diff --git a/oni-compilation.el b/oni-compilation.el
index d11f395..c5c7444 100644
--- a/oni-compilation.el
+++ b/oni-compilation.el
@@ -4,8 +4,8 @@
 
 ;; Author: Tom Willemse <tom@ryuslash.org>
 ;; Keywords: local
-;; Version: 2019.0908.172111
-;; Package-Requires: (oni-alert)
+;; Version: 2019.0919.171849
+;; Package-Requires: (oni-alert xterm-color)
 
 ;; This program is free software; you can redistribute it and/or modify
 ;; it under the terms of the GNU General Public License as published by
@@ -28,6 +28,7 @@
 
 (require 'compile)
 (require 'subr-x)
+(require 'xterm-color)
 
 (setq compilation-scroll-output t)
 
@@ -45,10 +46,6 @@ ALIST and PLIST contain extra information about the buffer."
   (unless (string= (string-trim status) "finished")
     (display-buffer buffer)))
 
-(defun oni-compilation--ansi-color-for-compilation-filter ()
-  "Apply ANSI terminal escape codes to compilation output."
-  (ansi-color-apply-on-region compilation-filter-start (point)))
-
 (defun oni-compilation--compilation-finish-notify-function (buffer status)
   "Show an alert of the status of the compliation.
 
@@ -59,21 +56,26 @@ status of the process."
         (alert "Compilation finished succesfully")
       (alert "Compilation finished with an error"))))
 
+(defun oni-compilation--filter-xterm-colors (func proc string)
+  "Call FUNC with PROC and STRING filtered through ‘xterm-color-filter’."
+  (funcall func proc (xterm-color-filter string)))
+
+(setq compilation-environment '("TERM=xterm-256color"))
+
 (add-to-list 'display-buffer-alist
              '("\\`\\*compilation\\*\\'" display-buffer-in-side-window
                (side . bottom)
                (slot . 0)
                (window-height . 0.33)))
 
-(add-hook 'compilation-filter-hook
-          #'oni-compilation--ansi-color-for-compilation-filter)
-
 (add-hook 'compilation-finish-functions
           #'oni-compilation--maybe-display-compilation-window)
 
 (add-hook 'compilation-finish-functions
           #'oni-compilation--compilation-finish-notify-function)
 
+(advice-add 'compilation-filter :around #'oni-compilation--filter-xterm-colors)
+
 ;;;###autoload(with-eval-after-load 'compile (require 'oni-compilation))
 
 (provide 'oni-compilation)
diff --git a/oni-eshell.el b/oni-eshell.el
index 8530ca9..3126a1d 100644
--- a/oni-eshell.el
+++ b/oni-eshell.el
@@ -4,8 +4,8 @@
 
 ;; Author: Tom Willemse <tom@ryuslash.org>
 ;; Keywords: local
-;; Version: 2019.0908.165243
-;; Package-Requires: (eshell-fringe-status esh-autosuggest)
+;; Version: 2019.0919.172336
+;; Package-Requires: (eshell-fringe-status esh-autosuggest xterm-color)
 
 ;; This program is free software; you can redistribute it and/or modify
 ;; it under the terms of the GNU General Public License as published by
@@ -27,8 +27,10 @@
 ;;; Code:
 
 (require 'eshell)
+
 (require 'em-prompt)
 (require 'esh-autosuggest)
+(require 'xterm-color)
 
 (defun oni-eshell--C-d ()
   "Call `delete-char' or close the buffer if it fails."
@@ -48,14 +50,26 @@
   "Set `C-d' to quit eshell if used at end of prompt."
   (define-key eshell-mode-map (kbd "C-d") #'oni-eshell--C-d))
 
+(defun oni-eshell--set-xterm-variables ()
+  "Set ‘xterm-color-preserve-properties’ to t."
+  (setq xterm-color-preserve-properties t))
+
 (add-hook 'eshell-first-time-mode-hook #'oni-eshell--set-eshell-C-d)
 (add-hook 'eshell-load-hook #'oni-eshell--enable-truncating-buffers)
 (add-hook 'eshell-mode-hook 'esh-autosuggest-mode)
 (add-hook 'eshell-mode-hook 'goto-address-mode)
+(add-hook 'eshell-before-prompt-hook #'oni-eshell--set-xterm-variables)
 
 (when (display-graphic-p)
   (add-hook 'eshell-mode-hook 'eshell-fringe-status-mode))
 
+(add-to-list 'eshell-preoutput-filter-functions 'xterm-color-filter)
+
+(setq eshell-output-filter-functions
+      (remove 'eshell-handle-ansi-color eshell-output-filter-functions))
+
+(setenv "TERM" "xterm-256color")
+
 (add-to-list 'display-buffer-alist
              '("\\`\\*eshell" display-buffer-in-side-window
                (side . bottom)