diff --git a/modules/@angular/router/src/common_router_providers.ts b/modules/@angular/router/src/common_router_providers.ts
index 153b7ab664..328e66afa5 100644
--- a/modules/@angular/router/src/common_router_providers.ts
+++ b/modules/@angular/router/src/common_router_providers.ts
@@ -29,7 +29,7 @@ export interface ExtraOptions {
 export function setupRouter(
     ref: ApplicationRef, resolver: ComponentResolver, urlSerializer: UrlSerializer,
     outletMap: RouterOutletMap, location: Location, injector: Injector,
-    loader: NgModuleFactoryLoader, config: Routes, opts: ExtraOptions) {
+    loader: NgModuleFactoryLoader, config: Routes, opts: ExtraOptions = {}) {
   if (ref.componentTypes.length == 0) {
     throw new Error('Bootstrap at least one component before injecting Router.');
   }
@@ -89,7 +89,7 @@ export function setupRouterInitializer(injector: Injector) {
  *
  * @deprecated use RouterModule instead
  */
-export function provideRouter(routes: Routes, config: ExtraOptions): any[] {
+export function provideRouter(routes: Routes, config: ExtraOptions = {}): any[] {
   return [
     {provide: ANALYZE_FOR_ENTRY_COMPONENTS, multi: true, useValue: routes},
     {provide: ROUTES, useExisting: ROUTER_CONFIG}, {provide: ROUTER_CONFIG, useValue: routes},
diff --git a/modules/@angular/router/src/router_module.ts b/modules/@angular/router/src/router_module.ts
index 03884d2ea9..5bc03a4643 100644
--- a/modules/@angular/router/src/router_module.ts
+++ b/modules/@angular/router/src/router_module.ts
@@ -6,7 +6,7 @@
  * found in the LICENSE file at https://angular.io/license
  */
 
-import {HashLocationStrategy, Location, LocationStrategy, PathLocationStrategy} from '@angular/common';
+import {APP_BASE_HREF, HashLocationStrategy, Location, LocationStrategy, PathLocationStrategy, PlatformLocation} from '@angular/common';
 import {ApplicationRef, ComponentResolver, Injector, ModuleWithProviders, NgModule, NgModuleFactoryLoader, OpaqueToken, SystemJsNgModuleLoader} from '@angular/core';
 
 import {ExtraOptions, ROUTER_CONFIGURATION, provideRouterConfig, provideRoutes, rootRoute, setupRouter} from './common_router_providers';
@@ -94,8 +94,12 @@ export class RouterModule {
     return {
       ngModule: RouterModule,
       providers: [
-        ROUTER_PROVIDERS, provideRoutes(routes), config ? provideRouterConfig(config) : [],
-        config.useHash ? hashLocationStrategy : pathLocationStrategy
+        ROUTER_PROVIDERS, provideRoutes(routes), {provide: ROUTER_CONFIGURATION, useValue: config},
+        {
+          provide: LocationStrategy,
+          useFactory: provideLocationStrategy,
+          deps: [PlatformLocation, APP_BASE_HREF, ROUTER_CONFIGURATION]
+        }
       ]
     };
   }
@@ -104,3 +108,9 @@ export class RouterModule {
     return {ngModule: RouterModule, providers: [provideRoutes(routes)]};
   }
 }
+
+function provideLocationStrategy(
+    platformLocationStrategy: PlatformLocation, baseHref: string, options: ExtraOptions = {}) {
+  return options.useHash ? new HashLocationStrategy(platformLocationStrategy, baseHref) :
+                           new PathLocationStrategy(platformLocationStrategy, baseHref);
+}
\ No newline at end of file