diff --git a/services/core/java/com/android/server/wm/ActivityStackSupervisor.java b/services/core/java/com/android/server/wm/ActivityStackSupervisor.java
index fe9e5f3ca09e4..6b36663249ec4 100644
--- a/services/core/java/com/android/server/wm/ActivityStackSupervisor.java
+++ b/services/core/java/com/android/server/wm/ActivityStackSupervisor.java
@@ -1092,8 +1092,7 @@ public class ActivityStackSupervisor implements RecentTasks.Callbacks {
         final boolean uidPresentOnDisplay = displayContent.isUidPresent(callingUid);
 
         final int displayOwnerUid = displayContent.mDisplay.getOwnerUid();
-        if (displayContent.mDisplay.getType() == TYPE_VIRTUAL && displayOwnerUid != SYSTEM_UID
-                && displayOwnerUid != aInfo.applicationInfo.uid) {
+        if (displayContent.mDisplay.getType() == TYPE_VIRTUAL && displayOwnerUid != SYSTEM_UID) {
             // Limit launching on virtual displays, because their contents can be read from Surface
             // by apps that created them.
             if ((aInfo.flags & ActivityInfo.FLAG_ALLOW_EMBEDDED) == 0) {
diff --git a/services/tests/wmtests/Android.bp b/services/tests/wmtests/Android.bp
index 6cb8b8641ecc0..e2821f40f24cc 100644
--- a/services/tests/wmtests/Android.bp
+++ b/services/tests/wmtests/Android.bp
@@ -25,6 +25,7 @@ android_test {
         "testables",
         "ub-uiautomator",
         "hamcrest-library",
+        "compatibility-device-util-axt",
     ],
 
     libs: [
diff --git a/services/tests/wmtests/AndroidManifest.xml b/services/tests/wmtests/AndroidManifest.xml
index 123bb079dbbb8..7e7d69acc1381 100644
--- a/services/tests/wmtests/AndroidManifest.xml
+++ b/services/tests/wmtests/AndroidManifest.xml
@@ -55,7 +55,7 @@
         <activity android:name="com.android.server.wm.TaskStackChangedListenerTest$ActivityInActivityView"
                   android:resizeableActivity="true" />
         <activity android:name="com.android.server.wm.ScreenDecorWindowTests$TestActivity"
-                  android:showWhenLocked="true" />
+                  android:showWhenLocked="true" android:allowEmbedded="true"/>
     </application>
 
     <instrumentation
diff --git a/services/tests/wmtests/src/com/android/server/wm/ScreenDecorWindowTests.java b/services/tests/wmtests/src/com/android/server/wm/ScreenDecorWindowTests.java
index 5e8de8792cd15..31a102ae3badf 100644
--- a/services/tests/wmtests/src/com/android/server/wm/ScreenDecorWindowTests.java
+++ b/services/tests/wmtests/src/com/android/server/wm/ScreenDecorWindowTests.java
@@ -64,6 +64,8 @@ import android.widget.TextView;
 
 import androidx.test.filters.SmallTest;
 
+import com.android.compatibility.common.util.SystemUtil;
+
 import org.junit.After;
 import org.junit.Before;
 import org.junit.Test;
@@ -343,7 +345,10 @@ public class ScreenDecorWindowTests {
         intent.addFlags(FLAG_ACTIVITY_NEW_TASK);
         final ActivityOptions options = ActivityOptions.makeBasic();
         options.setLaunchDisplayId(displayId);
-        final Activity activity = mInstrumentation.startActivitySync(intent, options.toBundle());
+
+        final Activity activity = SystemUtil.runWithShellPermissionIdentity(
+                () -> mInstrumentation.startActivitySync(intent, options.toBundle()),
+                "android.permission.ACTIVITY_EMBEDDING");
         waitForIdle();
 
         assertEquals(displayId, activity.getDisplayId());