diff --git a/virtualizationservice/aidl/android/system/virtualizationservice/IVirtualMachineCallback.aidl b/virtualizationservice/aidl/android/system/virtualizationservice/IVirtualMachineCallback.aidl
index 8d6ed08..521cf12 100644
--- a/virtualizationservice/aidl/android/system/virtualizationservice/IVirtualMachineCallback.aidl
+++ b/virtualizationservice/aidl/android/system/virtualizationservice/IVirtualMachineCallback.aidl
@@ -24,13 +24,14 @@
  */
 oneway interface IVirtualMachineCallback {
     /**
-     * Called when the payload starts in the VM. `stream` is the input/output port of the payload.
-     *
-     * <p>Note: when the virtual machine object is shared to multiple processes and they register
-     * this callback to the same virtual machine object, the processes will compete to access the
-     * same payload stream. Keep only one process to access the stream.
+     * Called when the payload starts in the VM.
      */
-    void onPayloadStarted(int cid, in @nullable ParcelFileDescriptor stream);
+    void onPayloadStarted(int cid);
+
+    /**
+     * Called when the payload provides access to its standard input/output via a socket.
+     */
+    void onPayloadStdio(int cid, in ParcelFileDescriptor fd);
 
     /**
      * Called when the payload in the VM is ready to serve.
diff --git a/virtualizationservice/aidl/android/system/virtualmachineservice/IVirtualMachineService.aidl b/virtualizationservice/aidl/android/system/virtualmachineservice/IVirtualMachineService.aidl
index e8c1724..deee662 100644
--- a/virtualizationservice/aidl/android/system/virtualmachineservice/IVirtualMachineService.aidl
+++ b/virtualizationservice/aidl/android/system/virtualmachineservice/IVirtualMachineService.aidl
@@ -21,12 +21,6 @@
 interface IVirtualMachineService {
     /**
      * Port number that VirtualMachineService listens on connections from the guest VMs for the
-     * payload input and output.
-     */
-    const int VM_STREAM_SERVICE_PORT = 3000;
-
-    /**
-     * Port number that VirtualMachineService listens on connections from the guest VMs for the
      * VirtualMachineService binder service.
      */
     const int VM_BINDER_SERVICE_PORT = 5000;
@@ -53,7 +47,12 @@
     void notifyPayloadFinished(int exitCode);
 
     /**
-     * Notifies that an error has occurred inside the VM..
+     * Notifies that an error has occurred inside the VM.
      */
     void notifyError(ErrorCode errorCode, in String message);
+
+    /**
+     * Notifies that the guest has started a stdio proxy on the given port.
+     */
+    void connectPayloadStdioProxy(int port);
 }
diff --git a/virtualizationservice/src/aidl.rs b/virtualizationservice/src/aidl.rs
index bc697e3..340fc68 100644
--- a/virtualizationservice/src/aidl.rs
+++ b/virtualizationservice/src/aidl.rs
@@ -38,7 +38,7 @@
 };
 use android_system_virtualmachineservice::aidl::android::system::virtualmachineservice::IVirtualMachineService::{
         BnVirtualMachineService, IVirtualMachineService, VM_BINDER_SERVICE_PORT,
-        VM_STREAM_SERVICE_PORT, VM_TOMBSTONES_SERVICE_PORT,
+        VM_TOMBSTONES_SERVICE_PORT,
 };
 use anyhow::{anyhow, bail, Context, Result};
 use apkverify::{HashAlgorithm, V4Signature};
@@ -301,12 +301,6 @@
     pub fn init() -> VirtualizationService {
         let service = VirtualizationService::default();
 
-        // server for payload output
-        let state = service.state.clone(); // reference to state (not the state itself) is copied
-        std::thread::spawn(move || {
-            handle_stream_connection_from_vm(state).unwrap();
-        });
-
         std::thread::spawn(|| {
             if let Err(e) = handle_stream_connection_tombstoned() {
                 warn!("Error receiving tombstone from guest or writing them. Error: {:?}", e);
@@ -488,33 +482,6 @@
     }
 }
 
-/// Waits for incoming connections from VM. If a new connection is made, stores the stream in the
-/// corresponding `VmInstance`.
-fn handle_stream_connection_from_vm(state: Arc<Mutex<State>>) -> Result<()> {
-    let listener =
-        VsockListener::bind_with_cid_port(VMADDR_CID_HOST, VM_STREAM_SERVICE_PORT as u32)?;
-    for stream in listener.incoming() {
-        let stream = match stream {
-            Err(e) => {
-                warn!("invalid incoming connection: {:?}", e);
-                continue;
-            }
-            Ok(s) => s,
-        };
-        if let Ok(addr) = stream.peer_addr() {
-            let cid = addr.cid();
-            let port = addr.port();
-            info!("payload stream connected from cid={}, port={}", cid, port);
-            if let Some(vm) = state.lock().unwrap().get_vm(cid) {
-                *vm.stream.lock().unwrap() = Some(stream);
-            } else {
-                error!("connection from cid={} is not from a guest VM", cid);
-            }
-        }
-    }
-    Ok(())
-}
-
 fn write_zero_filler(zero_filler_path: &Path) -> Result<()> {
     let file = OpenOptions::new()
         .create_new(true)
@@ -854,11 +821,10 @@
 
 impl VirtualMachineCallbacks {
     /// Call all registered callbacks to notify that the payload has started.
-    pub fn notify_payload_started(&self, cid: Cid, stream: Option<VsockStream>) {
+    pub fn notify_payload_started(&self, cid: Cid) {
         let callbacks = &*self.0.lock().unwrap();
-        let pfd = stream.map(vsock_stream_to_pfd);
         for callback in callbacks {
-            if let Err(e) = callback.onPayloadStarted(cid as i32, pfd.as_ref()) {
+            if let Err(e) = callback.onPayloadStarted(cid as i32) {
                 error!("Error notifying payload start event from VM CID {}: {:?}", cid, e);
             }
         }
@@ -894,6 +860,16 @@
         }
     }
 
+    /// Call all registered callbacks to notify that the payload has provided a standard I/O proxy.
+    pub fn notify_payload_stdio(&self, cid: Cid, fd: ParcelFileDescriptor) {
+        let callbacks = &*self.0.lock().unwrap();
+        for callback in callbacks {
+            if let Err(e) = callback.onPayloadStdio(cid as i32, &fd) {
+                error!("Error notifying payload stdio event from VM CID {}: {:?}", cid, e);
+            }
+        }
+    }
+
     /// Call all registered callbacks to say that the VM has died.
     pub fn callback_on_died(&self, cid: Cid, reason: DeathReason) {
         let callbacks = &*self.0.lock().unwrap();
@@ -1072,8 +1048,7 @@
             vm.update_payload_state(PayloadState::Started).map_err(|e| {
                 Status::new_exception_str(ExceptionCode::ILLEGAL_STATE, Some(e.to_string()))
             })?;
-            let stream = vm.stream.lock().unwrap().take();
-            vm.callbacks.notify_payload_started(cid, stream);
+            vm.callbacks.notify_payload_started(cid);
 
             let vm_start_timestamp = vm.vm_start_timestamp.lock().unwrap();
             write_vm_booted_stats(vm.requester_uid as i32, &vm.name, *vm_start_timestamp);
@@ -1140,6 +1115,27 @@
             ))
         }
     }
+
+    fn connectPayloadStdioProxy(&self, port: i32) -> binder::Result<()> {
+        let cid = self.cid;
+        if let Some(vm) = self.state.lock().unwrap().get_vm(cid) {
+            info!("VM with CID {} started a stdio proxy", cid);
+            let stream = VsockStream::connect_with_cid_port(cid, port as u32).map_err(|e| {
+                Status::new_service_specific_error_str(
+                    -1,
+                    Some(format!("Failed to connect to guest stdio proxy: {:?}", e)),
+                )
+            })?;
+            vm.callbacks.notify_payload_stdio(cid, vsock_stream_to_pfd(stream));
+            Ok(())
+        } else {
+            error!("connectPayloadStdioProxy is called from an unknown CID {}", cid);
+            Err(Status::new_service_specific_error_str(
+                -1,
+                Some(format!("cannot find a VM with CID {}", cid)),
+            ))
+        }
+    }
 }
 
 impl VirtualMachineService {
diff --git a/virtualizationservice/src/crosvm.rs b/virtualizationservice/src/crosvm.rs
index 1b8061e..29040b7 100644
--- a/virtualizationservice/src/crosvm.rs
+++ b/virtualizationservice/src/crosvm.rs
@@ -35,7 +35,6 @@
 use std::sync::{Arc, Condvar, Mutex};
 use std::time::{Duration, SystemTime};
 use std::thread;
-use vsock::VsockStream;
 use android_system_virtualizationservice::aidl::android::system::virtualizationservice::DeathReason::DeathReason;
 use binder::Strong;
 use android_system_virtualmachineservice::aidl::android::system::virtualmachineservice::IVirtualMachineService::IVirtualMachineService;
@@ -190,8 +189,6 @@
     pub requester_debug_pid: i32,
     /// Callbacks to clients of the VM.
     pub callbacks: VirtualMachineCallbacks,
-    /// Input/output stream of the payload run in the VM.
-    pub stream: Mutex<Option<VsockStream>>,
     /// VirtualMachineService binder object for the VM.
     pub vm_service: Mutex<Option<Strong<dyn IVirtualMachineService>>>,
     /// Recorded timestamp when the VM is started.
@@ -223,7 +220,6 @@
             requester_uid,
             requester_debug_pid,
             callbacks: Default::default(),
-            stream: Mutex::new(None),
             vm_service: Mutex::new(None),
             vm_start_timestamp: Mutex::new(None),
             payload_state: Mutex::new(PayloadState::Starting),