Does Gameloft offer a free upgrade to PS5 versions from already owned PS4 versions of Dreamlight Valley?

Yes, Gameloft offers a free upgrade from the PS4 version to the PS5 version of Disney Dreamlight Valley. To upgrade:

Sign in on your PS5: Use the same PlayStation Network (PSN) account associated with your PS4 version.
Insert the PS4 game disc (if applicable): If you own a physical copy, insert the disc into your PS5 console. Note: This requires a PS5 model with a disc drive.
Access the game hub: Navigate to the game hub for Disney Dreamlight Valley on your PS5.
Select the upgrade offer: In the game hub, choose the upgrade offer for the PS5 version.
Download the PS5 version: Follow the prompts to download the upgraded version.

After installation, you can play the PS5 version. If you have a physical copy, ensure the PS4 disc is inserted each time you play.

For detailed instructions, refer to PlayStation's official guide on upgrading PS4 games to PS5 versions.