diff --git a/src/compositor-wayland.c b/src/compositor-wayland.c
index cde7658a..5b6a8f4d 100644
--- a/src/compositor-wayland.c
+++ b/src/compositor-wayland.c
@@ -640,7 +640,9 @@ input_handle_keyboard_enter(void *data,
 	struct wayland_input *input = data;
 	struct wayland_compositor *c = input->compositor;
 
-	notify_keyboard_focus(&c->base.seat->seat, keys);
+	/* XXX: Need to wait for modifier event and send with state then. */
+	notify_keyboard_focus_in(&c->base.seat->seat, keys,
+				 STATE_UPDATE_AUTOMATIC);
 }
 
 static void
@@ -652,7 +654,7 @@ input_handle_keyboard_leave(void *data,
 	struct wayland_input *input = data;
 	struct wayland_compositor *c = input->compositor;
 
-	notify_keyboard_focus(&c->base.seat->seat, NULL);
+	notify_keyboard_focus_out(&c->base.seat->seat);
 }
 
 static void
diff --git a/src/compositor-x11.c b/src/compositor-x11.c
index 8cff73ed..d50261dc 100644
--- a/src/compositor-x11.c
+++ b/src/compositor-x11.c
@@ -679,7 +679,12 @@ x11_compositor_handle_event(int fd, uint32_t mask, void *data)
 			}
 
 			output = x11_compositor_find_output(c, focus_in->event);
-			notify_keyboard_focus(&c->base.seat->seat, &c->keys);
+			/* Unfortunately the state only comes with the enter
+			 * event, rather than with the focus event.  I'm not
+			 * sure of the exact semantics around it and whether
+			 * we can ensure that we get both? */
+			notify_keyboard_focus_in(&c->base.seat->seat, &c->keys,
+						 STATE_UPDATE_AUTOMATIC);
 
 			free(prev);
 			prev = NULL;
@@ -763,7 +768,7 @@ x11_compositor_handle_event(int fd, uint32_t mask, void *data)
 			if (focus_in->mode == XCB_NOTIFY_MODE_WHILE_GRABBED ||
 			    focus_in->mode == XCB_NOTIFY_MODE_UNGRAB)
 				break;
-			notify_keyboard_focus(&c->base.seat->seat, NULL);
+			notify_keyboard_focus_out(&c->base.seat->seat);
 			break;
 
 		default:
diff --git a/src/compositor.c b/src/compositor.c
index af7b3e24..9d4d4675 100644
--- a/src/compositor.c
+++ b/src/compositor.c
@@ -1767,17 +1767,13 @@ notify_axis(struct wl_seat *seat, uint32_t time, uint32_t axis,
 }
 
 static int
-update_modifier_state(struct weston_seat *seat, uint32_t key, uint32_t state)
+modifier_state_changed(struct weston_seat *seat)
 {
 	uint32_t mods_depressed, mods_latched, mods_locked, group;
 	uint32_t mods_lookup;
 	enum weston_led leds = 0;
 	int ret = 0;
 
-	/* First update the XKB state object with the keypress. */
-	xkb_state_update_key(seat->xkb_state.state, key + 8,
-			     state ? XKB_KEY_DOWN : XKB_KEY_UP);
-
 	/* Serialize and update our internal state, checking to see if it's
 	 * different to the previous state. */
 	mods_depressed = xkb_state_serialize_mods(seat->xkb_state.state,
@@ -1827,6 +1823,24 @@ update_modifier_state(struct weston_seat *seat, uint32_t key, uint32_t state)
 	return ret;
 }
 
+static int
+update_modifier_state(struct weston_seat *seat, uint32_t key,
+		      enum wl_keyboard_key_state state)
+{
+	enum xkb_key_direction direction;
+
+	if (state == WL_KEYBOARD_KEY_STATE_PRESSED)
+		direction = XKB_KEY_DOWN;
+	else
+		direction = XKB_KEY_UP;
+
+	/* Offset the keycode by 8, as the evdev XKB rules reflect X's
+	 * broken keycode system, which starts at 8. */
+	xkb_state_update_key(seat->xkb_state.state, key + 8, direction);
+
+	return modifier_state_changed(seat);
+}
+
 WL_EXPORT void
 notify_key(struct wl_seat *seat, uint32_t time, uint32_t key,
 	   enum wl_keyboard_key_state state)
@@ -1913,59 +1927,68 @@ destroy_device_saved_kbd_focus(struct wl_listener *listener, void *data)
 }
 
 WL_EXPORT void
-notify_keyboard_focus(struct wl_seat *seat, struct wl_array *keys)
+notify_keyboard_focus_in(struct wl_seat *seat, struct wl_array *keys,
+			 enum weston_key_state_update update_state)
 {
 	struct weston_seat *ws = (struct weston_seat *) seat;
 	struct weston_compositor *compositor = ws->compositor;
 	struct wl_surface *surface;
 	uint32_t *k;
 
-	if (keys) {
-		wl_array_copy(&seat->keyboard->keys, keys);
-		ws->modifier_state = 0;
-		wl_array_for_each(k, &seat->keyboard->keys) {
-			weston_compositor_idle_inhibit(compositor);
-			update_modifier_state(ws, *k, 1);
-		}
-
-		surface = ws->saved_kbd_focus;
+	wl_array_copy(&seat->keyboard->keys, keys);
+	wl_array_for_each(k, &seat->keyboard->keys) {
+		weston_compositor_idle_inhibit(compositor);
+		if (update_state == STATE_UPDATE_AUTOMATIC)
+			update_modifier_state(ws, *k,
+					      WL_KEYBOARD_KEY_STATE_PRESSED);
+	}
 
-		if (surface) {
-			wl_list_remove(&ws->saved_kbd_focus_listener.link);
-			wl_keyboard_set_focus(ws->seat.keyboard, surface);
+	surface = ws->saved_kbd_focus;
 
-			if (seat->keyboard->focus_resource) {
-				wl_keyboard_send_modifiers(seat->keyboard->focus_resource,
-							   wl_display_next_serial(compositor->wl_display),
-							   ws->xkb_state.mods_depressed,
-							   ws->xkb_state.mods_latched,
-							   ws->xkb_state.mods_locked,
-							   ws->xkb_state.group);
-			}
-			ws->saved_kbd_focus = NULL;
+	if (surface) {
+		wl_list_remove(&ws->saved_kbd_focus_listener.link);
+		wl_keyboard_set_focus(ws->seat.keyboard, surface);
+
+		if (seat->keyboard->focus_resource) {
+			wl_keyboard_send_modifiers(seat->keyboard->focus_resource,
+						   wl_display_next_serial(compositor->wl_display),
+						   ws->xkb_state.mods_depressed,
+						   ws->xkb_state.mods_latched,
+						   ws->xkb_state.mods_locked,
+						   ws->xkb_state.group);
 		}
-	} else {
-		wl_array_for_each(k, &seat->keyboard->keys)
-			weston_compositor_idle_release(compositor);
+		ws->saved_kbd_focus = NULL;
+	}
+}
 
-		ws->modifier_state = 0;
+WL_EXPORT void
+notify_keyboard_focus_out(struct wl_seat *seat)
+{
+	struct weston_seat *ws = (struct weston_seat *) seat;
+	struct weston_compositor *compositor = ws->compositor;
+	struct wl_surface *surface;
+	uint32_t *k;
+
+	wl_array_for_each(k, &seat->keyboard->keys)
+		weston_compositor_idle_release(compositor);
 
-		surface = ws->seat.keyboard->focus;
+	ws->modifier_state = 0;
 
-		if (surface) {
-			ws->saved_kbd_focus = surface;
-			ws->saved_kbd_focus_listener.notify =
-				destroy_device_saved_kbd_focus;
-			wl_signal_add(&surface->resource.destroy_signal,
-				      &ws->saved_kbd_focus_listener);
-		}
+	surface = ws->seat.keyboard->focus;
 
-		wl_keyboard_set_focus(ws->seat.keyboard, NULL);
-		/* FIXME: We really need keyboard grab cancel here to
-		 * let the grab shut down properly.  As it is we leak
-		 * the grab data. */
-		wl_keyboard_end_grab(ws->seat.keyboard);
+	if (surface) {
+		ws->saved_kbd_focus = surface;
+		ws->saved_kbd_focus_listener.notify =
+			destroy_device_saved_kbd_focus;
+		wl_signal_add(&surface->resource.destroy_signal,
+			      &ws->saved_kbd_focus_listener);
 	}
+
+	wl_keyboard_set_focus(ws->seat.keyboard, NULL);
+	/* FIXME: We really need keyboard grab cancel here to
+	 * let the grab shut down properly.  As it is we leak
+	 * the grab data. */
+	wl_keyboard_end_grab(ws->seat.keyboard);
 }
 
 static void
diff --git a/src/compositor.h b/src/compositor.h
index 8331faa9..2066a562 100644
--- a/src/compositor.h
+++ b/src/compositor.h
@@ -458,6 +458,11 @@ struct weston_surface {
 	void *private;
 };
 
+enum weston_key_state_update {
+	STATE_UPDATE_AUTOMATIC,
+	STATE_UPDATE_NONE,
+};
+
 void
 weston_surface_update_transform(struct weston_surface *surface);
 
@@ -510,7 +515,10 @@ notify_pointer_focus(struct wl_seat *seat, struct weston_output *output,
 		     wl_fixed_t x, wl_fixed_t y);
 
 void
-notify_keyboard_focus(struct wl_seat *seat, struct wl_array *keys);
+notify_keyboard_focus_in(struct wl_seat *seat, struct wl_array *keys,
+			 enum weston_key_state_update update_state);
+void
+notify_keyboard_focus_out(struct wl_seat *seat);
 
 void
 notify_touch(struct wl_seat *seat, uint32_t time, int touch_id,
diff --git a/src/evdev.c b/src/evdev.c
index 9660996f..05d1ebe6 100644
--- a/src/evdev.c
+++ b/src/evdev.c
@@ -593,7 +593,8 @@ evdev_notify_keyboard_focus(struct evdev_seat *seat)
 		}
 	}
 
-	notify_keyboard_focus(&seat->base.seat, &keys);
+	notify_keyboard_focus_in(&seat->base.seat, &keys,
+				 STATE_UPDATE_AUTOMATIC);
 
 	wl_array_release(&keys);
 }
@@ -761,7 +762,7 @@ evdev_remove_devices(struct weston_seat *seat_base)
 	wl_list_for_each_safe(device, next, &seat->devices_list, link)
 		device_removed(device);
 
-	notify_keyboard_focus(&seat->base.seat, NULL);
+	notify_keyboard_focus_out(&seat->base.seat);
 }
 
 void