diff --git a/docs/JUPYTER_IMPLEMENTATION_STATUS.md b/docs/JUPYTER_IMPLEMENTATION_STATUS.md
index 088dbcf..e4aaa29 100644
--- a/docs/JUPYTER_IMPLEMENTATION_STATUS.md
+++ b/docs/JUPYTER_IMPLEMENTATION_STATUS.md
@@ -80,7 +80,15 @@
    - All 22 unit tests passing
    - Tests cover: creation, execution, shutdown, namespace, cleanup
 
-11. **Dependencies**
+11. **Container Image**
+   - ✅ Dockerfile.jupyter created and tested
+   - ✅ Built image: `mcp-forge/jupyter:latest` (196 MB)
+   - ✅ Base: mcp-forge/python:3.12 (python:3.12-slim)
+   - ✅ Includes: ipykernel 6.29.0, jupyter-client, pyzmq, ipython
+   - ✅ Verified: ipykernel imports and launcher works
+   - ✅ Build script: docker/build-images.sh
+
+12. **Dependencies**
    - `jupyter-client>=8.8.0` added to server dependencies
    - `ipykernel` removed from server (will be in container image)
    - `pyzmq>=27.1.0` for ZMQ support
@@ -93,10 +101,12 @@
 
 ### 🚧 In Progress / TODO
 
-1. **Container Image**
-   - [ ] Add `ipykernel` to `mcp-forge/jupyter:latest` image
-   - [ ] Configure kernel to accept ZMQ connections
-   - [ ] Test kernel startup in isolation
+1. **Integration Testing**
+   - [ ] Test real kernel startup with actual container
+   - [ ] Test ZMQ communication end-to-end
+   - [ ] Test code execution persistence
+   - [ ] Test MCP injection in real kernel
+   - [ ] Test port allocation and conflicts
 
 2. **Restart Implementation**
    - [ ] Use `KernelManager` instead of just `BlockingKernelClient`
@@ -164,11 +174,11 @@ Tests properly mock:
 
 ## Next Steps
 
-1. **Immediate** (Core functionality):
+1. **Immediate** (Integration testing):
    ```
-   1. Update container image with ipykernel
-   2. Test kernel startup with real container
-   3. Mock tests for unit testing
+   1. Create integration test for real kernel
+   2. Test with actual Podman container
+   3. Verify ZMQ communication works
    ```
 
 2. **Short-term** (Stability):