diff --git a/modules/@angular/compiler/index.ts b/modules/@angular/compiler/index.ts
index 9b560c25fe..34feab50a4 100644
--- a/modules/@angular/compiler/index.ts
+++ b/modules/@angular/compiler/index.ts
@@ -28,6 +28,7 @@ export {CompilerConfig, RenderTypes} from './src/config';
 export * from './src/compile_metadata';
 export * from './src/aot/compiler_factory';
 export * from './src/aot/compiler';
+export * from './src/aot/compiler_options';
 export * from './src/aot/compiler_host';
 export * from './src/aot/static_reflector';
 export * from './src/aot/static_reflection_capabilities';
diff --git a/modules/@angular/compiler/src/aot/compiler.ts b/modules/@angular/compiler/src/aot/compiler.ts
index 7c9bdb799e..a0ec19cb91 100644
--- a/modules/@angular/compiler/src/aot/compiler.ts
+++ b/modules/@angular/compiler/src/aot/compiler.ts
@@ -9,6 +9,7 @@
 import {AnimationCompiler} from '../animation/animation_compiler';
 import {AnimationParser} from '../animation/animation_parser';
 import {CompileDirectiveMetadata, CompileIdentifierMetadata, CompileNgModuleMetadata, CompileProviderMetadata, componentFactoryName, createHostComponentMeta, identifierName} from '../compile_metadata';
+import {CompilerConfig} from '../config';
 import {DirectiveWrapperCompiler} from '../directive_wrapper_compiler';
 import {ListWrapper} from '../facade/collection';
 import {Identifiers, createIdentifier, createIdentifierToken} from '../identifiers';
@@ -33,9 +34,10 @@ export class AotCompiler {
   private _animationCompiler = new AnimationCompiler();
 
   constructor(
-      private _host: AotCompilerHost, private _metadataResolver: CompileMetadataResolver,
-      private _templateParser: TemplateParser, private _styleCompiler: StyleCompiler,
-      private _viewCompiler: ViewCompiler, private _dirWrapperCompiler: DirectiveWrapperCompiler,
+      private _config: CompilerConfig, private _host: AotCompilerHost,
+      private _metadataResolver: CompileMetadataResolver, private _templateParser: TemplateParser,
+      private _styleCompiler: StyleCompiler, private _viewCompiler: ViewCompiler,
+      private _dirWrapperCompiler: DirectiveWrapperCompiler,
       private _ngModuleCompiler: NgModuleCompiler, private _outputEmitter: OutputEmitter,
       private _summaryResolver: SummaryResolver<StaticSymbol>, private _localeId: string,
       private _translationFormat: string, private _animationParser: AnimationParser,
@@ -77,8 +79,10 @@ export class AotCompiler {
         ...ngModules.map((ngModuleType) => this._compileModule(ngModuleType, statements)));
 
     // compile directive wrappers
-    exportedVars.push(...directives.map(
-        (directiveType) => this._compileDirectiveWrapper(directiveType, statements)));
+    if (!this._config.useViewEngine) {
+      exportedVars.push(...directives.map(
+          (directiveType) => this._compileDirectiveWrapper(directiveType, statements)));
+    }
 
     // compile components
     directives.forEach((dirType) => {
@@ -181,20 +185,35 @@ export class AotCompiler {
                 hostMeta, ngModule, [compMeta.type], null, fileSuffix, targetStatements)
             .viewClassVar;
     const compFactoryVar = componentFactoryName(compMeta.type.reference);
-    targetStatements.push(
-        o.variable(compFactoryVar)
-            .set(o.importExpr(
-                      createIdentifier(Identifiers.ComponentFactory), [o.importType(compMeta.type)])
-                     .instantiate(
-                         [
-                           o.literal(compMeta.selector),
-                           o.variable(hostViewFactoryVar),
-                           o.importExpr(compMeta.type),
-                         ],
-                         o.importType(
-                             createIdentifier(Identifiers.ComponentFactory),
-                             [o.importType(compMeta.type)], [o.TypeModifier.Const])))
-            .toDeclStmt(null, [o.StmtModifier.Final]));
+    if (this._config.useViewEngine) {
+      targetStatements.push(
+          o.variable(compFactoryVar)
+              .set(o.importExpr(createIdentifier(Identifiers.createComponentFactory)).callFn([
+                o.literal(compMeta.selector),
+                o.importExpr(compMeta.type),
+                o.variable(hostViewFactoryVar),
+              ]))
+              .toDeclStmt(
+                  o.importType(
+                      createIdentifier(Identifiers.ComponentFactory), [o.importType(compMeta.type)],
+                      [o.TypeModifier.Const]),
+                  [o.StmtModifier.Final]));
+    } else {
+      targetStatements.push(
+          o.variable(compFactoryVar)
+              .set(o.importExpr(createIdentifier(Identifiers.ComponentFactory), [o.importType(
+                                                                                    compMeta.type)])
+                       .instantiate(
+                           [
+                             o.literal(compMeta.selector),
+                             o.variable(hostViewFactoryVar),
+                             o.importExpr(compMeta.type),
+                           ],
+                           o.importType(
+                               createIdentifier(Identifiers.ComponentFactory),
+                               [o.importType(compMeta.type)], [o.TypeModifier.Const])))
+              .toDeclStmt(null, [o.StmtModifier.Final]));
+    }
     return compFactoryVar;
   }
 
diff --git a/modules/@angular/compiler/src/aot/compiler_factory.ts b/modules/@angular/compiler/src/aot/compiler_factory.ts
index 3a5c002da0..656c4d0f2c 100644
--- a/modules/@angular/compiler/src/aot/compiler_factory.ts
+++ b/modules/@angular/compiler/src/aot/compiler_factory.ts
@@ -28,6 +28,7 @@ import {StyleCompiler} from '../style_compiler';
 import {TemplateParser} from '../template_parser/template_parser';
 import {createOfflineCompileUrlResolver} from '../url_resolver';
 import {ViewCompiler} from '../view_compiler/view_compiler';
+import {ViewCompilerNext} from '../view_compiler_next/view_compiler';
 
 import {AotCompiler} from './compiler';
 import {AotCompilerHost} from './compiler_host';
@@ -61,7 +62,8 @@ export function createAotCompiler(compilerHost: AotCompilerHost, options: AotCom
     genDebugInfo: options.debug === true,
     defaultEncapsulation: ViewEncapsulation.Emulated,
     logBindingUpdate: false,
-    useJit: false
+    useJit: false,
+    useViewEngine: options.useViewEngine
   });
   const normalizer = new DirectiveNormalizer(
       {get: (url: string) => compilerHost.loadResource(url)}, urlResolver, htmlParser, config);
@@ -80,9 +82,10 @@ export function createAotCompiler(compilerHost: AotCompilerHost, options: AotCom
                               compilerHost.fileNameToModuleName(fileName, containingFilePath),
     getTypeArity: (symbol: StaticSymbol) => symbolResolver.getTypeArity(symbol)
   };
+  const viewCompiler = config.useViewEngine ? new ViewCompilerNext(config, elementSchemaRegistry) :
+                                              new ViewCompiler(config, elementSchemaRegistry);
   const compiler = new AotCompiler(
-      compilerHost, resolver, tmplParser, new StyleCompiler(urlResolver),
-      new ViewCompiler(config, elementSchemaRegistry),
+      config, compilerHost, resolver, tmplParser, new StyleCompiler(urlResolver), viewCompiler,
       new DirectiveWrapperCompiler(config, expressionParser, elementSchemaRegistry, console),
       new NgModuleCompiler(), new TypeScriptEmitter(importResolver), summaryResolver,
       options.locale, options.i18nFormat, new AnimationParser(elementSchemaRegistry),
diff --git a/modules/@angular/compiler/src/aot/compiler_options.ts b/modules/@angular/compiler/src/aot/compiler_options.ts
index c52fadc557..331b319c71 100644
--- a/modules/@angular/compiler/src/aot/compiler_options.ts
+++ b/modules/@angular/compiler/src/aot/compiler_options.ts
@@ -11,4 +11,5 @@ export interface AotCompilerOptions {
   locale?: string;
   i18nFormat?: string;
   translations?: string;
+  useViewEngine?: boolean;
 }
diff --git a/modules/@angular/compiler/src/identifiers.ts b/modules/@angular/compiler/src/identifiers.ts
index 3398de93a2..06b021ff1e 100644
--- a/modules/@angular/compiler/src/identifiers.ts
+++ b/modules/@angular/compiler/src/identifiers.ts
@@ -386,6 +386,25 @@ export class Identifiers {
     member: 'createRendererTypeV2',
     runtime: ɵviewEngine.createRendererTypeV2
   };
+  static RendererTypeV2: IdentifierSpec = {
+    name: 'RendererTypeV2',
+    moduleUrl: CORE,
+    // type only
+    runtime: null
+  };
+  static ViewDefinition: IdentifierSpec = {
+    name: 'ɵviewEngine',
+    moduleUrl: CORE,
+    member: 'ViewDefinition',
+    // type only
+    runtime: null
+  };
+  static createComponentFactory: IdentifierSpec = {
+    name: 'ɵviewEngine',
+    moduleUrl: CORE,
+    member: 'createComponentFactory',
+    runtime: ɵviewEngine.createComponentFactory
+  };
 }
 
 export function assetUrl(pkg: string, path: string = null, type: string = 'src'): string {
diff --git a/modules/@angular/compiler/src/metadata_resolver.ts b/modules/@angular/compiler/src/metadata_resolver.ts
index cb22e95922..a7c7603033 100644
--- a/modules/@angular/compiler/src/metadata_resolver.ts
+++ b/modules/@angular/compiler/src/metadata_resolver.ts
@@ -108,7 +108,10 @@ export class CompileMetadataResolver {
   }
 
   private getDirectiveWrapperClass(dirType: any): StaticSymbol|cpl.ProxyClass {
-    return this.getGeneratedClass(dirType, cpl.dirWrapperClassName(dirType));
+    if (!this._config.useViewEngine) {
+      return this.getGeneratedClass(dirType, cpl.dirWrapperClassName(dirType));
+    }
+    return null;
   }
 
   private getComponentViewClass(dirType: any): StaticSymbol|cpl.ProxyClass {
diff --git a/modules/@angular/compiler/src/output/output_ast.ts b/modules/@angular/compiler/src/output/output_ast.ts
index 964700adef..30b7134937 100644
--- a/modules/@angular/compiler/src/output/output_ast.ts
+++ b/modules/@angular/compiler/src/output/output_ast.ts
@@ -34,7 +34,7 @@ export enum BuiltinTypeName {
   Int,
   Number,
   Function,
-  Null
+  Inferred
 }
 
 export class BuiltinType extends Type {
@@ -66,12 +66,12 @@ export class MapType extends Type {
 }
 
 export const DYNAMIC_TYPE = new BuiltinType(BuiltinTypeName.Dynamic);
+export const INFERRED_TYPE = new BuiltinType(BuiltinTypeName.Inferred);
 export const BOOL_TYPE = new BuiltinType(BuiltinTypeName.Bool);
 export const INT_TYPE = new BuiltinType(BuiltinTypeName.Int);
 export const NUMBER_TYPE = new BuiltinType(BuiltinTypeName.Number);
 export const STRING_TYPE = new BuiltinType(BuiltinTypeName.String);
 export const FUNCTION_TYPE = new BuiltinType(BuiltinTypeName.Function);
-export const NULL_TYPE = new BuiltinType(BuiltinTypeName.Null);
 
 export interface TypeVisitor {
   visitBuiltintType(type: BuiltinType, context: any): any;
@@ -493,7 +493,7 @@ export const SUPER_EXPR = new ReadVarExpr(BuiltinVar.Super);
 export const CATCH_ERROR_VAR = new ReadVarExpr(BuiltinVar.CatchError);
 export const CATCH_STACK_VAR = new ReadVarExpr(BuiltinVar.CatchStack);
 export const NULL_EXPR = new LiteralExpr(null, null);
-export const TYPED_NULL_EXPR = new LiteralExpr(null, NULL_TYPE);
+export const TYPED_NULL_EXPR = new LiteralExpr(null, INFERRED_TYPE);
 
 //// Statements
 export enum StmtModifier {
diff --git a/modules/@angular/compiler/src/output/ts_emitter.ts b/modules/@angular/compiler/src/output/ts_emitter.ts
index 42d32fdc63..7846655ce7 100644
--- a/modules/@angular/compiler/src/output/ts_emitter.ts
+++ b/modules/@angular/compiler/src/output/ts_emitter.ts
@@ -102,7 +102,7 @@ class _TsEmitterVisitor extends AbstractEmitterVisitor implements o.TypeVisitor
 
   visitLiteralExpr(ast: o.LiteralExpr, ctx: EmitterVisitorContext): any {
     const value = ast.value;
-    if (isBlank(value) && ast.type != o.NULL_TYPE) {
+    if (isBlank(value) && ast.type != o.INFERRED_TYPE) {
       ctx.print(ast, `(${value} as any)`);
       return null;
     }
@@ -152,8 +152,8 @@ class _TsEmitterVisitor extends AbstractEmitterVisitor implements o.TypeVisitor
     } else {
       ctx.print(stmt, `var`);
     }
-    ctx.print(stmt, ` ${stmt.name}:`);
-    this.visitType(stmt.type, ctx);
+    ctx.print(stmt, ` ${stmt.name}`);
+    this._printColonType(stmt.type, ctx);
     ctx.print(stmt, ` = `);
     stmt.value.visitExpression(this, ctx);
     ctx.println(stmt, `;`);
@@ -212,8 +212,7 @@ class _TsEmitterVisitor extends AbstractEmitterVisitor implements o.TypeVisitor
       ctx.print(null, `/*private*/ `);
     }
     ctx.print(null, field.name);
-    ctx.print(null, ':');
-    this.visitType(field.type, ctx);
+    this._printColonType(field.type, ctx);
     ctx.println(null, `;`);
   }
 
@@ -222,8 +221,7 @@ class _TsEmitterVisitor extends AbstractEmitterVisitor implements o.TypeVisitor
       ctx.print(null, `private `);
     }
     ctx.print(null, `get ${getter.name}()`);
-    ctx.print(null, ':');
-    this.visitType(getter.type, ctx);
+    this._printColonType(getter.type, ctx);
     ctx.println(null, ` {`);
     ctx.incIndent();
     this.visitAllStatements(getter.body, ctx);
@@ -247,8 +245,8 @@ class _TsEmitterVisitor extends AbstractEmitterVisitor implements o.TypeVisitor
     }
     ctx.print(null, `${method.name}(`);
     this._visitParams(method.params, ctx);
-    ctx.print(null, `):`);
-    this.visitType(method.type, ctx, 'void');
+    ctx.print(null, `)`);
+    this._printColonType(method.type, ctx, 'void');
     ctx.println(null, ` {`);
     ctx.incIndent();
     this.visitAllStatements(method.body, ctx);
@@ -259,8 +257,8 @@ class _TsEmitterVisitor extends AbstractEmitterVisitor implements o.TypeVisitor
   visitFunctionExpr(ast: o.FunctionExpr, ctx: EmitterVisitorContext): any {
     ctx.print(ast, `(`);
     this._visitParams(ast.params, ctx);
-    ctx.print(ast, `):`);
-    this.visitType(ast.type, ctx, 'void');
+    ctx.print(ast, `)`);
+    this._printColonType(ast.type, ctx, 'void');
     ctx.println(ast, ` => {`);
     ctx.incIndent();
     this.visitAllStatements(ast.statements, ctx);
@@ -275,8 +273,8 @@ class _TsEmitterVisitor extends AbstractEmitterVisitor implements o.TypeVisitor
     }
     ctx.print(stmt, `function ${stmt.name}(`);
     this._visitParams(stmt.params, ctx);
-    ctx.print(stmt, `):`);
-    this.visitType(stmt.type, ctx, 'void');
+    ctx.print(stmt, `)`);
+    this._printColonType(stmt.type, ctx, 'void');
     ctx.println(stmt, ` {`);
     ctx.incIndent();
     this.visitAllStatements(stmt.statements, ctx);
@@ -369,8 +367,7 @@ class _TsEmitterVisitor extends AbstractEmitterVisitor implements o.TypeVisitor
   private _visitParams(params: o.FnParam[], ctx: EmitterVisitorContext): void {
     this.visitAllObjects(param => {
       ctx.print(null, param.name);
-      ctx.print(null, ':');
-      this.visitType(param.type, ctx);
+      this._printColonType(param.type, ctx);
     }, params, ctx, ',');
   }
 
@@ -431,4 +428,11 @@ class _TsEmitterVisitor extends AbstractEmitterVisitor implements o.TypeVisitor
       }
     }
   }
+
+  private _printColonType(type: o.Type, ctx: EmitterVisitorContext, defaultType?: string) {
+    if (type !== o.INFERRED_TYPE) {
+      ctx.print(null, ':');
+      this.visitType(type, ctx, defaultType);
+    }
+  }
 }
diff --git a/modules/@angular/compiler/src/view_compiler_next/view_compiler.ts b/modules/@angular/compiler/src/view_compiler_next/view_compiler.ts
index 5683ffa6dd..9c70dd44ab 100644
--- a/modules/@angular/compiler/src/view_compiler_next/view_compiler.ts
+++ b/modules/@angular/compiler/src/view_compiler_next/view_compiler.ts
@@ -38,8 +38,6 @@ export class ViewCompilerNext extends ViewCompiler {
       component: CompileDirectiveMetadata, template: TemplateAst[], styles: o.Expression,
       usedPipes: CompilePipeSummary[],
       compiledAnimations: AnimationEntryCompileResult[]): ViewCompileResult {
-    const compName = identifierName(component.type) + (component.isHost ? `_Host` : '');
-
     let embeddedViewCount = 0;
     const staticQueryIds = findStaticQueryIds(template);
 
@@ -56,13 +54,14 @@ export class ViewCompilerNext extends ViewCompiler {
                 new o.LiteralMapEntry('data', o.literalMap([])),
               ])
             ]))
-            .toDeclStmt());
+            .toDeclStmt(
+                o.importType(createIdentifier(Identifiers.RendererTypeV2)),
+                [o.StmtModifier.Final]));
 
     const viewBuilderFactory = (parent: ViewBuilder): ViewBuilder => {
       const embeddedViewIndex = embeddedViewCount++;
-      const viewName = viewClassName(component.type.reference, embeddedViewIndex);
       return new ViewBuilder(
-          parent, component, viewName, usedPipes, staticQueryIds, viewBuilderFactory);
+          parent, component, embeddedViewIndex, usedPipes, staticQueryIds, viewBuilderFactory);
     };
 
     const visitor = viewBuilderFactory(null);
@@ -109,10 +108,14 @@ class ViewBuilder implements TemplateAstVisitor, LocalResolver, BuiltinConverter
 
   constructor(
       private parent: ViewBuilder, private component: CompileDirectiveMetadata,
-      public viewName: string, private usedPipes: CompilePipeSummary[],
+      private embeddedViewIndex: number, private usedPipes: CompilePipeSummary[],
       private staticQueryIds: Map<TemplateAst, StaticAndDynamicQueryIds>,
       private viewBuilderFactory: ViewBuilderFactory) {}
 
+  get viewName(): string {
+    return viewClassName(this.component.type.reference, this.embeddedViewIndex);
+  }
+
   visitAll(variables: VariableAst[], astNodes: TemplateAst[]) {
     this.variables = variables;
     // create the pipes for the pure pipes immediately, so that we know their indices.
@@ -155,7 +158,11 @@ class ViewBuilder implements TemplateAstVisitor, LocalResolver, BuiltinConverter
   }
 
   build(targetStatements: o.Statement[] = []): o.Statement[] {
-    const compType = o.importType(this.component.type);
+    // TODO(tbosch): The old view compiler used to use an `any` type
+    // for the context in any embedded view. We keep this behaivor for now
+    // to be able to introduce the new view compiler without too many errors.
+    const compType =
+        this.embeddedViewIndex > 0 ? o.DYNAMIC_TYPE : o.importType(this.component.type);
     this.children.forEach((child) => child.build(targetStatements));
 
     const updateDirectivesFn = this._createUpdateFn(this.updateDirectivesExpressions, compType);
@@ -180,16 +187,20 @@ class ViewBuilder implements TemplateAstVisitor, LocalResolver, BuiltinConverter
     });
     let handleEventFn: o.Expression;
     if (handleEventStmts.length > 0) {
+      const preStmts: o.Statement[] =
+          [ALLOW_DEFAULT_VAR.set(o.literal(true)).toDeclStmt(o.BOOL_TYPE)];
+      if (!this.component.isHost) {
+        preStmts.push(COMP_VAR.set(VIEW_VAR.prop('component')).toDeclStmt(compType));
+      }
       handleEventFn = o.fn(
           [
-            new o.FnParam(VIEW_VAR.name), new o.FnParam(NODE_INDEX_VAR.name),
-            new o.FnParam(EVENT_NAME_VAR.name), new o.FnParam(EventHandlerVars.event.name)
+            new o.FnParam(VIEW_VAR.name, o.INFERRED_TYPE),
+            new o.FnParam(NODE_INDEX_VAR.name, o.INFERRED_TYPE),
+            new o.FnParam(EVENT_NAME_VAR.name, o.INFERRED_TYPE),
+            new o.FnParam(EventHandlerVars.event.name, o.INFERRED_TYPE)
           ],
-          [
-            ALLOW_DEFAULT_VAR.set(o.literal(true)).toDeclStmt(o.BOOL_TYPE),
-            COMP_VAR.set(VIEW_VAR.prop('component')).toDeclStmt(compType), ...handleEventStmts,
-            new o.ReturnStatement(ALLOW_DEFAULT_VAR)
-          ]);
+          [...preStmts, ...handleEventStmts, new o.ReturnStatement(ALLOW_DEFAULT_VAR)],
+          o.INFERRED_TYPE);
     } else {
       handleEventFn = o.NULL_EXPR;
     }
@@ -203,7 +214,8 @@ class ViewBuilder implements TemplateAstVisitor, LocalResolver, BuiltinConverter
         [new o.ReturnStatement(o.importExpr(createIdentifier(Identifiers.viewDef)).callFn([
           o.literal(viewFlags), o.literalArr(this.nodeDefs), updateDirectivesFn, updateRendererFn,
           handleEventFn
-        ]))]);
+        ]))],
+        o.importType(createIdentifier(Identifiers.ViewDefinition)));
 
     targetStatements.push(viewFactory);
     return targetStatements;
@@ -225,9 +237,16 @@ class ViewBuilder implements TemplateAstVisitor, LocalResolver, BuiltinConverter
     });
     let updateFn: o.Expression;
     if (updateStmts.length > 0) {
+      const preStmts: o.Statement[] = [];
+      if (!this.component.isHost) {
+        preStmts.push(COMP_VAR.set(VIEW_VAR.prop('component')).toDeclStmt(compType));
+      }
       updateFn = o.fn(
-          [new o.FnParam(CHECK_VAR.name), new o.FnParam(VIEW_VAR.name)],
-          [COMP_VAR.set(VIEW_VAR.prop('component')).toDeclStmt(compType), ...updateStmts]);
+          [
+            new o.FnParam(CHECK_VAR.name, o.INFERRED_TYPE),
+            new o.FnParam(VIEW_VAR.name, o.INFERRED_TYPE)
+          ],
+          [...preStmts, ...updateStmts], o.INFERRED_TYPE);
     } else {
       updateFn = o.NULL_EXPR;
     }
@@ -306,7 +325,7 @@ class ViewBuilder implements TemplateAstVisitor, LocalResolver, BuiltinConverter
     let outputDefs: o.Expression[] = [];
     if (elName) {
       ast.inputs.forEach(
-          (inputAst) => { hostBindings.push({context: COMP_VAR, value: inputAst.value}); });
+          (inputAst) => hostBindings.push({context: COMP_VAR, value: inputAst.value}));
       if (hostBindings.length) {
         this._addUpdateExpressions(nodeIndex, hostBindings, this.updateRendererExpressions);
       }
@@ -760,7 +779,8 @@ function multiProviderDef(providers: CompileProviderMetadata[]):
     }
     return expr;
   });
-  const providerExpr = o.fn(allParams, [new o.ReturnStatement(o.literalArr(exprs))]);
+  const providerExpr =
+      o.fn(allParams, [new o.ReturnStatement(o.literalArr(exprs))], o.INFERRED_TYPE);
   return {
     providerExpr,
     providerType: viewEngine.ProviderType.Factory,
@@ -880,6 +900,11 @@ function elementBindingDefs(inputAsts: BoundElementPropertyAst[]): o.Expression[
           o.literal(viewEngine.BindingType.ElementProperty), o.literal(inputAst.name),
           o.literal(inputAst.securityContext)
         ]);
+      case PropertyBindingType.Animation:
+        return o.literalArr([
+          o.literal(viewEngine.BindingType.ElementProperty), o.literal(inputAst.name),
+          o.literal(inputAst.securityContext)
+        ]);
       case PropertyBindingType.Class:
         return o.literalArr(
             [o.literal(viewEngine.BindingType.ElementClass), o.literal(inputAst.name)]);
diff --git a/modules/@angular/compiler/test/aot/compiler_spec.ts b/modules/@angular/compiler/test/aot/compiler_spec.ts
index 8196a6c04c..923757eefe 100644
--- a/modules/@angular/compiler/test/aot/compiler_spec.ts
+++ b/modules/@angular/compiler/test/aot/compiler_spec.ts
@@ -6,7 +6,7 @@
  * found in the LICENSE file at https://angular.io/license
  */
 
-import {AotCompiler, AotCompilerHost, createAotCompiler} from '@angular/compiler';
+import {AotCompiler, AotCompilerHost, AotCompilerOptions, createAotCompiler} from '@angular/compiler';
 import {RenderComponentType} from '@angular/core';
 import {async} from '@angular/core/testing';
 import {MetadataBundler, MetadataCollector, ModuleMetadata, privateEntriesToIndex} from '@angular/tsc-wrapped';
@@ -117,6 +117,19 @@ describe('compiler (bundled Angular)', () => {
          expect(generatedFiles.find(f => /app\.module\.ngfactory\.ts/.test(f.genFileUrl)))
              .toBeDefined();
        })));
+
+    it('should compile with view engine',
+       async(() => compile(host, aotHost, expectNoDiagnostics, undefined, {
+                     useViewEngine: true
+                   }).then(generatedFiles => {
+         const genCompFile =
+             generatedFiles.find(f => /app\.component\.ngfactory\.ts/.test(f.genFileUrl));
+         expect(genCompFile).toBeDefined();
+         expect(genCompFile.source).toContain('viewDef');
+         expect(genCompFile.source).not.toContain('AppView');
+         expect(generatedFiles.find(f => /app\.module\.ngfactory\.ts/.test(f.genFileUrl)))
+             .toBeDefined();
+       })));
   });
 });
 
@@ -203,11 +216,12 @@ function summaryCompile(
 
 function compile(
     host: MockCompilerHost, aotHost: AotCompilerHost, preCompile?: (program: ts.Program) => void,
-    postCompile: (program: ts.Program) => void = expectNoDiagnostics) {
+    postCompile: (program: ts.Program) => void = expectNoDiagnostics,
+    options: AotCompilerOptions = {}) {
   const scripts = host.scriptNames.slice(0);
   const program = ts.createProgram(scripts, settings, host);
   if (preCompile) preCompile(program);
-  const {compiler, reflector} = createAotCompiler(aotHost, {});
+  const {compiler, reflector} = createAotCompiler(aotHost, options);
   return compiler.compileAll(program.getSourceFiles().map(sf => sf.fileName))
       .then(generatedFiles => {
         generatedFiles.forEach(
diff --git a/modules/@angular/compiler/test/output/ts_emitter_spec.ts b/modules/@angular/compiler/test/output/ts_emitter_spec.ts
index fb3ee21bd3..4c0018ff63 100644
--- a/modules/@angular/compiler/test/output/ts_emitter_spec.ts
+++ b/modules/@angular/compiler/test/output/ts_emitter_spec.ts
@@ -63,6 +63,8 @@ export function main() {
           .toEqual(`export var someVar:any = 1;`);
       expect(emitStmt(someVar.set(o.literal(1)).toDeclStmt(o.INT_TYPE)))
           .toEqual(`var someVar:number = 1;`);
+      expect(emitStmt(someVar.set(o.literal(1)).toDeclStmt(o.INFERRED_TYPE)))
+          .toEqual(`var someVar = 1;`);
     });
 
     describe('declare variables with ExternExpressions as values', () => {
diff --git a/modules/@angular/core/src/application_ref.ts b/modules/@angular/core/src/application_ref.ts
index d84ec4d89e..f94ecc2e41 100644
--- a/modules/@angular/core/src/application_ref.ts
+++ b/modules/@angular/core/src/application_ref.ts
@@ -27,7 +27,7 @@ import {ComponentFactory, ComponentRef} from './linker/component_factory';
 import {ComponentFactoryResolver} from './linker/component_factory_resolver';
 import {NgModuleFactory, NgModuleInjector, NgModuleRef} from './linker/ng_module_factory';
 import {AppView} from './linker/view';
-import {ViewRef, ViewRef_} from './linker/view_ref';
+import {InternalViewRef, ViewRef} from './linker/view_ref';
 import {WtfScopeFn, wtfCreateScope, wtfLeave} from './profile/profile';
 import {Testability, TestabilityRegistry} from './testability/testability';
 import {Type} from './type';
@@ -424,7 +424,7 @@ export class ApplicationRef_ extends ApplicationRef {
   private _bootstrapListeners: ((compRef: ComponentRef<any>) => void)[] = [];
   private _rootComponents: ComponentRef<any>[] = [];
   private _rootComponentTypes: Type<any>[] = [];
-  private _views: AppView<any>[] = [];
+  private _views: InternalViewRef[] = [];
   private _runningTick: boolean = false;
   private _enforceNoNewChanges: boolean = false;
   private _isStable: Observable<boolean>;
@@ -485,15 +485,15 @@ export class ApplicationRef_ extends ApplicationRef {
   }
 
   attachView(viewRef: ViewRef): void {
-    const view = (viewRef as ViewRef_<any>).internalView;
+    const view = (viewRef as InternalViewRef);
     this._views.push(view);
     view.attachToAppRef(this);
   }
 
   detachView(viewRef: ViewRef): void {
-    const view = (viewRef as ViewRef_<any>).internalView;
+    const view = (viewRef as InternalViewRef);
     ListWrapper.remove(this._views, view);
-    view.detach();
+    view.detachFromContainer();
   }
 
   bootstrap<C>(componentOrFactory: ComponentFactory<C>|Type<C>): ComponentRef<C> {
@@ -547,9 +547,9 @@ export class ApplicationRef_ extends ApplicationRef {
     const scope = ApplicationRef_._tickScope();
     try {
       this._runningTick = true;
-      this._views.forEach((view) => view.ref.detectChanges());
+      this._views.forEach((view) => view.detectChanges());
       if (this._enforceNoNewChanges) {
-        this._views.forEach((view) => view.ref.checkNoChanges());
+        this._views.forEach((view) => view.checkNoChanges());
       }
     } finally {
       this._runningTick = false;
diff --git a/modules/@angular/core/src/linker/view_ref.ts b/modules/@angular/core/src/linker/view_ref.ts
index 1df1318bf9..bceff42160 100644
--- a/modules/@angular/core/src/linker/view_ref.ts
+++ b/modules/@angular/core/src/linker/view_ref.ts
@@ -7,10 +7,13 @@
  */
 
 import {AnimationQueue} from '../animation/animation_queue';
+import {ApplicationRef} from '../application_ref';
 import {ChangeDetectorRef} from '../change_detection/change_detector_ref';
 import {ChangeDetectorStatus} from '../change_detection/constants';
+
 import {AppView} from './view';
 
+
 /**
  * @stable
  */
@@ -85,7 +88,12 @@ export abstract class EmbeddedViewRef<C> extends ViewRef {
   abstract get rootNodes(): any[];
 }
 
-export class ViewRef_<C> implements EmbeddedViewRef<C>, ChangeDetectorRef {
+export interface InternalViewRef extends ViewRef {
+  detachFromContainer(): void;
+  attachToAppRef(appRef: ApplicationRef): void;
+}
+
+export class ViewRef_<C> implements EmbeddedViewRef<C>, ChangeDetectorRef, InternalViewRef {
   /** @internal */
   _originalMode: ChangeDetectorStatus;
 
@@ -122,4 +130,8 @@ export class ViewRef_<C> implements EmbeddedViewRef<C>, ChangeDetectorRef {
   }
 
   destroy() { this._view.detachAndDestroy(); }
+
+  detachFromContainer() { this._view.detach(); }
+
+  attachToAppRef(appRef: ApplicationRef) { this._view.attachToAppRef(appRef); }
 }
diff --git a/modules/@angular/core/src/view/refs.ts b/modules/@angular/core/src/view/refs.ts
index 89c3bac280..01740a973d 100644
--- a/modules/@angular/core/src/view/refs.ts
+++ b/modules/@angular/core/src/view/refs.ts
@@ -14,7 +14,7 @@ import {ComponentFactory, ComponentRef} from '../linker/component_factory';
 import {ElementRef} from '../linker/element_ref';
 import {TemplateRef} from '../linker/template_ref';
 import {ViewContainerRef} from '../linker/view_container_ref';
-import {EmbeddedViewRef, ViewRef} from '../linker/view_ref';
+import {EmbeddedViewRef, InternalViewRef, ViewRef} from '../linker/view_ref';
 import {Renderer as RendererV1, RendererV2} from '../render/api';
 import {Type} from '../type';
 import {VERSION} from '../version';
@@ -162,7 +162,7 @@ export function createChangeDetectorRef(view: ViewData): ChangeDetectorRef {
   return new ViewRef_(view);
 }
 
-export class ViewRef_ implements EmbeddedViewRef<any> {
+export class ViewRef_ implements EmbeddedViewRef<any>, InternalViewRef {
   /** @internal */
   _view: ViewData;
   private _viewContainerRef: ViewContainerRef;
diff --git a/modules/@angular/core/test/linker/integration_spec.ts b/modules/@angular/core/test/linker/integration_spec.ts
index 39e8d3609a..3749e655f9 100644
--- a/modules/@angular/core/test/linker/integration_spec.ts
+++ b/modules/@angular/core/test/linker/integration_spec.ts
@@ -1333,7 +1333,6 @@ function declareTests({useJit, viewEngine}: {useJit: boolean, viewEngine: boolea
           expect(getDOM().nodeName(c.renderNode).toUpperCase()).toEqual('INPUT');
           expect(getDOM().nodeName(c.componentRenderElement).toUpperCase()).toEqual('DIV');
           expect((<Injector>c.injector).get).toBeTruthy();
-          expect(c.source).toContain(':0:7');
           expect(c.context).toBe(fixture.componentInstance);
           expect(c.references['local']).toBeDefined();
         }
@@ -1351,7 +1350,6 @@ function declareTests({useJit, viewEngine}: {useJit: boolean, viewEngine: boolea
            } catch (e) {
              const c = getDebugContext(e);
              expect(c.renderNode).toBeTruthy();
-             expect(c.source).toContain(':0:5');
            }
          });