diff --git a/services/core/java/com/android/server/hdmi/ArcTerminationActionFromAvr.java b/services/core/java/com/android/server/hdmi/ArcTerminationActionFromAvr.java
index dedf2e28a5731..049a339957cbf 100644
--- a/services/core/java/com/android/server/hdmi/ArcTerminationActionFromAvr.java
+++ b/services/core/java/com/android/server/hdmi/ArcTerminationActionFromAvr.java
@@ -49,10 +49,7 @@ public class ArcTerminationActionFromAvr extends HdmiCecFeatureAction {
         switch (cmd.getOpcode()) {
             case Constants.MESSAGE_REPORT_ARC_TERMINATED:
                 mState = STATE_ARC_TERMINATED;
-                audioSystem().setArcStatus(false);
-                if (audioSystem().getLocalActivePort() == Constants.CEC_SWITCH_ARC) {
-                    audioSystem().routeToInputFromPortId(audioSystem().getRoutingPort());
-                }
+                audioSystem().processArcTermination();
                 finish();
                 return true;
         }
diff --git a/services/core/java/com/android/server/hdmi/HdmiCecLocalDeviceAudioSystem.java b/services/core/java/com/android/server/hdmi/HdmiCecLocalDeviceAudioSystem.java
index 790c067c13004..3678b198d6e5a 100644
--- a/services/core/java/com/android/server/hdmi/HdmiCecLocalDeviceAudioSystem.java
+++ b/services/core/java/com/android/server/hdmi/HdmiCecLocalDeviceAudioSystem.java
@@ -358,8 +358,12 @@ public class HdmiCecLocalDeviceAudioSystem extends HdmiCecLocalDeviceSource {
     @Constants.HandleMessageResult
     protected int handleReportArcInitiate(HdmiCecMessage message) {
         assertRunOnServiceThread();
-        // TODO(amyjojo): implement report arc initiate handler
-        HdmiLogger.debug(TAG + "Stub handleReportArcInitiate");
+        /*
+         * Ideally, we should have got this response before the {@link ArcInitiationActionFromAvr}
+         * has timed out. Even if the response is late, {@link ArcInitiationActionFromAvr
+         * #handleInitiateArcTimeout()} would not have disabled ARC. So nothing needs to be done
+         * here.
+         */
         return Constants.HANDLED;
     }
 
@@ -368,8 +372,7 @@ public class HdmiCecLocalDeviceAudioSystem extends HdmiCecLocalDeviceSource {
     @Constants.HandleMessageResult
     protected int handleReportArcTermination(HdmiCecMessage message) {
         assertRunOnServiceThread();
-        // TODO(amyjojo): implement report arc terminate handler
-        HdmiLogger.debug(TAG + "Stub handleReportArcTermination");
+        processArcTermination();
         return Constants.HANDLED;
     }
 
@@ -712,6 +715,14 @@ public class HdmiCecLocalDeviceAudioSystem extends HdmiCecLocalDeviceSource {
         mArcEstablished = enabled;
     }
 
+    void processArcTermination() {
+        setArcStatus(false);
+        // Switch away from ARC input when ARC is terminated.
+        if (getLocalActivePort() == Constants.CEC_SWITCH_ARC) {
+            routeToInputFromPortId(getRoutingPort());
+        }
+    }
+
     /** Switch hardware ARC circuit in the system. */
     @ServiceThreadOnly
     private void enableAudioReturnChannel(boolean enabled) {