diff --git a/services/surfaceflinger/SurfaceFlinger.cpp b/services/surfaceflinger/SurfaceFlinger.cpp
index 06dd903..0aaab0c 100644
--- a/services/surfaceflinger/SurfaceFlinger.cpp
+++ b/services/surfaceflinger/SurfaceFlinger.cpp
@@ -73,7 +73,6 @@
 #include "LayerDim.h"
 #include "MonitoredProducer.h"
 #include "SurfaceFlinger.h"
-#include "VrStateCallbacks.h"
 
 #include "DisplayHardware/FramebufferSurface.h"
 #include "DisplayHardware/HWComposer.h"
@@ -118,6 +117,7 @@
 bool SurfaceFlinger::useHwcForRgbToYuv;
 uint64_t SurfaceFlinger::maxVirtualDisplaySize;
 bool SurfaceFlinger::hasSyncFramework;
+bool SurfaceFlinger::useVrFlinger;
 
 SurfaceFlinger::SurfaceFlinger()
     :   BnSurfaceComposer(),
@@ -136,7 +136,6 @@
         mVisibleRegionsDirty(false),
         mGeometryInvalid(false),
         mAnimCompositionPending(false),
-        mVrModeSupported(0),
         mDebugRegion(0),
         mDebugDDMS(0),
         mDebugDisableHWC(0),
@@ -156,10 +155,8 @@
         mFrameBuckets(),
         mTotalTime(0),
         mLastSwapTime(0),
-        mNumLayers(0)
-#ifdef USE_HWC2
-        ,mEnterVrMode(false)
-#endif
+        mNumLayers(0),
+        mVrFlingerRequestsDisplay(false)
 {
     ALOGI("SurfaceFlinger is starting");
 
@@ -184,13 +181,13 @@
     maxVirtualDisplaySize = getUInt64<ISurfaceFlingerConfigs,
             &ISurfaceFlingerConfigs::maxVirtualDisplaySize>(0);
 
+    // Vr flinger is only enabled on Daydream ready devices.
+    useVrFlinger = getBool< ISurfaceFlingerConfigs,
+            &ISurfaceFlingerConfigs::useVrFlinger>(false);
+
     // debugging stuff...
     char value[PROPERTY_VALUE_MAX];
 
-    // TODO (urbanus): remove once b/35319396 is fixed.
-    property_get("ro.boot.vr", value, "0");
-    mVrModeSupported = atoi(value);
-
     property_get("ro.bq.gpu_to_cpu_unsupported", value, "0");
     mGpuToCpuSupported = !atoi(value);
 
@@ -231,14 +228,6 @@
     EGLDisplay display = eglGetDisplay(EGL_DEFAULT_DISPLAY);
     eglMakeCurrent(display, EGL_NO_SURFACE, EGL_NO_SURFACE, EGL_NO_CONTEXT);
     eglTerminate(display);
-
-    if (mVrStateCallbacks.get()) {
-        sp<IVrManager> vrManagerService = interface_cast<IVrManager>(
-            defaultServiceManager()->checkService(String16("vrmanager")));
-        if (vrManagerService.get()) {
-            vrManagerService->unregisterListener(mVrStateCallbacks);
-        }
-    }
 }
 
 void SurfaceFlinger::binderDied(const wp<IBinder>& /* who */)
@@ -365,6 +354,10 @@
         window->linkToDeath(static_cast<IBinder::DeathRecipient*>(this));
     }
 
+    if (mVrFlinger) {
+      mVrFlinger->OnBootFinished();
+    }
+
     // stop boot animation
     // formerly we would just kill the process, but we now ask it to exit so it
     // can choose where to stop the animation.
@@ -373,13 +366,6 @@
     const int LOGTAG_SF_STOP_BOOTANIM = 60110;
     LOG_EVENT_LONG(LOGTAG_SF_STOP_BOOTANIM,
                    ns2ms(systemTime(SYSTEM_TIME_MONOTONIC)));
-
-    sp<IVrManager> vrManagerService = interface_cast<IVrManager>(
-        defaultServiceManager()->checkService(String16("vrmanager")));
-    if (vrManagerService.get()) {
-        mVrStateCallbacks = new VrStateCallbacks(*this);
-        vrManagerService->registerListener(mVrStateCallbacks);
-    }
 }
 
 void SurfaceFlinger::deleteTextureAsync(uint32_t texture) {
@@ -575,13 +561,26 @@
     // Drop the state lock while we initialize the hardware composer. We drop
     // the lock because on creation, it will call back into SurfaceFlinger to
     // initialize the primary display.
-    LOG_ALWAYS_FATAL_IF(mEnterVrMode, "Starting in vr mode is not currently supported.");
+    LOG_ALWAYS_FATAL_IF(mVrFlingerRequestsDisplay,
+        "Starting with vr flinger active is not currently supported.");
     mRealHwc = new HWComposer(false);
     mHwc = mRealHwc;
     mHwc->setEventHandler(static_cast<HWComposer::EventHandler*>(this));
 
     Mutex::Autolock _l(mStateLock);
 
+    if (useVrFlinger) {
+        auto vrFlingerRequestDisplayCallback = [this] (bool requestDisplay) {
+            mVrFlingerRequestsDisplay = requestDisplay;
+            signalTransaction();
+        };
+        mVrFlinger = dvr::VrFlinger::Create(mHwc->getComposer(),
+                                            vrFlingerRequestDisplayCallback);
+        if (!mVrFlinger) {
+            ALOGE("Failed to start vrflinger");
+        }
+    }
+
     // retrieve the EGL context that was selected/created
     mEGLContext = mRenderEngine->getEGLContext();
 
@@ -1213,14 +1212,17 @@
     // transition.
     mDrawingState.displays.clear();
     mDisplays.clear();
+    initializeDisplays();
 }
 
-void SurfaceFlinger::updateVrMode() {
-    bool enteringVrMode = mEnterVrMode;
-    if (enteringVrMode == mHwc->isUsingVrComposer()) {
+void SurfaceFlinger::updateVrFlinger() {
+    if (!mVrFlinger)
+        return;
+    bool vrFlingerRequestsDisplay = mVrFlingerRequestsDisplay;
+    if (vrFlingerRequestsDisplay == mHwc->isUsingVrComposer()) {
         return;
     }
-    if (enteringVrMode && !mVrHwc) {
+    if (vrFlingerRequestsDisplay && !mVrHwc) {
         // Construct new HWComposer without holding any locks.
         mVrHwc = new HWComposer(true);
         ALOGV("Vr HWC created");
@@ -1228,25 +1230,13 @@
     {
         Mutex::Autolock _l(mStateLock);
 
-        if (enteringVrMode) {
-            // Start vrflinger thread, if it hasn't been started already.
-            if (!mVrFlinger) {
-                mVrFlinger = std::make_unique<dvr::VrFlinger>();
-                int err = mVrFlinger->Run(mHwc->getComposer());
-                if (err != NO_ERROR) {
-                    ALOGE("Failed to run vrflinger: %s (%d)", strerror(-err), err);
-                    mVrFlinger.reset();
-                    mEnterVrMode = false;
-                    return;
-                }
-            }
-
+        if (vrFlingerRequestsDisplay) {
             resetHwc();
 
             mHwc = mVrHwc;
-            mVrFlinger->EnterVrMode();
+            mVrFlinger->GrantDisplayOwnership();
         } else {
-            mVrFlinger->ExitVrMode();
+            mVrFlinger->SeizeDisplayOwnership();
 
             resetHwc();
 
@@ -1268,12 +1258,6 @@
     ATRACE_CALL();
     switch (what) {
         case MessageQueue::INVALIDATE: {
-            // TODO(eieio): Tied to a conditional until SELinux issues
-            // are resolved.
-            if (mVrModeSupported) {
-                updateVrMode();
-            }
-
             bool frameMissed = !mHadClientComposition &&
                     mPreviousPresentFence != Fence::NO_FENCE &&
                     (mPreviousPresentFence->getSignalTime() ==
@@ -1285,6 +1269,11 @@
                 break;
             }
 
+            // Now that we're going to make it to the handleMessageTransaction()
+            // call below it's safe to call updateVrFlinger(), which will
+            // potentially trigger a display handoff.
+            updateVrFlinger();
+
             bool refreshNeeded = handleMessageTransaction();
             refreshNeeded |= handleMessageInvalidate();
             refreshNeeded |= mRepaintEverything;