diff --git a/src/compiler/commandLineParser.ts b/src/compiler/commandLineParser.ts
index 01e9ce86a33..57a3931dda4 100644
--- a/src/compiler/commandLineParser.ts
+++ b/src/compiler/commandLineParser.ts
@@ -758,6 +758,12 @@ namespace ts {
             optionDeclarations: typeAcquisitionDeclarations,
             extraKeyDiagnosticMessage: Diagnostics.Unknown_type_acquisition_option_0
         },
+        {
+            name: "typeAcquisition",
+            type: "object",
+            optionDeclarations: typeAcquisitionDeclarations,
+            extraKeyDiagnosticMessage: Diagnostics.Unknown_type_acquisition_option_0
+        },
         {
             name: "extends",
             type: "string"
@@ -1121,11 +1127,14 @@ namespace ts {
         }
         else {
             options = getDefaultCompilerOptions(configFileName);
-            typeAcquisition = getDefaultTypeAcquisition(configFileName);
+            let typingOptionstypeAcquisition: TypeAcquisition;
             const optionsIterator: JsonConversionNotifier = {
                 onSetOptionKeyValue(optionsObject: string, option: CommandLineOption, value: CompilerOptionsValue) {
-                    Debug.assert(optionsObject === "compilerOptions" || optionsObject === "typingOptions");
-                    const currentOption = optionsObject === "compilerOptions" ? options : typingOptions;
+                    Debug.assert(optionsObject === "compilerOptions" || optionsObject === "typeAcquisition" || optionsObject === "typingOptions");
+                    const currentOption = optionsObject === "compilerOptions" ? options :
+                        optionsObject === "typeAcquisition" ? (typeAcquisition || (typeAcquisition = getDefaultTypeAcquisition(configFileName)) ) :
+                            (typingOptionstypeAcquisition || (typingOptionstypeAcquisition = getDefaultTypeAcquisition(configFileName)));
+
                     currentOption[option.name] = normalizeOptionValue(option, basePath, value);
                 },
                 onRootKeyValue(key: string, propertyName: PropertyName, value: CompilerOptionsValue, node: Expression) {
@@ -1156,6 +1165,20 @@ namespace ts {
                 }
             };
             json = convertToJsonWorker(jsonNode, errors, getTsconfigRootOptionsMap(), optionsIterator);
+            if (!typeAcquisition) {
+                if (typingOptionstypeAcquisition) {
+                    typeAcquisition = (typingOptionstypeAcquisition.enableAutoDiscovery !== undefined) ?
+                        {
+                            enable: typingOptionstypeAcquisition.enableAutoDiscovery,
+                            include: typingOptionstypeAcquisition.include,
+                            exclude: typingOptionstypeAcquisition.exclude
+                        } :
+                        typingOptionstypeAcquisition;
+                }
+                else {
+                    typeAcquisition = getDefaultTypeAcquisition(configFileName);
+                }
+            }
         }
 
         if (json["extends"]) {
diff --git a/src/harness/unittests/convertTypeAcquisitionFromJson.ts b/src/harness/unittests/convertTypeAcquisitionFromJson.ts
index d8f8d040f53..535e7555f4f 100644
--- a/src/harness/unittests/convertTypeAcquisitionFromJson.ts
+++ b/src/harness/unittests/convertTypeAcquisitionFromJson.ts
@@ -2,19 +2,20 @@
 /// <reference path="..\..\compiler\commandLineParser.ts" />
 
 namespace ts {
+    type ExpectedResult = { typeAcquisition: TypeAcquisition, errors: Diagnostic[] };
     describe("convertTypeAcquisitionFromJson", () => {
-        function assertTypeAcquisition(json: any, configFileName: string, expectedResult: { typingOptions: TypingOptions, errors: Diagnostic[] }) {
+        function assertTypeAcquisition(json: any, configFileName: string, expectedResult: ExpectedResult) {
             assertTypeAcquisitionWithJson(json, configFileName, expectedResult);
             assertTypeAcquisitionWithJsonNode(json, configFileName, expectedResult);
         }
 
-        function assertTypeAcquisitionWithJson(json: any, configFileName: string, expectedResult: { typingOptions: TypingOptions, errors: Diagnostic[] }) {
-            const jsonOptions = json["typeAcquisition"] || json["typingOptions"];
-            const { options: actualTypeAcquisition, errors: actualErrors } = convertTypeAcquisitionFromJson(jsonOptions, "/apath/", configFileName);
+        function verifyAcquisition(actualTypeAcquisition: TypeAcquisition, expectedResult: ExpectedResult) {
             const parsedTypeAcquisition = JSON.stringify(actualTypeAcquisition);
             const expectedTypeAcquisition = JSON.stringify(expectedResult.typeAcquisition);
             assert.equal(parsedTypeAcquisition, expectedTypeAcquisition);
+        }
 
+        function verifyErrors(actualErrors: Diagnostic[], expectedResult: ExpectedResult, hasLocation?: boolean) {
             const expectedErrors = expectedResult.errors;
             assert.isTrue(expectedResult.errors.length === actualErrors.length, `Expected error: ${JSON.stringify(expectedResult.errors)}. Actual error: ${JSON.stringify(actualErrors)}.`);
             for (let i = 0; i < actualErrors.length; i++) {
@@ -22,32 +23,32 @@ namespace ts {
                 const expectedError = expectedErrors[i];
                 assert.equal(actualError.code, expectedError.code, `Expected error-code: ${JSON.stringify(expectedError.code)}. Actual error-code: ${JSON.stringify(actualError.code)}.`);
                 assert.equal(actualError.category, expectedError.category, `Expected error-category: ${JSON.stringify(expectedError.category)}. Actual error-category: ${JSON.stringify(actualError.category)}.`);
+                if (hasLocation) {
+                    assert(actualError.file);
+                    assert(actualError.start);
+                    assert(actualError.length);
+                }
             }
         }
 
-        function assertTypeAcquisitionWithJsonNode(json: any, configFileName: string, expectedResult: { typingOptions: TypingOptions, errors: Diagnostic[] }) {
+        function assertTypeAcquisitionWithJson(json: any, configFileName: string, expectedResult: ExpectedResult) {
+            const jsonOptions = json["typeAcquisition"] || json["typingOptions"];
+            const { options: actualTypeAcquisition, errors: actualErrors } = convertTypeAcquisitionFromJson(jsonOptions, "/apath/", configFileName);
+            verifyAcquisition(actualTypeAcquisition, expectedResult);
+            verifyErrors(actualErrors, expectedResult);
+        }
+
+        function assertTypeAcquisitionWithJsonNode(json: any, configFileName: string, expectedResult: ExpectedResult) {
             const fileText = JSON.stringify(json);
             const { node, errors } = parseJsonText(configFileName, fileText);
             assert(!errors.length);
             assert(!!node);
             const host: ParseConfigHost = new Utils.MockParseConfigHost("/apath/", true, []);
             const { typeAcquisition: actualTypeAcquisition, errors: actualParseErrors } = parseJsonNodeConfigFileContent(node, host, "/apath/", /*existingOptions*/ undefined, configFileName);
-            const parsedTypeAcquisition = JSON.stringify(actualTypeAcquisition);
-            const expectedTypeAcquisition = JSON.stringify(expectedResult.actualTypeAcquisition);
-            assert.equal(parsedTypeAcquisition, expectedTypeAcquisition);
+            verifyAcquisition(actualTypeAcquisition, expectedResult);
 
             const actualErrors = filter(actualParseErrors, error => error.code !== Diagnostics.No_inputs_were_found_in_config_file_0_Specified_include_paths_were_1_and_exclude_paths_were_2.code);
-            const expectedErrors = expectedResult.errors;
-            assert.isTrue(expectedResult.errors.length === actualErrors.length, `Expected error: ${JSON.stringify(expectedResult.errors)}. Actual error: ${JSON.stringify(actualErrors)}.`);
-            for (let i = 0; i < actualErrors.length; i++) {
-                const actualError = actualErrors[i];
-                const expectedError = expectedErrors[i];
-                assert.equal(actualError.code, expectedError.code, `Expected error-code: ${JSON.stringify(expectedError.code)}. Actual error-code: ${JSON.stringify(actualError.code)}.`);
-                assert.equal(actualError.category, expectedError.category, `Expected error-category: ${JSON.stringify(expectedError.category)}. Actual error-category: ${JSON.stringify(actualError.category)}.`);
-                assert(actualError.file);
-                assert(actualError.start);
-                assert(actualError.length);
-            }
+            verifyErrors(actualErrors, expectedResult, /*hasLocation*/ true);
         }
 
         // tsconfig.json