diff --git a/res/color-night-v31/folder_background_dark.xml b/res/color-night-v31/folder_background_dark.xml
new file mode 100644
index 0000000..a5bd636
--- /dev/null
+++ b/res/color-night-v31/folder_background_dark.xml
@@ -0,0 +1,20 @@
+<?xml version="1.0" encoding="utf-8"?>
+<!-- Copyright (C) 2021 The Android Open Source Project
+
+     Licensed under the Apache License, Version 2.0 (the "License");
+     you may not use this file except in compliance with the License.
+     You may obtain a copy of the License at
+
+          http://www.apache.org/licenses/LICENSE-2.0
+
+     Unless required by applicable law or agreed to in writing, software
+     distributed under the License is distributed on an "AS IS" BASIS,
+     WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+     See the License for the specific language governing permissions and
+     limitations under the License.
+-->
+<selector xmlns:android="http://schemas.android.com/apk/res/android" >
+    <item
+        android:color="@android:color/system_neutral2_50"
+        android:lStar="30" />
+</selector>
diff --git a/res/color-night-v31/popup_color_first.xml b/res/color-night-v31/popup_color_first.xml
new file mode 100644
index 0000000..ba74128
--- /dev/null
+++ b/res/color-night-v31/popup_color_first.xml
@@ -0,0 +1,20 @@
+<?xml version="1.0" encoding="utf-8"?>
+<!-- Copyright (C) 2021 The Android Open Source Project
+
+     Licensed under the Apache License, Version 2.0 (the "License");
+     you may not use this file except in compliance with the License.
+     You may obtain a copy of the License at
+
+          http://www.apache.org/licenses/LICENSE-2.0
+
+     Unless required by applicable law or agreed to in writing, software
+     distributed under the License is distributed on an "AS IS" BASIS,
+     WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+     See the License for the specific language governing permissions and
+     limitations under the License.
+-->
+<selector xmlns:android="http://schemas.android.com/apk/res/android" >
+    <item
+        android:color="?attr/popupColorPrimary"
+        android:lStar="20" />
+</selector>
diff --git a/res/color-night-v31/popup_color_second.xml b/res/color-night-v31/popup_color_second.xml
new file mode 100644
index 0000000..efc6205
--- /dev/null
+++ b/res/color-night-v31/popup_color_second.xml
@@ -0,0 +1,20 @@
+<?xml version="1.0" encoding="utf-8"?>
+<!-- Copyright (C) 2021 The Android Open Source Project
+
+     Licensed under the Apache License, Version 2.0 (the "License");
+     you may not use this file except in compliance with the License.
+     You may obtain a copy of the License at
+
+          http://www.apache.org/licenses/LICENSE-2.0
+
+     Unless required by applicable law or agreed to in writing, software
+     distributed under the License is distributed on an "AS IS" BASIS,
+     WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+     See the License for the specific language governing permissions and
+     limitations under the License.
+-->
+<selector xmlns:android="http://schemas.android.com/apk/res/android" >
+    <item
+        android:color="?attr/popupColorPrimary"
+        android:lStar="15" />
+</selector>
diff --git a/res/color-night-v31/popup_color_third.xml b/res/color-night-v31/popup_color_third.xml
new file mode 100644
index 0000000..591c7ed
--- /dev/null
+++ b/res/color-night-v31/popup_color_third.xml
@@ -0,0 +1,20 @@
+<?xml version="1.0" encoding="utf-8"?>
+<!-- Copyright (C) 2021 The Android Open Source Project
+
+     Licensed under the Apache License, Version 2.0 (the "License");
+     you may not use this file except in compliance with the License.
+     You may obtain a copy of the License at
+
+          http://www.apache.org/licenses/LICENSE-2.0
+
+     Unless required by applicable law or agreed to in writing, software
+     distributed under the License is distributed on an "AS IS" BASIS,
+     WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+     See the License for the specific language governing permissions and
+     limitations under the License.
+-->
+<selector xmlns:android="http://schemas.android.com/apk/res/android" >
+    <item
+        android:color="?attr/popupColorPrimary"
+        android:lStar="10" />
+</selector>
diff --git a/res/color-v31/folder_background_light.xml b/res/color-v31/folder_background_light.xml
new file mode 100644
index 0000000..e3c7e7d
--- /dev/null
+++ b/res/color-v31/folder_background_light.xml
@@ -0,0 +1,20 @@
+<?xml version="1.0" encoding="utf-8"?>
+<!-- Copyright (C) 2021 The Android Open Source Project
+
+     Licensed under the Apache License, Version 2.0 (the "License");
+     you may not use this file except in compliance with the License.
+     You may obtain a copy of the License at
+
+          http://www.apache.org/licenses/LICENSE-2.0
+
+     Unless required by applicable law or agreed to in writing, software
+     distributed under the License is distributed on an "AS IS" BASIS,
+     WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+     See the License for the specific language governing permissions and
+     limitations under the License.
+-->
+<selector xmlns:android="http://schemas.android.com/apk/res/android" >
+    <item
+        android:color="@android:color/system_neutral1_50"
+        android:lStar="98" />
+</selector>
diff --git a/res/color-v31/popup_color_first.xml b/res/color-v31/popup_color_first.xml
new file mode 100644
index 0000000..28d9155
--- /dev/null
+++ b/res/color-v31/popup_color_first.xml
@@ -0,0 +1,20 @@
+<?xml version="1.0" encoding="utf-8"?>
+<!-- Copyright (C) 2021 The Android Open Source Project
+
+     Licensed under the Apache License, Version 2.0 (the "License");
+     you may not use this file except in compliance with the License.
+     You may obtain a copy of the License at
+
+          http://www.apache.org/licenses/LICENSE-2.0
+
+     Unless required by applicable law or agreed to in writing, software
+     distributed under the License is distributed on an "AS IS" BASIS,
+     WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+     See the License for the specific language governing permissions and
+     limitations under the License.
+-->
+<selector xmlns:android="http://schemas.android.com/apk/res/android" >
+    <item
+        android:color="?attr/popupColorPrimary"
+        android:lStar="98" />
+</selector>
diff --git a/res/color-v31/popup_color_second.xml b/res/color-v31/popup_color_second.xml
new file mode 100644
index 0000000..dec562c
--- /dev/null
+++ b/res/color-v31/popup_color_second.xml
@@ -0,0 +1,20 @@
+<?xml version="1.0" encoding="utf-8"?>
+<!-- Copyright (C) 2021 The Android Open Source Project
+
+     Licensed under the Apache License, Version 2.0 (the "License");
+     you may not use this file except in compliance with the License.
+     You may obtain a copy of the License at
+
+          http://www.apache.org/licenses/LICENSE-2.0
+
+     Unless required by applicable law or agreed to in writing, software
+     distributed under the License is distributed on an "AS IS" BASIS,
+     WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+     See the License for the specific language governing permissions and
+     limitations under the License.
+-->
+<selector xmlns:android="http://schemas.android.com/apk/res/android" >
+    <item
+        android:color="?attr/popupColorPrimary"
+        android:lStar="95" />
+</selector>
diff --git a/res/color-v31/popup_color_third.xml b/res/color-v31/popup_color_third.xml
new file mode 100644
index 0000000..582232c
--- /dev/null
+++ b/res/color-v31/popup_color_third.xml
@@ -0,0 +1,20 @@
+<?xml version="1.0" encoding="utf-8"?>
+<!-- Copyright (C) 2021 The Android Open Source Project
+
+     Licensed under the Apache License, Version 2.0 (the "License");
+     you may not use this file except in compliance with the License.
+     You may obtain a copy of the License at
+
+          http://www.apache.org/licenses/LICENSE-2.0
+
+     Unless required by applicable law or agreed to in writing, software
+     distributed under the License is distributed on an "AS IS" BASIS,
+     WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+     See the License for the specific language governing permissions and
+     limitations under the License.
+-->
+<selector xmlns:android="http://schemas.android.com/apk/res/android" >
+    <item
+        android:color="?attr/popupColorPrimary"
+        android:lStar="90" />
+</selector>
diff --git a/res/color/popup_color_first.xml b/res/color/popup_color_first.xml
new file mode 100644
index 0000000..d9999a2
--- /dev/null
+++ b/res/color/popup_color_first.xml
@@ -0,0 +1,18 @@
+<?xml version="1.0" encoding="utf-8"?>
+<!-- Copyright (C) 2021 The Android Open Source Project
+
+     Licensed under the Apache License, Version 2.0 (the "License");
+     you may not use this file except in compliance with the License.
+     You may obtain a copy of the License at
+
+          http://www.apache.org/licenses/LICENSE-2.0
+
+     Unless required by applicable law or agreed to in writing, software
+     distributed under the License is distributed on an "AS IS" BASIS,
+     WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+     See the License for the specific language governing permissions and
+     limitations under the License.
+-->
+<selector xmlns:android="http://schemas.android.com/apk/res/android" >
+    <item android:color="?attr/popupColorPrimary" />
+</selector>
diff --git a/res/color/popup_color_second.xml b/res/color/popup_color_second.xml
new file mode 100644
index 0000000..d9999a2
--- /dev/null
+++ b/res/color/popup_color_second.xml
@@ -0,0 +1,18 @@
+<?xml version="1.0" encoding="utf-8"?>
+<!-- Copyright (C) 2021 The Android Open Source Project
+
+     Licensed under the Apache License, Version 2.0 (the "License");
+     you may not use this file except in compliance with the License.
+     You may obtain a copy of the License at
+
+          http://www.apache.org/licenses/LICENSE-2.0
+
+     Unless required by applicable law or agreed to in writing, software
+     distributed under the License is distributed on an "AS IS" BASIS,
+     WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+     See the License for the specific language governing permissions and
+     limitations under the License.
+-->
+<selector xmlns:android="http://schemas.android.com/apk/res/android" >
+    <item android:color="?attr/popupColorPrimary" />
+</selector>
diff --git a/res/color/popup_color_third.xml b/res/color/popup_color_third.xml
new file mode 100644
index 0000000..d7e9e79
--- /dev/null
+++ b/res/color/popup_color_third.xml
@@ -0,0 +1,18 @@
+<?xml version="1.0" encoding="utf-8"?>
+<!-- Copyright (C) 2021 The Android Open Source Project
+
+     Licensed under the Apache License, Version 2.0 (the "License");
+     you may not use this file except in compliance with the License.
+     You may obtain a copy of the License at
+
+          http://www.apache.org/licenses/LICENSE-2.0
+
+     Unless required by applicable law or agreed to in writing, software
+     distributed under the License is distributed on an "AS IS" BASIS,
+     WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+     See the License for the specific language governing permissions and
+     limitations under the License.
+-->
+<selector xmlns:android="http://schemas.android.com/apk/res/android" >
+    <item android:color="?attr/popupColorPrimary" />
+</selector>
\ No newline at end of file
diff --git a/res/values-v31/colors.xml b/res/values-v31/colors.xml
index 1785623..71eaa9e 100644
--- a/res/values-v31/colors.xml
+++ b/res/values-v31/colors.xml
@@ -39,8 +39,6 @@
     <color name="text_color_tertiary_dark">@android:color/system_neutral2_400</color>
 
     <color name="wallpaper_popup_scrim">@android:color/system_neutral1_900</color>
-    <color name="folder_background_light" android:lstar="98">@android:color/system_neutral1_50</color>
-    <color name="folder_background_dark" android:lstar="30">@android:color/system_neutral2_800</color>
-  
+
     <color name="folder_dot_color">@android:color/system_accent2_50</color>
 </resources>
diff --git a/src/com/android/launcher3/config/FeatureFlags.java b/src/com/android/launcher3/config/FeatureFlags.java
index d65eb22..66f5c87 100644
--- a/src/com/android/launcher3/config/FeatureFlags.java
+++ b/src/com/android/launcher3/config/FeatureFlags.java
@@ -78,6 +78,9 @@
     public static final BooleanFlag UNSTABLE_SPRINGS = getDebugFlag(
             "UNSTABLE_SPRINGS", false, "Enable unstable springs for quickstep animations");
 
+    public static final BooleanFlag ENABLE_LOCAL_COLOR_POPUPS = getDebugFlag(
+            "ENABLE_LOCAL_COLOR_POPUPS", false, "Enable local color extraction for popups.");
+
     public static final BooleanFlag KEYGUARD_ANIMATION = getDebugFlag(
             "KEYGUARD_ANIMATION", false, "Enable animation for keyguard going away on wallpaper");
 
diff --git a/src/com/android/launcher3/popup/ArrowPopup.java b/src/com/android/launcher3/popup/ArrowPopup.java
index cb35f74..a89fb3b 100644
--- a/src/com/android/launcher3/popup/ArrowPopup.java
+++ b/src/com/android/launcher3/popup/ArrowPopup.java
@@ -16,9 +16,12 @@
 
 package com.android.launcher3.popup;
 
+import static androidx.core.content.ContextCompat.getColorStateList;
+
 import static com.android.launcher3.anim.Interpolators.ACCELERATED_EASE;
 import static com.android.launcher3.anim.Interpolators.DECELERATED_EASE;
 import static com.android.launcher3.anim.Interpolators.LINEAR;
+import static com.android.launcher3.config.FeatureFlags.ENABLE_LOCAL_COLOR_POPUPS;
 
 import android.animation.Animator;
 import android.animation.AnimatorListenerAdapter;
@@ -28,6 +31,7 @@
 import android.annotation.TargetApi;
 import android.content.Context;
 import android.content.res.Resources;
+import android.graphics.Color;
 import android.graphics.Rect;
 import android.graphics.RectF;
 import android.graphics.drawable.ColorDrawable;
@@ -133,6 +137,8 @@
 
     private final String mIterateChildrenTag;
 
+    private final int[] mColors;
+
     public ArrowPopup(Context context, AttributeSet attrs, int defStyleAttr) {
         super(context, attrs, defStyleAttr);
         mInflater = LayoutInflater.from(context);
@@ -171,9 +177,19 @@
 
         boolean isAboveAnotherSurface = getTopOpenViewWithType(mLauncher, TYPE_FOLDER) != null
                 || mLauncher.getStateManager().getState() == LauncherState.ALL_APPS;
-        if (!isAboveAnotherSurface && Utilities.ATLEAST_S) {
+        if (!isAboveAnotherSurface && Utilities.ATLEAST_S && ENABLE_LOCAL_COLOR_POPUPS.get()) {
             setupColorExtraction();
         }
+
+        if (isAboveAnotherSurface) {
+            mColors = new int[] {
+                    getColorStateList(context, R.color.popup_color_first).getDefaultColor()};
+        } else {
+            mColors = new int[] {
+                    getColorStateList(context, R.color.popup_color_first).getDefaultColor(),
+                    getColorStateList(context, R.color.popup_color_second).getDefaultColor(),
+                    getColorStateList(context, R.color.popup_color_third).getDefaultColor()};
+        }
     }
 
     public ArrowPopup(Context context, AttributeSet attrs) {
@@ -220,6 +236,16 @@
      * Set the margins and radius of backgrounds after views are properly ordered.
      */
     public void assignMarginsAndBackgrounds(ViewGroup viewGroup) {
+        assignMarginsAndBackgrounds(viewGroup, Color.TRANSPARENT);
+    }
+
+    /**
+     * @param backgroundColor When Color.TRANSPARENT, we get color from {@link #mColors}.
+     *                        Otherwise, we will use this color for all child views.
+     */
+    private void assignMarginsAndBackgrounds(ViewGroup viewGroup, int backgroundColor) {
+        final boolean getColorFromColorArray = backgroundColor == Color.TRANSPARENT;
+
         int count = viewGroup.getChildCount();
         int totalVisibleShortcuts = 0;
         for (int i = 0; i < count; i++) {
@@ -229,8 +255,10 @@
             }
         }
 
+        int numVisibleChild = 0;
         int numVisibleShortcut = 0;
         View lastView = null;
+        AnimatorSet colorAnimator = new AnimatorSet();
         for (int i = 0; i < count; i++) {
             View view = viewGroup.getChildAt(i);
             if (view.getVisibility() == VISIBLE) {
@@ -242,8 +270,14 @@
                 MarginLayoutParams mlp = (MarginLayoutParams) lastView.getLayoutParams();
                 mlp.bottomMargin = 0;
 
+
+                if (getColorFromColorArray) {
+                    backgroundColor = mColors[numVisibleChild % mColors.length];
+                }
+
                 if (view instanceof ViewGroup && mIterateChildrenTag.equals(view.getTag())) {
-                    assignMarginsAndBackgrounds((ViewGroup) view);
+                    assignMarginsAndBackgrounds((ViewGroup) view, backgroundColor);
+                    numVisibleChild++;
                     continue;
                 }
 
@@ -261,8 +295,22 @@
                         numVisibleShortcut++;
                     }
                 }
+
+                if (!ENABLE_LOCAL_COLOR_POPUPS.get()) {
+                    setChildColor(view, backgroundColor, colorAnimator);
+                    // Arrow color matches the first child or the last child.
+                    if (!mIsAboveIcon && numVisibleChild == 0) {
+                        mArrowColor = backgroundColor;
+                    } else if (mIsAboveIcon) {
+                        mArrowColor = backgroundColor;
+                    }
+                }
+
+                numVisibleChild++;
             }
         }
+
+        colorAnimator.setDuration(0).start();
         measure(MeasureSpec.UNSPECIFIED, MeasureSpec.UNSPECIFIED);
     }