diff --git a/api/CHANGELOG.md b/api/CHANGELOG.md
index 067bb192a6..0dcfbd94d6 100644
--- a/api/CHANGELOG.md
+++ b/api/CHANGELOG.md
@@ -8,6 +8,7 @@ All notable changes to the **Prowler API** are documented in this file.
 
 - Attack Paths: AWS Neptune is now supported as a persistent sink database, selectable via `ATTACK_PATHS_SINK_DATABASE=neptune` (default `neo4j`), Cartography's (bumped to 0.138.1) per-scan ingest database stays on Neo4j [(#11524)](https://github.com/prowler-cloud/prowler/pull/11524)
 - Attack Paths: Scan task now checks the ingest Neo4j database and configured graph sink before starting graph ingestion [(#11743)](https://github.com/prowler-cloud/prowler/pull/11743)
+- Disable PowerShell telemetry in the API container image [(#11746)](https://github.com/prowler-cloud/prowler/pull/11746)
 
 ---
 
diff --git a/api/Dockerfile b/api/Dockerfile
index 9da0ffafed..9263d2c24e 100644
--- a/api/Dockerfile
+++ b/api/Dockerfile
@@ -4,6 +4,8 @@ LABEL maintainer="https://github.com/prowler-cloud/api"
 
 ARG POWERSHELL_VERSION=7.5.0
 ENV POWERSHELL_VERSION=${POWERSHELL_VERSION}
+# Opt out of PowerShell telemetry (Application Insights -> dc.services.visualstudio.com)
+ENV POWERSHELL_TELEMETRY_OPTOUT=1
 
 ARG TRIVY_VERSION=0.71.2
 ENV TRIVY_VERSION=${TRIVY_VERSION}