diff --git a/drivers/gpu/drm/amd/display/dc/dc_dmub_srv.c b/drivers/gpu/drm/amd/display/dc/dc_dmub_srv.c
index 1e7de0f03290..ec5009f411eb 100644
--- a/drivers/gpu/drm/amd/display/dc/dc_dmub_srv.c
+++ b/drivers/gpu/drm/amd/display/dc/dc_dmub_srv.c
@@ -1294,6 +1294,8 @@ static void dc_dmub_srv_notify_idle(const struct dc *dc, bool allow_idle)
 
 		memset(&new_signals, 0, sizeof(new_signals));
 
+		new_signals.bits.allow_idle = 1; /* always set */
+
 		if (dc->config.disable_ips == DMUB_IPS_ENABLE ||
 		    dc->config.disable_ips == DMUB_IPS_DISABLE_DYNAMIC) {
 			new_signals.bits.allow_pg = 1;
@@ -1389,7 +1391,7 @@ static void dc_dmub_srv_exit_low_power_state(const struct dc *dc)
 		 */
 		dc_dmub_srv->needs_idle_wake = false;
 
-		if (prev_driver_signals.bits.allow_ips2 &&
+		if ((prev_driver_signals.bits.allow_ips2 || prev_driver_signals.all == 0) &&
 		    (!dc->debug.optimize_ips_handshake ||
 		     ips_fw->signals.bits.ips2_commit || !ips_fw->signals.bits.in_idle)) {
 			DC_LOG_IPS(
@@ -1450,7 +1452,7 @@ static void dc_dmub_srv_exit_low_power_state(const struct dc *dc)
 		}
 
 		dc_dmub_srv_notify_idle(dc, false);
-		if (prev_driver_signals.bits.allow_ips1) {
+		if (prev_driver_signals.bits.allow_ips1 || prev_driver_signals.all == 0) {
 			DC_LOG_IPS(
 				"wait for IPS1 commit clear (ips1_commit=%u ips2_commit=%u)",
 				ips_fw->signals.bits.ips1_commit,
diff --git a/drivers/gpu/drm/amd/display/dmub/inc/dmub_cmd.h b/drivers/gpu/drm/amd/display/dmub/inc/dmub_cmd.h
index ebcf68bfae2b..7835100b37c4 100644
--- a/drivers/gpu/drm/amd/display/dmub/inc/dmub_cmd.h
+++ b/drivers/gpu/drm/amd/display/dmub/inc/dmub_cmd.h
@@ -747,7 +747,8 @@ union dmub_shared_state_ips_driver_signals {
 		uint32_t allow_ips1 : 1; /**< 1 is IPS1 is allowed */
 		uint32_t allow_ips2 : 1; /**< 1 is IPS1 is allowed */
 		uint32_t allow_z10 : 1; /**< 1 if Z10 is allowed */
-		uint32_t reserved_bits : 28; /**< Reversed bits */
+		uint32_t allow_idle : 1; /**< 1 if driver is allowing idle */
+		uint32_t reserved_bits : 27; /**< Reversed bits */
 	} bits;
 	uint32_t all;
 };