Upgrade React Project to Next.js -- 2

I have a React v17 project that needs upgrading to Next.js. The primary goal is to improve performance and enhance caching through a server-side caching strategy. The project is currently in development, but its dependencies are outdated and some features are not well-suited for React. Also when I ran the project using VScode, I encountered an error "Error: Runnign the project in a VSCode terminal is not supported." Attached is the current project. I look forward to your approach.