diff --git a/meta-gnome/recipes-gnome/gnome-settings-daemon/gnome-settings-daemon_49.1.bb b/meta-gnome/recipes-gnome/gnome-settings-daemon/gnome-settings-daemon_49.1.bb
index 2125bd91fe..dfda4a3a13 100644
--- a/meta-gnome/recipes-gnome/gnome-settings-daemon/gnome-settings-daemon_49.1.bb
+++ b/meta-gnome/recipes-gnome/gnome-settings-daemon/gnome-settings-daemon_49.1.bb
@@ -21,7 +21,7 @@ DEPENDS = " \
 "
 
 # all these are mandatory
-REQUIRED_DISTRO_FEATURES = "x11 polkit pulseaudio systemd gobject-introspection-data"
+REQUIRED_DISTRO_FEATURES = "polkit pulseaudio systemd gobject-introspection-data"
 GIR_MESON_OPTION = ""
 
 SRC_URI += "file://0001-gsd-smartcard-enum-types.c.in-fix-reproducibility-is.patch"
@@ -29,9 +29,9 @@ SRC_URI[archive.sha256sum] = "2a9957fc4f91c3b9127b49484179bef485120d9c1c208e44d4
 
 PACKAGECONFIG ??= " \
     ${@bb.utils.filter('DISTRO_FEATURES', 'systemd x11 alsa', d)} \
+    ${@bb.utils.contains('DISTRO_FEATURES', 'x11', 'xwayland', '', d)} \
     gudev \
     smartcard \
-    xwayland \
     cups \
 "
 PACKAGECONFIG[alsa] = "-Dalsa=true,-Dalsa=false,alsa-lib"
@@ -39,7 +39,7 @@ PACKAGECONFIG[cups] = "-Dcups=true,-Dcups=false,cups"
 PACKAGECONFIG[gudev] = "-Dgudev=true,-Dgudev=false,libgudev"
 PACKAGECONFIG[smartcard] = "-Dsmartcard=true,-Dsmartcard=false,nss"
 PACKAGECONFIG[systemd] = "-Dsystemd=true,-Dsystemd=false,systemd"
-PACKAGECONFIG[xwayland] = "-Dxwayland=true,-Dxwayland=true"
+PACKAGECONFIG[xwayland] = "-Dxwayland=true,-Dxwayland=false"
 PACKAGECONFIG[x11] = "-Dx11=true,-Dx11=false,libx11 libxfixes"
 
 def gnome_verdir(v):