diff --git a/package/xterm/xterm.hash b/package/xterm/xterm.hash
index 4b68e4a85a..57d5a72b9a 100644
--- a/package/xterm/xterm.hash
+++ b/package/xterm/xterm.hash
@@ -1,4 +1,4 @@
 # Locally calculated after checking pgp signature
-sha256 8b1f5121dbf3690de9d85a3b9329e3357021705dd7c21da192e47542769275be xterm-348.tgz
+sha256 39a6a3d3724f9a0a068f8cc353ab0c82831f0a43abb24470d933af299658475f xterm-349.tgz
 # Locally calculated
 sha256 b0d302c6d67f63122bbe8d622dd8a66cfadccc32853f606b7558103609201993 COPYING
diff --git a/package/xterm/xterm.mk b/package/xterm/xterm.mk
index 9203536b0a..8cbfa070e2 100644
--- a/package/xterm/xterm.mk
+++ b/package/xterm/xterm.mk
@@ -4,7 +4,7 @@
 #
 ################################################################################
 
-XTERM_VERSION = 348
+XTERM_VERSION = 349
 XTERM_SOURCE = xterm-$(XTERM_VERSION).tgz
 XTERM_SITE = http://invisible-mirror.net/archives/xterm
 XTERM_DEPENDENCIES = ncurses xlib_libXaw host-pkgconf