diff --git a/blueprints/component/files/__root__/__path__/__name__.ts b/blueprints/component/files/__root__/__path__/__name__.ts
index c9a1b45a..b0d98cd9 100644
--- a/blueprints/component/files/__root__/__path__/__name__.ts
+++ b/blueprints/component/files/__root__/__path__/__name__.ts
@@ -1,7 +1,5 @@
-import Component from '@ember/component';
+<%= importComponent %>
 <%= importTemplate %>
-export default class <%= classifiedModuleName %> extends Component.extend({
-  // anything which *must* be merged to prototype here
-}) {<%= contents %>
-  // normal class body definition here
-};
+interface <%= classifiedModuleName %>ComponentArgs {}
+
+export default class <%= classifiedModuleName %>Component extends Component<<%= classifiedModuleName %>ComponentArgs> {}
diff --git a/blueprints/component/index.js b/blueprints/component/index.js
index 7d52375f..bb9b8b7b 100644
--- a/blueprints/component/index.js
+++ b/blueprints/component/index.js
@@ -1,12 +1,23 @@
 'use strict';
 
+const chalk = require('chalk');
 const path = require('path');
+const SilentError = require('silent-error');
 const stringUtil = require('ember-cli-string-utils');
 const pathUtil = require('ember-cli-path-utils');
 const getPathOption = require('ember-cli-get-component-path-option');
 const normalizeEntityName = require('ember-cli-normalize-entity-name');
-const EOL = require('os').EOL;
+const {EOL} = require('os');
+const {has} = require('@ember/edition-utils');
 
+const OCTANE = has('octane');
+
+// TODO: this should be reading from the @ember/canary-features module
+// need to refactor broccoli/features.js to be able to work more similarly
+// to https://github.com/emberjs/data/pull/6231
+const EMBER_GLIMMER_SET_COMPONENT_TEMPLATE = true;
+
+// intentionally avoiding use-edition-detector
 module.exports = {
   description: 'Generates a component.',
 
@@ -15,53 +26,209 @@ module.exports = {
       name: 'path',
       type: String,
       default: 'components',
-      aliases: [{ 'no-path': '' }],
+      aliases: [{'no-path': ''}]
+    },
+    {
+      name: 'component-class',
+      type: ['@ember/component', '@glimmer/component', '@ember/component/template-only', ''],
+      default: OCTANE ? '--no-component-class' : '@ember/component',
+      aliases: [
+        {cc: '@ember/component'},
+        {gc: '@glimmer/component'},
+        {tc: '@ember/component/template-only'},
+        {nc: ''},
+        {'no-component-class': ''},
+        {'with-component-class': OCTANE ? '@glimmer/component' : '@ember/component'}
+      ]
     },
+    {
+      name: 'component-structure',
+      type: OCTANE ? ['flat', 'nested', 'classic'] : ['classic'],
+      default: OCTANE ? 'flat' : 'classic',
+      aliases: OCTANE ? [{fs: 'flat'}, {ns: 'nested'}, {cs: 'classic'}] : [{cs: 'classic'}]
+    }
   ],
 
-  filesPath: function() {
-    let filesDirectory = 'files';
-    let dependencies = this.project.dependencies();
+  init() {
+    this._super && this._super.init.apply(this, arguments);
+    let isOctane = has('octane');
+
+    this.availableOptions.forEach(option => {
+      if (option.name === 'component-class') {
+        if (isOctane) {
+          option.default = '--no-component-class';
+        } else {
+          option.default = '@ember/component';
+        }
+      } else if (option.name === 'component-structure') {
+        if (isOctane) {
+          option.type = ['flat', 'nested', 'classic'];
+          option.default = 'flat';
+          option.aliases = [{fs: 'flat'}, {ns: 'nested'}, {cs: 'classic'}];
+        } else {
+          option.type = ['classic'];
+          option.default = 'classic';
+          option.aliases = [{cs: 'classic'}];
+        }
+      }
+    });
+
+    this.skippedJsFiles = new Set();
+    this.savedLocals = {};
+
+    this.EMBER_GLIMMER_SET_COMPONENT_TEMPLATE = EMBER_GLIMMER_SET_COMPONENT_TEMPLATE || isOctane;
+  },
 
-    if ('@glimmer/component' in dependencies) {
-      filesDirectory = 'glimmer-files';
+  install(options) {
+    // Normalize the `componentClass` option. This is usually handled for us,
+    // but we wanted to show '--no-component-class' as the default so that is
+    // what's passed to us literally if the user didn't override it.
+    if (options.componentClass === '--no-component-class') {
+      options.componentClass = '';
     }
 
-    return path.join(this.path, filesDirectory);
+    if (!this.EMBER_GLIMMER_SET_COMPONENT_TEMPLATE) {
+      if (options.componentClass !== '@ember/component') {
+        throw new SilentError(
+          'Usage of --component-class argument to `ember generate component` is only available on canary'
+        );
+      }
+
+      if (options.componentStructure !== 'classic') {
+        throw new SilentError(
+          'Usage of --component-structure argument to `ember generate component` is only available on canary'
+        );
+      }
+    }
+
+    return this._super.install.apply(this, arguments);
   },
 
-  fileMapTokens: function() {
-    return {
-      __path__: function(options) {
-        if (options.pod) {
+  uninstall(options) {
+    // Force the `componentClass` option to be non-empty. It doesn't really
+    // matter what it is set to. All we want is to delete the optional JS
+    // file if the user had created one (when using this generator, created
+    // manually, added later with component-class generator...).
+    options.componentClass = '@ember/component';
+
+    return this._super.uninstall.apply(this, arguments);
+  },
+
+  beforeInstall(options, locals) {
+    this.savedLocals = locals;
+  },
+
+  afterInstall(options) {
+    this._super.afterInstall.apply(this, arguments);
+
+    this.skippedJsFiles.forEach(file => {
+      let mapped = this.mapFile(file, this.savedLocals);
+      this.ui.writeLine(`  ${chalk.yellow('skip')} ${mapped}`);
+    });
+
+    if (this.skippedJsFiles.size > 0) {
+      let command = `ember generate component-class ${options.entity.name}`;
+      this.ui.writeLine(`  ${chalk.cyan('tip')} to add a class, run \`${command}\``);
+    }
+  },
+
+  fileMapTokens(options) {
+    let commandOptions = this.options;
+
+    if (commandOptions.pod) {
+      return {
+        __path__() {
           return path.join(options.podPath, options.locals.path, options.dasherizedModuleName);
-        } else {
+        },
+        __templatepath__() {
+          return path.join(options.podPath, options.locals.path, options.dasherizedModuleName);
+        },
+        __templatename__() {
+          return 'template';
+        }
+      };
+    } else if (
+      !this.EMBER_GLIMMER_SET_COMPONENT_TEMPLATE ||
+      commandOptions.componentStructure === 'classic'
+    ) {
+      return {
+        __path__() {
           return 'components';
+        },
+        __templatepath__() {
+          return 'templates/components';
+        },
+        __templatename__() {
+          return options.dasherizedModuleName;
         }
-      },
-      __templatepath__: function(options) {
-        if (options.pod) {
-          return path.join(options.podPath, options.locals.path, options.dasherizedModuleName);
+      };
+    } else if (
+      this.EMBER_GLIMMER_SET_COMPONENT_TEMPLATE &&
+      commandOptions.componentStructure === 'flat'
+    ) {
+      return {
+        __path__() {
+          return 'components';
+        },
+        __templatepath__() {
+          return 'components';
+        },
+        __templatename__() {
+          return options.dasherizedModuleName;
         }
-        return 'templates/components';
-      },
-      __templatename__: function(options) {
-        if (options.pod) {
-          return 'template';
+      };
+    } else if (
+      this.EMBER_GLIMMER_SET_COMPONENT_TEMPLATE &&
+      commandOptions.componentStructure === 'nested'
+    ) {
+      return {
+        __path__() {
+          return `components/${options.dasherizedModuleName}`;
+        },
+        __name__() {
+          return 'index';
+        },
+        __templatepath__() {
+          return `components/${options.dasherizedModuleName}`;
+        },
+        __templatename__() {
+          return `index`;
         }
-        return options.dasherizedModuleName;
-      },
-    };
+      };
+    }
   },
 
-  normalizeEntityName: function(entityName) {
-    return normalizeEntityName(entityName);
+  files() {
+    let files = this._super.files.apply(this, arguments);
+
+    if (this.EMBER_GLIMMER_SET_COMPONENT_TEMPLATE && this.options.componentClass === '') {
+      files = files.filter(file => {
+        if (file.endsWith('.js')) {
+          this.skippedJsFiles.add(file);
+          return false;
+        } else {
+          return true;
+        }
+      });
+    }
+
+    return files;
+  },
+
+  normalizeEntityName(entityName) {
+    return normalizeEntityName(
+      entityName.replace(/\.js$/, '') //Prevent generation of ".js.js" files
+    );
   },
 
-  locals: function(options) {
+  locals(options) {
+    let sanitizedModuleName = options.entity.name.replace(/\//g, '-');
+    let classifiedModuleName = stringUtil.classify(sanitizedModuleName);
+
     let templatePath = '';
+    let importComponent = '';
     let importTemplate = '';
-    let contents = '';
+    let defaultExport = '';
 
     // if we're in an addon, build import statement
     if (options.project.isEmberCLIAddon() || (options.inRepoAddon && !options.inDummy)) {
@@ -73,14 +240,38 @@ module.exports = {
           'templates/components/' +
           stringUtil.dasherize(options.entity.name);
       }
-      importTemplate = '// @ts-ignore: Ignore import of compiled template' + EOL + 'import layout from \'' + templatePath + '\';' + EOL;
-      contents = EOL + '  layout = layout;';
+    }
+
+    let componentClass = this.EMBER_GLIMMER_SET_COMPONENT_TEMPLATE
+      ? options.componentClass
+      : '@ember/component';
+
+    switch (componentClass) {
+      case '@ember/component':
+        importComponent = `import Component from '@ember/component';`;
+        if (templatePath) {
+          importTemplate = `import layout from '${templatePath}';${EOL}`;
+          defaultExport = `Component.extend({${EOL}  layout${EOL}});`;
+        } else {
+          defaultExport = `Component.extend({${EOL}});`;
+        }
+        break;
+      case '@glimmer/component':
+        importComponent = `import Component from '@glimmer/component';`;
+        defaultExport = `class ${classifiedModuleName}Component extends Component {${EOL}}`;
+        break;
+      case '@ember/component/template-only':
+        importComponent = `import templateOnly from '@ember/component/template-only';`;
+        defaultExport = `templateOnly();`;
+        break;
     }
 
     return {
-      importTemplate: importTemplate,
-      contents: contents,
+      importTemplate,
+      importComponent,
+      defaultExport,
       path: getPathOption(options),
+      componentClass: options.componentClass
     };
-  },
+  }
 };