diff --git a/services/core/java/com/android/server/wm/DisplayContent.java b/services/core/java/com/android/server/wm/DisplayContent.java
index 4660757024095..898aab1c3a604 100644
--- a/services/core/java/com/android/server/wm/DisplayContent.java
+++ b/services/core/java/com/android/server/wm/DisplayContent.java
@@ -60,6 +60,7 @@ import static android.view.WindowInsets.Type.systemBars;
 import static android.view.WindowInsetsController.BEHAVIOR_SHOW_TRANSIENT_BARS_BY_SWIPE;
 import static android.view.WindowManager.DISPLAY_IME_POLICY_FALLBACK_DISPLAY;
 import static android.view.WindowManager.DISPLAY_IME_POLICY_LOCAL;
+import static android.view.WindowManager.LayoutParams;
 import static android.view.WindowManager.LayoutParams.FIRST_APPLICATION_WINDOW;
 import static android.view.WindowManager.LayoutParams.FLAG_NOT_FOCUSABLE;
 import static android.view.WindowManager.LayoutParams.FLAG_NOT_TOUCHABLE;
@@ -4313,10 +4314,24 @@ class DisplayContent extends RootDisplayArea implements WindowManagerPolicy.Disp
      */
     @VisibleForTesting
     SurfaceControl computeImeParent() {
-        if (mImeLayeringTarget != null && mImeInputTarget != null
-                && mImeLayeringTarget.mActivityRecord != mImeInputTarget.getActivityRecord()) {
-            // Do not change parent if the window hasn't requested IME.
-            return null;
+        if (mImeLayeringTarget != null) {
+            // Ensure changing the IME parent when the layering target that may use IME has
+            // became to the input target for preventing IME flickers.
+            // Note that:
+            // 1) For the imeLayeringTarget that may not use IME but requires IME on top
+            // of it (e.g. an overlay window with NOT_FOCUSABLE|ALT_FOCUSABLE_IM flags), we allow
+            // it to re-parent the IME on top the display to keep the legacy behavior.
+            // 2) Even though the starting window won't use IME, the associated activity
+            // behind the starting window may request the input. If so, then we should still hold
+            // the IME parent change until the activity started the input.
+            boolean imeLayeringTargetMayUseIme =
+                    LayoutParams.mayUseInputMethod(mImeLayeringTarget.mAttrs.flags)
+                    || mImeLayeringTarget.mAttrs.type == TYPE_APPLICATION_STARTING;
+            if (imeLayeringTargetMayUseIme && mImeInputTarget != null
+                    && mImeLayeringTarget.mActivityRecord != mImeInputTarget.getActivityRecord()) {
+                // Do not change parent if the window hasn't requested IME.
+                return null;
+            }
         }
         // Attach it to app if the target is part of an app and such app is covering the entire
         // screen. If it's not covering the entire screen the IME might extend beyond the apps
diff --git a/services/tests/wmtests/src/com/android/server/wm/DisplayContentTests.java b/services/tests/wmtests/src/com/android/server/wm/DisplayContentTests.java
index 118f159bee7bc..0efe744d9c640 100644
--- a/services/tests/wmtests/src/com/android/server/wm/DisplayContentTests.java
+++ b/services/tests/wmtests/src/com/android/server/wm/DisplayContentTests.java
@@ -41,8 +41,10 @@ import static android.view.Surface.ROTATION_270;
 import static android.view.Surface.ROTATION_90;
 import static android.view.WindowInsetsController.BEHAVIOR_SHOW_TRANSIENT_BARS_BY_SWIPE;
 import static android.view.WindowManager.LayoutParams.FIRST_SUB_WINDOW;
+import static android.view.WindowManager.LayoutParams.FLAG_ALT_FOCUSABLE_IM;
 import static android.view.WindowManager.LayoutParams.FLAG_LAYOUT_INSET_DECOR;
 import static android.view.WindowManager.LayoutParams.FLAG_LAYOUT_IN_SCREEN;
+import static android.view.WindowManager.LayoutParams.FLAG_NOT_FOCUSABLE;
 import static android.view.WindowManager.LayoutParams.FLAG_SECURE;
 import static android.view.WindowManager.LayoutParams.LAYOUT_IN_DISPLAY_CUTOUT_MODE_SHORT_EDGES;
 import static android.view.WindowManager.LayoutParams.PRIVATE_FLAG_NO_MOVE_ANIMATION;
@@ -1165,6 +1167,20 @@ public class DisplayContentTests extends WindowTestsBase {
         assertNull(mDisplayContent.computeImeParent());
     }
 
+    @UseTestDisplay(addWindows = W_ACTIVITY)
+    @Test
+    public void testComputeImeParent_updateParentWhenTargetNotUseIme() throws Exception {
+        WindowState overlay = createWindow(null, TYPE_APPLICATION_OVERLAY, "overlay");
+        overlay.setBounds(100, 100, 200, 200);
+        overlay.mAttrs.flags = FLAG_NOT_FOCUSABLE | FLAG_ALT_FOCUSABLE_IM;
+        WindowState app = createWindow(null, TYPE_BASE_APPLICATION, "app");
+        mDisplayContent.setImeLayeringTarget(overlay);
+        mDisplayContent.setImeInputTarget(app);
+        assertFalse(mDisplayContent.shouldImeAttachedToApp());
+        assertEquals(mDisplayContent.getImeContainer().getParentSurfaceControl(),
+                mDisplayContent.computeImeParent());
+    }
+
     @Test
     public void testInputMethodInputTarget_isClearedWhenWindowStateIsRemoved() throws Exception {
         final DisplayContent dc = createNewDisplay();