diff --git a/docs/playwright-tests-investigation.md b/docs/playwright-tests-investigation.md
index 9a1ea4911..c8be91c5a 100644
--- a/docs/playwright-tests-investigation.md
+++ b/docs/playwright-tests-investigation.md
@@ -49,15 +49,28 @@ Error: Cannot find module '.prisma/client/default'
 npm run db:generate  # Generate Prisma client before running tests
 ```
 
-#### 2. **Test Execution Without Prerequisites** ❌
-**Severity**: HIGH
+#### 2. **Prisma Client Configuration Error** ❌
+**Severity**: CRITICAL - Blocks all tests
 
-The Playwright tests assume:
-1. Dependencies are installed ✅ (works after `npm install`)
-2. Playwright browsers are installed ✅ (works after `npx playwright install chromium`)
-3. **Prisma client is generated** ❌ (MISSING - causes failures)
-4. Database is set up and migrated ⚠️ (not verified)
-5. Web server can start successfully ❌ (blocked by #3)
+**Error**:
+```
+Error [PrismaClientConstructorValidationError]: Using engine type "client" requires either "adapter" or "accelerateUrl" to be provided to PrismaClient constructor.
+```
+
+**Root Cause**: 
+- The Prisma schema is configured for SQLite
+- The application code at `frontends/nextjs/src/lib/config/prisma.ts:52` creates a PrismaClient instance
+- However, the Prisma client requires either:
+  - A database adapter parameter, OR  
+  - An accelerateUrl for Prisma Accelerate
+- Neither is provided in the current configuration
+
+**Impact**:
+- Dev server starts but crashes immediately when trying to access any page
+- Application cannot render any pages
+- All Playwright tests fail because the application is not functional
+
+**This is an APPLICATION BUG, not a test configuration issue.**
 
 ### Test Execution Results
 
@@ -130,11 +143,42 @@ The webServer configuration tries to start but fails repeatedly with Prisma clie
 
 **Answer to "Do playwright tests actually work?"**
 
-**NO** - The Playwright tests are properly configured but **cannot run successfully** due to a missing prerequisite: **Prisma client generation**.
+**NO** - The Playwright tests **cannot run successfully** due to two issues:
 
-The test files themselves are well-written and would work if the application could start. The root issue is that the Next.js application depends on Prisma client, which must be generated before the development server can start.
+1. **FIXED**: Missing Prisma client generation - Now automatically handled by updated webServer command
+2. **BLOCKING**: Prisma Client configuration error in the application
 
-**Fix Required**: Generate Prisma client before running tests, either manually or automatically via configuration changes.
+#### Issue 1: Prisma Client Generation (FIXED ✅)
+- **Root Cause**: Prisma client not generated before dev server start
+- **Solution Applied**: Updated `e2e/playwright.config.ts` webServer command to `npm run db:generate && npm run dev`
+- **Status**: Fixed - Prisma client now generates automatically before tests
+
+#### Issue 2: Prisma Client Configuration Error (BLOCKING ❌)
+- **Error**: `PrismaClientConstructorValidationError: Using engine type "client" requires either "adapter" or "accelerateUrl"`
+- **Location**: `frontends/nextjs/src/lib/config/prisma.ts:52`
+- **Root Cause**: The Prisma schema is configured to use SQLite, but the PrismaClient initialization at runtime requires either:
+  - A database adapter to be provided, OR
+  - An accelerateUrl for Prisma Accelerate
+- **Impact**: The Next.js application cannot start, preventing all E2E tests from running
+- **Status**: **This is an application bug**, not a testing infrastructure issue
+
+#### Test Infrastructure Assessment
+
+**✅ Working Correctly:**
+- Playwright installation and configuration
+- Browser (Chromium) installation
+- Test file structure and quality
+- WebServer configuration with auto-generation
+- Documentation and instructions
+
+**❌ Blocked By:**
+- Application-level Prisma configuration error
+- Cannot be fixed in test configuration alone
+
+**Next Steps to Enable Tests:**
+1. Fix the Prisma Client initialization in `frontends/nextjs/src/lib/config/prisma.ts`
+2. Ensure the application can start successfully with the SQLite database
+3. Once the application runs, the existing test infrastructure should work correctly
 
 ### Test Execution Commands (Corrected)