diff --git a/apps/cli/tests/agent-setting.test.ts b/apps/cli/tests/agent-setting.test.ts
index 76a3c861a..39a0988b4 100644
--- a/apps/cli/tests/agent-setting.test.ts
+++ b/apps/cli/tests/agent-setting.test.ts
@@ -337,6 +337,29 @@ describe('resolveBuiltinACPSetting', () => {
     });
   });
 
+  it('uses the direct ACP launch from the Factory Droid registry entry', () => {
+    const agent = getRegistryAgent('factory-droid');
+    const npx = agent.distribution.npx;
+    if (!npx) {
+      throw new Error('Expected Factory Droid to have an npx distribution');
+    }
+
+    expect(npx.package).toBe(`droid@${agent.version}`);
+    expect(npx.args).toEqual(expect.arrayContaining(['exec', '--output-format', 'acp']));
+    expect(npx.args).not.toContain('acp-daemon');
+    expect(resolveACPSetting({ cliType: 'registry', agentType: 'factory-droid' })).toEqual({
+      status: { agent: `Factory Droid@${agent.version}`, command: 'npx' },
+      exec: {
+        command: 'npx',
+        args: ['--prefer-offline', '-y', npx.package, ...(npx.args ?? [])],
+        env: npx.env,
+      },
+    });
+    expect(getAcpCapabilitySourceVersion({ cliType: 'registry', agentType: 'factory-droid' })).toBe(
+      `factory-droid@${agent.version}`
+    );
+  });
+
   it('uses the hardcoded Interactive Claude registry provider with exact platform npx packages', () => {
     const agent = getRegistryAgent('claude-p');
     const npx = agent.distribution.npx;
diff --git a/packages/shared/src/acp/registry-generated.ts b/packages/shared/src/acp/registry-generated.ts
index 62d9f81d6..656fe186a 100644
--- a/packages/shared/src/acp/registry-generated.ts
+++ b/packages/shared/src/acp/registry-generated.ts
@@ -418,16 +418,16 @@ const REMOTE_REGISTRY_ACP_AGENTS: RegistryAcpAgent[] = [
   {
     id: 'factory-droid',
     name: 'Factory Droid',
-    version: '0.208.2',
+    version: '0.212.0',
     description: 'Factory Droid - AI coding agent powered by Factory AI',
     icon: 'https://cdn.agentclientprotocol.com/registry/v1/latest/factory-droid.svg',
     distribution: {
       npx: {
-        package: 'droid@0.208.2',
+        package: 'droid@0.212.0',
         args: [
           'exec',
           '--output-format',
-          'acp-daemon'
+          'acp'
         ],
         env: {
           DROID_DISABLE_AUTO_UPDATE: 'true',
diff --git a/scripts/generate-acp-registry.mjs b/scripts/generate-acp-registry.mjs
index e76b08bcb..4bdbe04d2 100644
--- a/scripts/generate-acp-registry.mjs
+++ b/scripts/generate-acp-registry.mjs
@@ -210,6 +210,12 @@ function normalizeRegistryAgent(agent) {
     return null;
   }
 
+  if (id === 'factory-droid' && distribution.npx?.args) {
+    distribution.npx.args = distribution.npx.args.map((arg) =>
+      arg === 'acp-daemon' ? 'acp' : arg
+    );
+  }
+
   return {
     id,
     name,