working on qlaunch now!

src/core/hle/service/am/applet_manager.cpp

@@ -271,7 +271,8 @@ void AppletManager::SetWindowSystem(WindowSystem* window_system) {
         overlay_applet->type = AppletType::OverlayApplet;
         // Use PartialForeground so blending is enabled and overlay can be composed on top
         overlay_applet->library_applet_mode = LibraryAppletMode::PartialForeground;
-        m_window_system->TrackApplet(overlay_applet, true);
+        // Track as a non-application so WindowSystem routes it to m_overlay_display
+        m_window_system->TrackApplet(overlay_applet, false);
         overlay_applet->process->Run();
         LOG_INFO(Service_AM, "Overlay applet launched before application");
     }

src/core/hle/service/am/display_layer_manager.cpp

@@ -73,7 +73,16 @@ Result DisplayLayerManager::CreateManagedDisplayLayer(u64* out_layer_id) {
     R_TRY(m_manager_display_service->CreateManagedLayer(
         out_layer_id, 0, display_id, Service::AppletResourceUserId{m_process->GetProcessId()}));
 
+    // Ensure visibility follows our state
     m_manager_display_service->SetLayerVisibility(m_visible, *out_layer_id);
+
+    // For non-application applets (e.g., overlay), make sure UI layers blend and render on top
+    if (m_applet_id != AppletId::Application) {
+        static constexpr s32 kOverlayZ = 100000;
+        (void)m_manager_display_service->SetLayerBlending(m_blending_enabled, *out_layer_id);
+        (void)m_manager_display_service->SetLayerZIndex(kOverlayZ, *out_layer_id);
+    }
+
     m_managed_display_layers.emplace(*out_layer_id);
 
     R_SUCCEED();