grep -qiE "cannot calc restore plan"; then
+        echo "No replica snapshots found; starting with empty database."
+      else
+        echo "$output" >&2
+        exit 1
+      fi
+    fi
+  fi
+  exec litestream replicate -exec "dstack server --host 0.0.0.0" "$DB_PATH" "$LITESTREAM_REPLICA_URL"
 fi
diff --git a/docker/server/release/Dockerfile b/docker/server/release/Dockerfile
index c58df71112..8bd739b885 100644
--- a/docker/server/release/Dockerfile
+++ b/docker/server/release/Dockerfile
@@ -13,9 +13,9 @@ RUN apt-get update && apt-get install -y \
     sqlite3 \
     && rm -rf /var/lib/apt/lists/*
 
-RUN if [ $(uname -m) = "aarch64" ]; then ARCH="arm64"; else ARCH="amd64"; fi && \
-    curl https://github.com/benbjohnson/litestream/releases/download/v0.3.9/litestream-v0.3.9-linux-$ARCH.deb -O -L && \
-    dpkg -i litestream-v0.3.9-linux-$ARCH.deb
+RUN if [ $(uname -m) = "aarch64" ]; then ARCH="arm64"; else ARCH="x86_64"; fi && \
+    curl https://github.com/benbjohnson/litestream/releases/download/v0.5.0/litestream-0.5.0-linux-$ARCH.deb -O -L && \
+    dpkg -i litestream-0.5.0-linux-$ARCH.deb
 
 ADD https://astral.sh/uv/install.sh /uv-installer.sh
 RUN sh /uv-installer.sh && rm /uv-installer.sh
diff --git a/docker/server/stgn/Dockerfile b/docker/server/stgn/Dockerfile
index 1d01942ae7..c6138bd8f3 100644
--- a/docker/server/stgn/Dockerfile
+++ b/docker/server/stgn/Dockerfile
@@ -11,9 +11,9 @@ RUN apt-get update && apt-get install -y \
     sqlite3 \
     && rm -rf /var/lib/apt/lists/*
 
-RUN if [ $(uname -m) = "aarch64" ]; then ARCH="arm64"; else ARCH="amd64"; fi && \
-    curl https://github.com/benbjohnson/litestream/releases/download/v0.3.9/litestream-v0.3.9-linux-$ARCH.deb -O -L && \
-    dpkg -i litestream-v0.3.9-linux-$ARCH.deb
+RUN if [ $(uname -m) = "aarch64" ]; then ARCH="arm64"; else ARCH="x86_64"; fi && \
+    curl https://github.com/benbjohnson/litestream/releases/download/v0.5.0/litestream-0.5.0-linux-$ARCH.deb -O -L && \
+    dpkg -i litestream-0.5.0-linux-$ARCH.deb
 
 ADD https://astral.sh/uv/install.sh /uv-installer.sh
 RUN sh /uv-installer.sh && rm /uv-installer.sh