diff --git a/AURELIO_INTEGRATION.md b/AURELIO_INTEGRATION.md
index e22944a25..8b8ccbf0b 100644
--- a/AURELIO_INTEGRATION.md
+++ b/AURELIO_INTEGRATION.md
@@ -561,21 +561,28 @@ class AurelioAgentSchema:
 
 ## Implementation Roadmap
 
-### Stage 1: Core Safety Infrastructure (Week 1-2)
+### Stage 1: Bare-Metal Hypervisor Skeleton ✅ Implemented
 
 **Deliverables**:
-- Memory safety framework with bounds checking
-- Production-safe assertion system
-- Thread-safe locking mechanisms
-- Basic agent sandbox implementation
+- Bootable bare-metal kernel for QEMU ARM virt
+- Assembly startup with stack/BSS setup
+- PL011 UART driver for serial output
+- Build system using `arm-none-eabi-gcc`
 
 **Code Components**:
-```python
-# Core safety modules
-- AurelioMemorySafety
-- AurelioSafetyChecks  
-- AurelioThreadSafeLocking
-- AurelioAgentSandbox (basic)
+| File | Purpose |
+|------|---------|
+| `kernel/arch/arm/boot.S` | ARMv7 assembly entry point |
+| `kernel/arch/arm/linker.ld` | Memory layout for QEMU virt |
+| `kernel/arch/arm/uart.c` / `uart.h` | PL011 UART driver |
+| `kernel/kernel.c` | `kernel_main()` entry point |
+| `kernel/Makefile` | Cross-compilation and QEMU launch |
+| `kernel/README.md` | Build and run instructions |
+
+**Verification**: `make run` boots the kernel in QEMU and prints:
+```
+Universalisos type-1 hypervisor booted.
+Stage 1: bare-metal skeleton running on QEMU ARM virt.
 ```
 
 ### Stage 2: Code Generation Pipeline (Week 3-4)
@@ -805,12 +812,14 @@ This Aurelio integration plan establishes a comprehensive mapping from PikeOS 5.
 
 ---
 
-**Status**: ✅ **Complete**
+**Status**: 🔄 **In Progress**
 
-This integration plan provides the blueprint for implementing Universalisos type-1 hypervisor patterns in Aurelio cyber-physical brain, establishing a safety-critical foundation for agent-based orchestration with real-time guarantees and hardware-level isolation.
+Stage 1 (bare-metal hypervisor skeleton) is complete and boots in QEMU. The
+original Python mapping has been discarded in favor of a real C implementation.
 
 **Next Steps**:
-- Implement Stage 1 safety infrastructure
-- Develop code generation pipeline
-- Build agent orchestration system
-- Integrate hypervisor patterns for agent isolation
+- Add C safety primitives (bounds checking, assertions, spinlocks)
+- Add exception vector table and basic trap handling
+- Implement a simple UART console shell
+- Bring up a second CPU core (SMP bring-up)
+- Begin Stage 2: code generation and build integration
diff --git a/README.md b/README.md
index cc8f29794..541b3caaf 100644
--- a/README.md
+++ b/README.md
@@ -14,6 +14,7 @@ Universalisos is our safety-critical type-1 hypervisor foundation for cyber-phys
 
 ```
 universalisos/
+├── kernel/       # Universalisos type-1 hypervisor implementation (C)
 ├── src/          # PikeOS source code import
 ├── test/         # PikeOS test framework source code
 ├── docs/         # Complete PDF documentation
@@ -24,9 +25,11 @@ universalisos/
 
 ## Project Status
 
-**Current Phase**: Repository Creation and Environment Setup (Day 1-2)
+**Current Phase**: Stage 1 — Bare-Metal Hypervisor Skeleton
 
-This repository is being populated with the complete PikeOS ecosystem from the Nextcloud source at `cloud.portugalfuturista.org/s/devmm-arch`.
+The PikeOS 5.0 ecosystem import is complete. Active work now focuses on the
+Universalisos type-1 hypervisor itself, starting with a bootable bare-metal
+skeleton for QEMU ARM virt.
 
 ## Development Environment Setup
 
@@ -42,11 +45,25 @@ See [BUILD_ENVIRONMENT.md](BUILD_ENVIRONMENT.md) for detailed setup instructions
 ## Documentation
 
 - [BUILD_ENVIRONMENT.md](BUILD_ENVIRONMENT.md) - Development environment setup and build process
-- [XSD_WORKFLOW_ANALYSIS.md](XSD_WORKFLOW_ANALYSIS.md) - XSD → C code generation workflow (planned)
-- [AUTOSAR_CPP.md](AUTOSAR_CPP.md) - Safety-critical compliance documentation (planned)
-- [COMPONENTS.md](COMPONENTS.md) - Component categorization and architecture (planned)
-- [HYPERVISOR.md](HYPERVISOR.md) - Type-1 hypervisor design documentation (planned)
-- [AURELIO_INTEGRATION.md](AURELIO_INTEGRATION.md) - PikeOS → Aurelio integration plan (planned)
+- [kernel/README.md](kernel/README.md) - Stage 1 bare-metal kernel build/run guide
+- [AURELIO_INTEGRATION.md](AURELIO_INTEGRATION.md) - PikeOS → Aurelio integration plan
+- [XSD_WORKFLOW_ANALYSIS.md](XSD_WORKFLOW_ANALYSIS.md) - XSD → C code generation workflow
+- [AUTOSAR_CPP.md](AUTOSAR_CPP.md) - Safety-critical compliance analysis
+- [COMPONENTS.md](COMPONENTS.md) - Component categorization and architecture
+- [HYPERVISOR.md](HYPERVISOR.md) - Type-1 hypervisor design documentation
+
+## Hypervisor Kernel (C)
+
+The `kernel/` directory contains the actual Universalisos type-1 hypervisor
+implementation. Stage 1 is a bootable bare-metal skeleton for QEMU ARM virt:
+
+```bash
+cd kernel
+make
+make run
+```
+
+See [kernel/README.md](kernel/README.md) for details.
 
 ## Source Material