diff --git a/include/freerdp/channels/wtsvc.h b/include/freerdp/channels/wtsvc.h
new file mode 100644
index 000000000..37565076b
--- /dev/null
+++ b/include/freerdp/channels/wtsvc.h
@@ -0,0 +1,128 @@
+/**
+ * FreeRDP: A Remote Desktop Protocol client.
+ * Server Virtual Channel Interface
+ *
+ * Copyright 2011-2012 Vic Lee
+ *
+ * Licensed under the Apache License, Version 2.0 (the "License");
+ * you may not use this file except in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ *     http://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+ */
+
+/**
+ * The server-side virtual channel API follows the Microsoft Remote Desktop
+ * Services API functions WTSVirtualChannel* defined in:
+ * http://msdn.microsoft.com/en-us/library/windows/desktop/aa383464.aspx
+ *
+ * Difference between the MS API are documented in this header. All functions
+ * are implemented in and integrated with libfreerdp-channels.
+ *
+ * Unlike MS API, all functions except WTSVirtualChannelOpenEx in this
+ * implementation are thread-safe.
+ */
+
+#ifndef __FREERDP_WTSVC_H
+#define __FREERDP_WTSVC_H
+
+#include <freerdp/types.h>
+#include <freerdp/peer.h>
+
+typedef struct WTSVirtualChannelManager WTSVirtualChannelManager;
+
+#define WTS_CHANNEL_OPTION_DYNAMIC 0x00000001
+
+typedef enum _WTS_VIRTUAL_CLASS
+{
+	WTSVirtualClientData,
+	WTSVirtualFileHandle 
+} WTS_VIRTUAL_CLASS;
+
+/**
+ * WTSVirtualChannelManager functions are FreeRDP extensions to the API.
+ */
+FREERDP_API WTSVirtualChannelManager* WTSCreateVirtualChannelManager(freerdp_peer* client);
+FREERDP_API void WTSDestroyVirtualChannelManager(WTSVirtualChannelManager* vcm);
+FREERDP_API void WTSVirtualChannelManagerGetFileDescriptor(WTSVirtualChannelManager* vcm,
+	void** fds, int* fds_count);
+FREERDP_API boolean WTSVirtualChannelManagerCheckFileDescriptor(WTSVirtualChannelManager* vcm);
+
+/**
+ * Opens a static or dynamic virtual channel and return the handle. If the
+ * operation fails, a NULL handle is returned.
+ * 
+ * The original MS API has 'DWORD SessionId' as the first argument, while we
+ * use our WTSVirtualChannelManager object instead.
+ *
+ * This functions should be called only from the main thread.
+ */
+FREERDP_API void* WTSVirtualChannelOpenEx(
+	/* __in */ WTSVirtualChannelManager* vcm,
+	/* __in */ const char* pVirtualName,
+	/* __in */ uint32 flags);
+
+/**
+ * Returns information about a specified virtual channel.
+ *
+ * Servers use this function to gain access to a virtual channel file handle
+ * that can be used for asynchronous I/O.
+ */
+FREERDP_API boolean WTSVirtualChannelQuery(
+	/* __in */  void* hChannelHandle,
+	/* __in */  WTS_VIRTUAL_CLASS WtsVirtualClass,
+	/* __out */ void** ppBuffer,
+	/* __out */ uint32* pBytesReturned);
+
+/**
+ * Frees memory allocated by WTSVirtualChannelQuery
+ */
+FREERDP_API void WTSFreeMemory(
+	/* __in */ void* pMemory);
+
+/**
+ * Reads data from the server end of a virtual channel.
+ *
+ * FreeRDP behavior:
+ *
+ * This function will always return a complete channel data packet, i.e. chunks
+ * are already assembled. If BufferSize argument is smaller than the packet
+ * size, it will set the desired size in pBytesRead and return false. The
+ * caller should allocate a large enough buffer and call this function again.
+ * Returning false with pBytesRead set to zero indicates an error has occurred.
+ * If no pending packet to be read, it will set pBytesRead to zero and return
+ * true.
+ *
+ * TimeOut is not supported, and this function will always return immediately.
+ * The caller should use the file handle returned by WTSVirtualChannelQuery to
+ * determine whether a packet has arrived.
+ */
+FREERDP_API boolean WTSVirtualChannelRead(
+	/* __in */  void* hChannelHandle,
+	/* __in */  uint32 TimeOut,
+	/* __out */ uint8* Buffer,
+	/* __in */  uint32 BufferSize,
+	/* __out */ uint32* pBytesRead);
+
+/**
+ * Writes data to the server end of a virtual channel.
+ */
+FREERDP_API boolean WTSVirtualChannelWrite(
+	/* __in */  void* hChannelHandle,
+	/* __in */  uint8* Buffer,
+	/* __in */  uint32 Length,
+	/* __out */ uint32* pBytesWritten);
+
+/**
+ * Closes an open virtual channel handle.
+ */
+FREERDP_API boolean WTSVirtualChannelClose(
+	/* __in */ void* hChannelHandle);
+
+#endif /* __FREERDP_WTSVC_H */
diff --git a/include/freerdp/peer.h b/include/freerdp/peer.h
index 21d58bc45..bc8da5240 100644
--- a/include/freerdp/peer.h
+++ b/include/freerdp/peer.h
@@ -36,6 +36,9 @@ typedef void (*psPeerDisconnect)(freerdp_peer* client);
 typedef boolean (*psPeerPostConnect)(freerdp_peer* client);
 typedef boolean (*psPeerActivate)(freerdp_peer* client);
 
+typedef int (*psPeerSendChannelData)(freerdp_peer* client, int channelId, uint8* data, int size);
+typedef int (*psPeerReceiveChannelData)(freerdp_peer* client, int channelId, uint8* data, int size, int flags, int total_size);
+
 struct rdp_freerdp_peer
 {
 	rdpContext* context;
@@ -57,6 +60,9 @@ struct rdp_freerdp_peer
 
 	psPeerPostConnect PostConnect;
 	psPeerActivate Activate;
+
+	psPeerSendChannelData SendChannelData;
+	psPeerReceiveChannelData ReceiveChannelData;
 };
 
 FREERDP_API void freerdp_peer_context_new(freerdp_peer* client);
diff --git a/include/freerdp/utils/wait_obj.h b/include/freerdp/utils/wait_obj.h
index cb75edb2c..a202a25df 100644
--- a/include/freerdp/utils/wait_obj.h
+++ b/include/freerdp/utils/wait_obj.h
@@ -23,6 +23,7 @@
 #include <freerdp/api.h>
 
 FREERDP_API struct wait_obj* wait_obj_new(void);
+FREERDP_API struct wait_obj* wait_obj_new_with_fd(void* fd);
 FREERDP_API void wait_obj_free(struct wait_obj* obj);
 FREERDP_API int wait_obj_is_set(struct wait_obj* obj);
 FREERDP_API void wait_obj_set(struct wait_obj* obj);
diff --git a/libfreerdp-channels/CMakeLists.txt b/libfreerdp-channels/CMakeLists.txt
index ba0108717..55a139a94 100644
--- a/libfreerdp-channels/CMakeLists.txt
+++ b/libfreerdp-channels/CMakeLists.txt
@@ -19,7 +19,9 @@
 
 set(FREERDP_CHANNELS_SRCS
 	libchannels.c
-	libchannels.h)
+	libchannels.h
+	wtsvc.c
+	wtsvc.h)
 
 add_library(freerdp-channels ${FREERDP_CHANNELS_SRCS})
 
diff --git a/libfreerdp-channels/wtsvc.c b/libfreerdp-channels/wtsvc.c
new file mode 100644
index 000000000..03a91b4b7
--- /dev/null
+++ b/libfreerdp-channels/wtsvc.c
@@ -0,0 +1,372 @@
+/**
+ * FreeRDP: A Remote Desktop Protocol client.
+ * Server Virtual Channel Interface
+ *
+ * Copyright 2011-2012 Vic Lee
+ *
+ * Licensed under the Apache License, Version 2.0 (the "License");
+ * you may not use this file except in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ *     http://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+ */
+
+#include "config.h"
+#include <stdio.h>
+#include <stdlib.h>
+#include <string.h>
+#include <freerdp/constants.h>
+#include <freerdp/utils/memory.h>
+
+#include "wtsvc.h"
+
+typedef struct wts_data_item
+{
+	uint16 channel_id;
+	uint8* buffer;
+	uint32 length;
+} wts_data_item;
+
+static void wts_data_item_free(wts_data_item* item)
+{
+	xfree(item->buffer);
+	xfree(item);
+}
+
+static void WTSProcessChannelData(rdpPeerChannel* channel, int channelId, uint8* data, int size, int flags, int total_size)
+{
+	wts_data_item* item;
+
+	if (flags & CHANNEL_FLAG_FIRST)
+	{
+		stream_set_pos(channel->receive_data, 0);
+	}
+
+	stream_check_size(channel->receive_data, size);
+	stream_write(channel->receive_data, data, size);
+
+	if (flags & CHANNEL_FLAG_LAST)
+	{
+		if (stream_get_length(channel->receive_data) != total_size)
+		{
+			printf("WTSProcessChannelData: read error\n");
+		}
+		if (channel->channel_type == RDP_PEER_CHANNEL_TYPE_DVC)
+		{
+			/* TODO: Receive DVC channel data */
+		}
+		else
+		{
+			item = xnew(wts_data_item);
+			item->length = stream_get_length(channel->receive_data);
+			item->buffer = xmalloc(item->length);
+			memcpy(item->buffer, stream_get_head(channel->receive_data), item->length);
+
+			freerdp_mutex_lock(channel->mutex);
+			list_enqueue(channel->receive_queue, item);
+			freerdp_mutex_unlock(channel->mutex);
+
+			wait_obj_set(channel->receive_event);
+		}
+		stream_set_pos(channel->receive_data, 0);
+	}
+}
+
+static int WTSReceiveChannelData(freerdp_peer* client, int channelId, uint8* data, int size, int flags, int total_size)
+{
+	int i;
+	boolean result = false;
+	rdpPeerChannel* channel;
+
+	for (i = 0; i < client->settings->num_channels; i++)
+	{
+		if (client->settings->channels[i].channel_id == channelId)
+			break;
+	}
+	if (i < client->settings->num_channels)
+	{
+		channel = (rdpPeerChannel*) client->settings->channels[i].handle;
+		if (channel != NULL)
+		{
+			WTSProcessChannelData(channel, channelId, data, size, flags, total_size);
+			result = true;
+		}
+	}
+
+	return result;
+}
+
+WTSVirtualChannelManager* WTSCreateVirtualChannelManager(freerdp_peer* client)
+{
+	WTSVirtualChannelManager* vcm;
+
+	vcm = xnew(WTSVirtualChannelManager);
+	if (vcm != NULL)
+	{
+		vcm->client = client;
+		vcm->send_event = wait_obj_new();
+		vcm->send_queue = list_new();
+		vcm->mutex = freerdp_mutex_new();
+
+		client->ReceiveChannelData = WTSReceiveChannelData;
+	}
+
+	return vcm;
+}
+
+void WTSDestroyVirtualChannelManager(WTSVirtualChannelManager* vcm)
+{
+	wts_data_item* item;
+
+	if (vcm != NULL)
+	{
+		if (vcm->drdynvc_channel != NULL)
+		{
+			WTSVirtualChannelClose(vcm->drdynvc_channel);
+			vcm->drdynvc_channel = NULL;
+		}
+
+		wait_obj_free(vcm->send_event);
+		while ((item = (wts_data_item*) list_dequeue(vcm->send_queue)) != NULL)
+		{
+			wts_data_item_free(item);
+		}
+		list_free(vcm->send_queue);
+		freerdp_mutex_free(vcm->mutex);
+		xfree(vcm);
+	}
+}
+
+void WTSVirtualChannelManagerGetFileDescriptor(WTSVirtualChannelManager* vcm,
+	void** fds, int* fds_count)
+{
+	wait_obj_get_fds(vcm->send_event, fds, fds_count);
+}
+
+boolean WTSVirtualChannelManagerCheckFileDescriptor(WTSVirtualChannelManager* vcm)
+{
+	boolean result = true;
+	wts_data_item* item;
+
+	wait_obj_clear(vcm->send_event);
+
+	freerdp_mutex_lock(vcm->mutex);
+	while ((item = (wts_data_item*) list_dequeue(vcm->send_queue)) != NULL)
+	{
+		if (vcm->client->SendChannelData(vcm->client, item->channel_id, item->buffer, item->length) == false)
+		{
+			result = false;
+		}
+		wts_data_item_free(item);
+		if (result == false)
+			break;
+	}
+	freerdp_mutex_unlock(vcm->mutex);
+
+	return result;
+}
+
+void* WTSVirtualChannelOpenEx(
+	/* __in */ WTSVirtualChannelManager* vcm,
+	/* __in */ const char* pVirtualName,
+	/* __in */ uint32 flags)
+{
+	int i;
+	int len;
+	rdpPeerChannel* channel;
+	const char* channel_name;
+	freerdp_peer* client = vcm->client;
+
+	channel_name = ((flags & WTS_CHANNEL_OPTION_DYNAMIC) != 0 ? "drdynvc" : pVirtualName);
+
+	len = strlen(channel_name);
+	if (len > 8)
+		return NULL;
+
+	for (i = 0; i < client->settings->num_channels; i++)
+	{
+		if (client->settings->channels[i].joined &&
+			strncmp(client->settings->channels[i].name, channel_name, len) == 0)
+		{
+			break;
+		}
+	}
+	if (i >= client->settings->num_channels)
+		return NULL;
+
+	channel = (rdpPeerChannel*) client->settings->channels[i].handle;
+	if (channel == NULL)
+	{
+		channel = xnew(rdpPeerChannel);
+		channel->vcm = vcm;
+		channel->client = client;
+		channel->channel_id = client->settings->channels[i].channel_id;
+		channel->index = i;
+		channel->receive_data = stream_new(client->settings->vc_chunk_size);
+		if ((flags & WTS_CHANNEL_OPTION_DYNAMIC) != 0)
+		{
+			channel->channel_type = RDP_PEER_CHANNEL_TYPE_DVC;
+			vcm->drdynvc_channel = channel;
+		}
+		else
+		{
+			channel->channel_type = RDP_PEER_CHANNEL_TYPE_SVC;
+			channel->receive_event = wait_obj_new();
+			channel->receive_queue = list_new();
+			channel->mutex = freerdp_mutex_new();
+		}
+
+		client->settings->channels[i].handle = channel;
+	}
+	if (channel->channel_type == RDP_PEER_CHANNEL_TYPE_DVC)
+	{
+		/* TODO: do DVC channel initialization here using pVirtualName */
+		/* A sub-channel should be created and returned, instead of using the main drdynvc channel */
+		/* Set channel->index to num_channels */
+	}
+
+	return channel;
+}
+
+boolean WTSVirtualChannelQuery(
+	/* __in */  void* hChannelHandle,
+	/* __in */  WTS_VIRTUAL_CLASS WtsVirtualClass,
+	/* __out */ void** ppBuffer,
+	/* __out */ uint32* pBytesReturned)
+{
+	void* fds[10];
+	int fds_count = 0;
+	boolean result = false;
+	rdpPeerChannel* channel = (rdpPeerChannel*) hChannelHandle;
+
+	switch (WtsVirtualClass)
+	{
+		case WTSVirtualFileHandle:
+			wait_obj_get_fds(channel->receive_event, fds, &fds_count);
+			*ppBuffer = xmalloc(sizeof(void*));
+			memcpy(*ppBuffer, &fds[0], sizeof(void*));
+			*pBytesReturned = sizeof(void*);
+			result = true;
+			break;
+
+		default:
+			break;
+	}
+	return result;
+}
+
+void WTSFreeMemory(
+	/* __in */ void* pMemory)
+{
+	xfree(pMemory);
+}
+
+boolean WTSVirtualChannelRead(
+	/* __in */  void* hChannelHandle,
+	/* __in */  uint32 TimeOut,
+	/* __out */ uint8* Buffer,
+	/* __in */  uint32 BufferSize,
+	/* __out */ uint32* pBytesRead)
+{
+	wts_data_item* item;
+	rdpPeerChannel* channel = (rdpPeerChannel*) hChannelHandle;
+
+	item = (wts_data_item*) list_peek(channel->receive_queue);
+	if (item == NULL)
+	{
+		wait_obj_clear(channel->receive_event);
+		*pBytesRead = 0;
+		return true;
+	}
+	*pBytesRead = item->length;
+	if (item->length > BufferSize)
+		return false;
+
+	/* remove the first element (same as what we just peek) */
+	freerdp_mutex_lock(channel->mutex);
+	list_dequeue(channel->receive_queue);
+	if (channel->receive_queue->head == NULL)
+		wait_obj_clear(channel->receive_event);
+	freerdp_mutex_unlock(channel->mutex);
+
+	memcpy(Buffer, item->buffer, item->length);
+
+	return true;
+}
+
+boolean WTSVirtualChannelWrite(
+	/* __in */  void* hChannelHandle,
+	/* __in */  uint8* Buffer,
+	/* __in */  uint32 Length,
+	/* __out */ uint32* pBytesWritten)
+{
+	uint32 written = 0;
+	wts_data_item* item;
+	boolean result = false;
+	rdpPeerChannel* channel = (rdpPeerChannel*) hChannelHandle;
+	WTSVirtualChannelManager* vcm = channel->vcm;
+
+	if (channel == NULL)
+		return false;
+
+	if (channel->channel_type == RDP_PEER_CHANNEL_TYPE_SVC)
+	{
+		item = xnew(wts_data_item);
+		item->channel_id = channel->channel_id;
+		item->buffer = xmalloc(Length);
+		item->length = Length;
+		memcpy(item->buffer, Buffer, Length);
+
+		freerdp_mutex_lock(vcm->mutex);
+		list_enqueue(vcm->send_queue, item);
+		freerdp_mutex_unlock(vcm->mutex);
+
+		wait_obj_set(vcm->send_event);
+
+		written = Length;
+		result = true;
+	}
+	else
+	{
+		/* TODO: Send to DVC channel */
+	}
+
+	if (pBytesWritten != NULL)
+		*pBytesWritten = written;
+	return result;
+}
+
+boolean WTSVirtualChannelClose(
+	/* __in */ void* hChannelHandle)
+{
+	wts_data_item* item;
+	rdpPeerChannel* channel = (rdpPeerChannel*) hChannelHandle;
+
+	if (channel != NULL)
+	{
+		if (channel->index < channel->client->settings->num_channels)
+			channel->client->settings->channels[channel->index].handle = NULL;
+		stream_free(channel->receive_data);
+		if (channel->receive_event)
+			wait_obj_free(channel->receive_event);
+		if (channel->receive_queue)
+		{
+			while ((item = (wts_data_item*) list_dequeue(channel->receive_queue)) != NULL)
+			{
+				wts_data_item_free(item);
+			}
+			list_free(channel->receive_queue);
+		}
+		if (channel->mutex)
+			freerdp_mutex_free(channel->mutex);
+		xfree(channel);
+	}
+
+	return true;
+}
diff --git a/libfreerdp-channels/wtsvc.h b/libfreerdp-channels/wtsvc.h
new file mode 100644
index 000000000..11110d490
--- /dev/null
+++ b/libfreerdp-channels/wtsvc.h
@@ -0,0 +1,61 @@
+/**
+ * FreeRDP: A Remote Desktop Protocol client.
+ * Server Virtual Channel Interface
+ *
+ * Copyright 2011-2012 Vic Lee
+ *
+ * Licensed under the Apache License, Version 2.0 (the "License");
+ * you may not use this file except in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ *     http://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+ */
+
+#ifndef __WTSVC_H
+#define __WTSVC_H
+
+#include <freerdp/freerdp.h>
+#include <freerdp/utils/stream.h>
+#include <freerdp/utils/list.h>
+#include <freerdp/utils/mutex.h>
+#include <freerdp/utils/wait_obj.h>
+#include <freerdp/channels/wtsvc.h>
+
+enum
+{
+	RDP_PEER_CHANNEL_TYPE_SVC = 0,
+	RDP_PEER_CHANNEL_TYPE_DVC = 1,
+	RDP_PEER_CHANNEL_TYPE_DVC_SUB = 2
+};
+
+typedef struct rdp_peer_channel
+{
+	WTSVirtualChannelManager* vcm;
+	freerdp_peer* client;
+	uint16 channel_id;
+	uint16 channel_type;
+	uint16 index;
+
+	STREAM* receive_data;
+	struct wait_obj* receive_event;
+	LIST* receive_queue;
+	freerdp_mutex mutex;
+} rdpPeerChannel;
+
+struct WTSVirtualChannelManager
+{
+	freerdp_peer* client;
+	struct wait_obj* send_event;
+	LIST* send_queue;
+	freerdp_mutex mutex;
+
+	rdpPeerChannel* drdynvc_channel;
+};
+
+#endif /* __WTSVC_H */
diff --git a/libfreerdp-core/channel.c b/libfreerdp-core/channel.c
index 8f137910a..e92a0a80c 100644
--- a/libfreerdp-core/channel.c
+++ b/libfreerdp-core/channel.c
@@ -21,6 +21,7 @@
 #include <stdlib.h>
 #include <string.h>
 #include <freerdp/freerdp.h>
+#include <freerdp/peer.h>
 #include <freerdp/constants.h>
 #include <freerdp/utils/memory.h>
 #include <freerdp/utils/stream.h>
@@ -28,7 +29,7 @@
 #include "rdp.h"
 #include "channel.h"
 
-boolean freerdp_channel_send(freerdp* instance, uint16 channel_id, uint8* data, int size)
+boolean freerdp_channel_send(rdpRdp* rdp, uint16 channel_id, uint8* data, int size)
 {
 	STREAM* s;
 	uint32 flags;
@@ -36,11 +37,11 @@ boolean freerdp_channel_send(freerdp* instance, uint16 channel_id, uint8* data,
 	int chunk_size;
 	rdpChannel* channel = NULL;
 
-	for (i = 0; i < instance->settings->num_channels; i++)
+	for (i = 0; i < rdp->settings->num_channels; i++)
 	{
-		if (instance->settings->channels[i].channel_id == channel_id)
+		if (rdp->settings->channels[i].channel_id == channel_id)
 		{
-			channel = &instance->settings->channels[i];
+			channel = &rdp->settings->channels[i];
 			break;
 		}
 	}
@@ -55,11 +56,11 @@ boolean freerdp_channel_send(freerdp* instance, uint16 channel_id, uint8* data,
 	left = size;
 	while (left > 0)
 	{
-		s = rdp_send_stream_init(instance->context->rdp);
+		s = rdp_send_stream_init(rdp);
 
-		if (left > (int) instance->settings->vc_chunk_size)
+		if (left > (int) rdp->settings->vc_chunk_size)
 		{
-			chunk_size = instance->settings->vc_chunk_size;
+			chunk_size = rdp->settings->vc_chunk_size;
 		}
 		else
 		{
@@ -76,7 +77,7 @@ boolean freerdp_channel_send(freerdp* instance, uint16 channel_id, uint8* data,
 		stream_check_size(s, chunk_size);
 		stream_write(s, data, chunk_size);
 
-		rdp_send(instance->context->rdp, s, channel_id);
+		rdp_send(rdp, s, channel_id);
 
 		data += chunk_size;
 		left -= chunk_size;
@@ -100,3 +101,16 @@ void freerdp_channel_process(freerdp* instance, STREAM* s, uint16 channel_id)
 		channel_id, stream_get_tail(s), chunk_length, flags, length);
 }
 
+void freerdp_channel_peer_process(freerdp_peer* client, STREAM* s, uint16 channel_id)
+{
+	uint32 length;
+	uint32 flags;
+	int chunk_length;
+
+	stream_read_uint32(s, length);
+	stream_read_uint32(s, flags);
+	chunk_length = stream_get_left(s);
+
+	IFCALL(client->ReceiveChannelData, client,
+		channel_id, stream_get_tail(s), chunk_length, flags, length);
+}
diff --git a/libfreerdp-core/channel.h b/libfreerdp-core/channel.h
index afb501dee..3632247c4 100644
--- a/libfreerdp-core/channel.h
+++ b/libfreerdp-core/channel.h
@@ -20,7 +20,8 @@
 #ifndef __CHANNEL_H
 #define __CHANNEL_H
 
-boolean freerdp_channel_send(freerdp* instance, uint16 channel_id, uint8* data, int size);
+boolean freerdp_channel_send(rdpRdp* rdp, uint16 channel_id, uint8* data, int size);
 void freerdp_channel_process(freerdp* instance, STREAM* s, uint16 channel_id);
+void freerdp_channel_peer_process(freerdp_peer* client, STREAM* s, uint16 channel_id);
 
 #endif /* __CHANNEL_H */
diff --git a/libfreerdp-core/peer.c b/libfreerdp-core/peer.c
index 3841f9da3..4d381dfbb 100644
--- a/libfreerdp-core/peer.c
+++ b/libfreerdp-core/peer.c
@@ -126,7 +126,7 @@ static boolean peer_recv_tpkt_pdu(freerdp_peer* client, STREAM* s)
 
 	if (channelId != MCS_GLOBAL_CHANNEL_ID)
 	{
-		/* TODO: process channel data from client */
+		freerdp_channel_peer_process(client, s, channelId);
 	}
 	else
 	{
@@ -242,6 +242,11 @@ static void freerdp_peer_disconnect(freerdp_peer* client)
 	transport_disconnect(client->context->rdp->transport);
 }
 
+static int freerdp_peer_send_channel_data(freerdp_peer* client, int channelId, uint8* data, int size)
+{
+	return rdp_send_channel_data(client->context->rdp, channelId, data, size);
+}
+
 void freerdp_peer_context_new(freerdp_peer* client)
 {
 	rdpRdp* rdp;
@@ -288,6 +293,7 @@ freerdp_peer* freerdp_peer_new(int sockfd)
 		client->GetFileDescriptor = freerdp_peer_get_fds;
 		client->CheckFileDescriptor = freerdp_peer_check_fds;
 		client->Disconnect = freerdp_peer_disconnect;
+		client->SendChannelData = freerdp_peer_send_channel_data;
 	}
 
 	return client;
diff --git a/libfreerdp-core/rdp.c b/libfreerdp-core/rdp.c
index 7ba54e3aa..3b1d7c859 100644
--- a/libfreerdp-core/rdp.c
+++ b/libfreerdp-core/rdp.c
@@ -775,7 +775,7 @@ static boolean rdp_recv_callback(rdpTransport* transport, STREAM* s, void* extra
 
 int rdp_send_channel_data(rdpRdp* rdp, int channel_id, uint8* data, int size)
 {
-	return freerdp_channel_send(rdp->instance, channel_id, data, size);
+	return freerdp_channel_send(rdp, channel_id, data, size);
 }
 
 /**
diff --git a/libfreerdp-utils/wait_obj.c b/libfreerdp-utils/wait_obj.c
index 34273380b..a2ba5b921 100644
--- a/libfreerdp-utils/wait_obj.c
+++ b/libfreerdp-utils/wait_obj.c
@@ -41,6 +41,7 @@ struct wait_obj
 #else
 	int pipe_fd[2];
 #endif
+	int attached;
 };
 
 struct wait_obj*
@@ -50,6 +51,7 @@ wait_obj_new(void)
 
 	obj = xnew(struct wait_obj);
 
+	obj->attached = 0;
 #ifdef _WIN32
 	obj->event = CreateEvent(NULL, TRUE, FALSE, NULL);
 #else
@@ -66,30 +68,50 @@ wait_obj_new(void)
 	return obj;
 }
 
+struct wait_obj* wait_obj_new_with_fd(void* fd)
+{
+	struct wait_obj* obj;
+
+	obj = xnew(struct wait_obj);
+
+	obj->attached = 1;
+#ifdef _WIN32
+	obj->event = fd;
+#else
+	obj->pipe_fd[0] = (int)(long)fd;
+	obj->pipe_fd[1] = -1;
+#endif
+
+	return obj;
+}
+
 void
 wait_obj_free(struct wait_obj* obj)
 {
 	if (obj)
 	{
 
+		if (obj->attached == 0)
+		{
 #ifdef _WIN32
-		if (obj->event)
-		{
-			CloseHandle(obj->event);
-			obj->event = NULL;
-		}
+			if (obj->event)
+			{
+				CloseHandle(obj->event);
+				obj->event = NULL;
+			}
 #else
-		if (obj->pipe_fd[0] != -1)
-		{
-			close(obj->pipe_fd[0]);
-			obj->pipe_fd[0] = -1;
-		}
-		if (obj->pipe_fd[1] != -1)
-		{
-			close(obj->pipe_fd[1]);
-			obj->pipe_fd[1] = -1;
-		}
+			if (obj->pipe_fd[0] != -1)
+			{
+				close(obj->pipe_fd[0]);
+				obj->pipe_fd[0] = -1;
+			}
+			if (obj->pipe_fd[1] != -1)
+			{
+				close(obj->pipe_fd[1]);
+				obj->pipe_fd[1] = -1;
+			}
 #endif
+		}
 
 		xfree(obj);
 	}
diff --git a/server/test/CMakeLists.txt b/server/test/CMakeLists.txt
index 842b8617c..eb930231e 100644
--- a/server/test/CMakeLists.txt
+++ b/server/test/CMakeLists.txt
@@ -23,3 +23,4 @@ add_executable(tfreerdp-server
 target_link_libraries(tfreerdp-server freerdp-core)
 target_link_libraries(tfreerdp-server freerdp-utils)
 target_link_libraries(tfreerdp-server freerdp-codec)
+target_link_libraries(tfreerdp-server freerdp-channels)
diff --git a/server/test/tfreerdp.c b/server/test/tfreerdp.c
index ebde3fe8b..74761cf53 100644
--- a/server/test/tfreerdp.c
+++ b/server/test/tfreerdp.c
@@ -31,6 +31,7 @@
 #include <freerdp/utils/thread.h>
 #include <freerdp/codec/rfx.h>
 #include <freerdp/listener.h>
+#include <freerdp/channels/wtsvc.h>
 
 static char* test_pcap_file = NULL;
 static boolean test_dump_rfx_realtime = true;
@@ -54,6 +55,9 @@ struct test_peer_context
 	int icon_x;
 	int icon_y;
 	boolean activated;
+	WTSVirtualChannelManager* vcm;
+	void* debug_channel;
+	freerdp_thread* debug_channel_thread;
 };
 typedef struct test_peer_context testPeerContext;
 
@@ -69,16 +73,28 @@ void test_peer_context_new(freerdp_peer* client, testPeerContext* context)
 
 	context->icon_x = -1;
 	context->icon_y = -1;
+
+	context->vcm = WTSCreateVirtualChannelManager(client);
 }
 
 void test_peer_context_free(freerdp_peer* client, testPeerContext* context)
 {
 	if (context)
 	{
+		if (context->debug_channel_thread)
+		{
+			freerdp_thread_stop(context->debug_channel_thread);
+			freerdp_thread_free(context->debug_channel_thread);
+		}
 		stream_free(context->s);
 		xfree(context->icon_data);
 		xfree(context->bg_data);
 		rfx_context_free(context->rfx_context);
+		if (context->debug_channel)
+		{
+			WTSVirtualChannelClose(context->debug_channel);
+		}
+		WTSDestroyVirtualChannelManager(context->vcm);
 		xfree(context);
 	}
 }
@@ -317,8 +333,62 @@ void tf_peer_dump_rfx(freerdp_peer* client)
 	}
 }
 
+static void* tf_debug_channel_thread_func(void* arg)
+{
+	void* fd;
+	STREAM* s;
+	void* buffer;
+	uint32 bytes_returned = 0;
+	testPeerContext* context = (testPeerContext*) arg;
+	freerdp_thread* thread = context->debug_channel_thread;
+
+	if (WTSVirtualChannelQuery(context->debug_channel, WTSVirtualFileHandle, &buffer, &bytes_returned) == true)
+	{
+		fd = *((void**)buffer);
+		WTSFreeMemory(buffer);
+		thread->signals[thread->num_signals++] = wait_obj_new_with_fd(fd);
+	}
+
+	s = stream_new(4096);
+
+	WTSVirtualChannelWrite(context->debug_channel, (uint8*) "test1", 5, NULL);
+
+	while (1)
+	{
+		freerdp_thread_wait(thread);
+		if (freerdp_thread_is_stopped(thread))
+			break;
+
+		stream_set_pos(s, 0);
+		if (WTSVirtualChannelRead(context->debug_channel, 0, stream_get_head(s),
+			stream_get_size(s), &bytes_returned) == false)
+		{
+			if (bytes_returned == 0)
+				break;
+			stream_check_size(s, bytes_returned);
+			if (WTSVirtualChannelRead(context->debug_channel, 0, stream_get_head(s),
+				stream_get_size(s), &bytes_returned) == false)
+			{
+				/* should not happen */
+				break;
+			}
+		}
+		stream_set_pos(s, bytes_returned);
+
+		printf("got %d bytes\n", bytes_returned);
+	}
+
+	stream_free(s);
+	freerdp_thread_quit(thread);
+
+	return 0;
+}
+
 boolean tf_peer_post_connect(freerdp_peer* client)
 {
+	int i;
+	testPeerContext* context = (testPeerContext*) client->context;
+
 	/**
 	 * This callback is called when the entire connection sequence is done, i.e. we've received the
 	 * Font List PDU from the client and sent out the Font Map PDU.
@@ -342,6 +412,25 @@ boolean tf_peer_post_connect(freerdp_peer* client)
 	/* A real server should tag the peer as activated here and start sending updates in mainloop. */
 	test_peer_load_icon(client);
 
+	/* Iterate all channel names requested by the client and activate those supported by the server */
+	for (i = 0; i < client->settings->num_channels; i++)
+	{
+		if (client->settings->channels[i].joined)
+		{
+			if (strncmp(client->settings->channels[i].name, "rdpdbg", 6) == 0)
+			{
+				context->debug_channel = WTSVirtualChannelOpenEx(context->vcm, "rdpdbg", 0);
+				if (context->debug_channel != NULL)
+				{
+					printf("Open channel rdpdbg.\n");
+					context->debug_channel_thread = freerdp_thread_new();
+					freerdp_thread_start(context->debug_channel_thread,
+						tf_debug_channel_thread_func, context);
+				}
+			}
+		}
+	}
+
 	/* Return false here would stop the execution of the peer mainloop. */
 	return true;
 }
@@ -394,6 +483,13 @@ void tf_peer_keyboard_event(rdpInput* input, uint16 flags, uint16 code)
 		update->DesktopResize(update->context);
 		context->activated = false;
 	}
+	else if ((flags & 0x4000) && code == 0x2E) /* 'c' key */
+	{
+		if (context->debug_channel)
+		{
+			WTSVirtualChannelWrite(context->debug_channel, (uint8*) "test2", 5, NULL);
+		}
+	}
 }
 
 void tf_peer_unicode_keyboard_event(rdpInput* input, uint16 code)
@@ -421,6 +517,7 @@ static void* test_peer_mainloop(void* arg)
 	int rcount;
 	void* rfds[32];
 	fd_set rfds_set;
+	testPeerContext* context;
 	freerdp_peer* client = (freerdp_peer*) arg;
 
 	memset(rfds, 0, sizeof(rfds));
@@ -443,6 +540,7 @@ static void* test_peer_mainloop(void* arg)
 	client->input->ExtendedMouseEvent = tf_peer_extended_mouse_event;
 
 	client->Initialize(client);
+	context = (testPeerContext*) client->context;
 
 	printf("We've got a client %s\n", client->hostname);
 
@@ -455,6 +553,7 @@ static void* test_peer_mainloop(void* arg)
 			printf("Failed to get FreeRDP file descriptor\n");
 			break;
 		}
+		WTSVirtualChannelManagerGetFileDescriptor(context->vcm, rfds, &rcount);
 
 		max_fds = 0;
 		FD_ZERO(&rfds_set);
@@ -487,6 +586,8 @@ static void* test_peer_mainloop(void* arg)
 
 		if (client->CheckFileDescriptor(client) != true)
 			break;
+		if (WTSVirtualChannelManagerCheckFileDescriptor(context->vcm) != true)
+			break;
 	}
 
 	printf("Client %s disconnected.\n", client->hostname);