Bug report

Describe the bug

When creating a production build in development (Weird use case, I know, but I use this to test a compiled app with development settings), next appears to be confused about whether to use jsx or jsxDEV.

The app appears to have SSG rendered fine (I get a brief flash of content,) however when hydration is triggered on the client, the #__next div is emptied, and an infinite error loop occurs. Thousands of TypeError: Object(...) is not a function (Object(o.jsxDEV)(...) in source) errors appear in the console.

I don't know how next handles the JSX transform, but my guess is next build doesn't include jsxDEV on the client, somehow breaking the app.

TypeError: Object(...) is not a function
    at r.default (_app-b6e6c2c671f93d19d381.js:1)
    at no (framework.4ed712e956e4440973f2.js:1)
    at ju (framework.4ed712e956e4440973f2.js:1)
    at xi (framework.4ed712e956e4440973f2.js:1)
    at Si (framework.4ed712e956e4440973f2.js:1)
    at ki (framework.4ed712e956e4440973f2.js:1)
    at pi (framework.4ed712e956e4440973f2.js:1)
    at ii (framework.4ed712e956e4440973f2.js:1)
    at Ki (framework.4ed712e956e4440973f2.js:1)
    at framework.4ed712e956e4440973f2.js:1

r.default = function(e) {
  var r = e.Component
    , t = e.pageProps;

  // Error occurs here:

  return Object(o.jsxDEV)(r, function(e) {
    for (var r = 1; r < arguments.length; r++) {
      var t = null != arguments[r] ? arguments[r] : {};
      r % 2 ? c(Object(t), !0).forEach((function(r) {
          n(e, r, t[r])
        }
      )) : Object.getOwnPropertyDescriptors ? Object.defineProperties(e, Object.getOwnPropertyDescriptors(t)) : c(Object(t)).forEach((function(r) {
          Object.defineProperty(e, r, Object.getOwnPropertyDescriptor(t, r))
        }
      ))
    }
    return e
  }({}, t), void 0, !1, {
    fileName: "[...]/jsxdev-repro/pages/_app.js",
    lineNumber: 4,
    columnNumber: 10
  }, this)
}

To Reproduce

Pretty straightforward to reproduce:

npx create-next-app jsxdev-repro
cd jsxdev-repro
NODE_ENV=development npm run build
npm start

Open site in a browser

Expected behavior

• Client should correctly compile with jsx or jsxDEV
• Hydration should not fail into a blank page state
• Hydration should not enter an infinite loop

Screenshots

System information

• macOS
• Tested in firefox & chrome
• Next 10.0.1
• React(-dom) 17.0.1
• Node 14.13

Additional context

Add any other context about the problem here.