diff --git a/lib_com/cnst.h b/lib_com/cnst.h
index d518dff0df3cce6bdc2ac6b56907403c49643e27..a35f5280c228de623d417afd7d4b602f10a01077 100644
--- a/lib_com/cnst.h
+++ b/lib_com/cnst.h
@@ -2240,5 +2240,13 @@ enum
     VOIP_RTPDUMP
 };
 
+#ifdef FIX_489_COV_SMOOTHING
+typedef enum _COV_SMOOTHING_TYPE
+{
+    COV_SMOOTH_SPAR,
+    COV_SMOOTH_MC
+} COV_SMOOTHING_TYPE;
+#endif
+
 /* clang-format on */
 #endif /* CNST_H */
diff --git a/lib_com/ivas_cov_smooth.c b/lib_com/ivas_cov_smooth.c
index 1860e6ac70cad5a82a3a76290368f46b027d6c41..e407bccc6c67c6b7193b70b88faa8b45890f57e5 100644
--- a/lib_com/ivas_cov_smooth.c
+++ b/lib_com/ivas_cov_smooth.c
@@ -35,6 +35,9 @@
 #ifdef DEBUGGING
 #include "debug.h"
 #endif
+#ifdef FIX_489_COV_SMOOTHING
+#include "cnst.h"
+#endif
 #include "ivas_prot.h"
 #include "wmc_auto.h"
 #include "prot.h"
@@ -50,7 +53,12 @@ static void ivas_set_up_cov_smoothing(
     ivas_cov_smooth_state_t *hCovState,
     ivas_filterbank_t *pFb,
     const float max_update_rate,
-    const int16_t min_pool_size,
+    const int16_t min_pool_size
+#ifdef FIX_489_COV_SMOOTHING
+    ,
+    const COV_SMOOTHING_TYPE smooth_mode /* i  : flag multichannel vs SPAR       */
+#endif
+    ,
     const int32_t ivas_total_brate )
 {
     int16_t j, k;
@@ -88,7 +96,30 @@ static void ivas_set_up_cov_smoothing(
             }
         }
     }
+#ifdef FIX_489_COV_SMOOTHING
+    else if ( smooth_mode == COV_SMOOTH_MC )
+    {
+        for ( j = 0; j < pFb->filterbank_num_bands; j++ )
+        {
+            float update_factor;
+            update_factor = 0.0f;
+
+            for ( k = 0; k < pFb->fb_bin_to_band.pFb_active_bins_per_band[j]; k++ )
+            {
+                update_factor += pFb->fb_bin_to_band.pFb_bin_to_band[j][k];
+            }
+
+            hCovState->pSmoothing_factor[j] = update_factor / min_pool_size;
+
+            if ( hCovState->pSmoothing_factor[j] > max_update_rate )
+            {
+                hCovState->pSmoothing_factor[j] = max_update_rate;
+            }
+        }
+    }
+#endif
     else
+    {
         for ( j = 0; j < pFb->filterbank_num_bands; j++ )
         {
             float update_factor;
@@ -108,6 +139,8 @@ static void ivas_set_up_cov_smoothing(
                 hCovState->pSmoothing_factor[j] = max_update_rate;
             }
         }
+    }
+
     hCovState->prior_bank_idx = -1;
 
     return;
@@ -126,6 +159,9 @@ ivas_error ivas_spar_covar_smooth_enc_open(
     ivas_filterbank_t *pFb,                      /* i/o: FB handle                      */
     const int16_t nchan_inp                      /* i  : number of input channels       */
     ,
+#ifdef FIX_489_COV_SMOOTHING
+    COV_SMOOTHING_TYPE smooth_mode, /* i : Smooth covariance for SPAR or MC */
+#endif
     const int32_t ivas_total_brate /* i  : IVAS total bitrate             */
 )
 {
@@ -155,7 +191,11 @@ ivas_error ivas_spar_covar_smooth_enc_open(
     }
 
 
+#ifdef FIX_489_COV_SMOOTHING
+    ivas_set_up_cov_smoothing( hCovState, pFb, cov_smooth_cfg->max_update_rate, cov_smooth_cfg->min_pool_size, smooth_mode, ivas_total_brate );
+#else
     ivas_set_up_cov_smoothing( hCovState, pFb, cov_smooth_cfg->max_update_rate, cov_smooth_cfg->min_pool_size, ivas_total_brate );
+#endif
 
     *hCovState_out = hCovState;
 
diff --git a/lib_com/ivas_prot.h b/lib_com/ivas_prot.h
index 9b6871695e56d46bd1beea1d76c54e10aac37b2e..650473d85221fc723834ea642781869912856ea8 100644
--- a/lib_com/ivas_prot.h
+++ b/lib_com/ivas_prot.h
@@ -4733,6 +4733,9 @@ ivas_error ivas_spar_covar_enc_open(
     const int32_t input_Fs,                                     /* i  : input sampling rate                     */
     const int16_t nchan_inp                                     /* i  : number of input channels                */
 	,
+#ifdef FIX_489_COV_SMOOTHING
+    COV_SMOOTHING_TYPE smooth_mode,                    /* i : Smooth covariance for SPAR or MC*/
+#endif
 	const int32_t ivas_total_brate                              /* i  : IVAS total bitrate                      */
 );
 
@@ -4763,6 +4766,9 @@ ivas_error ivas_spar_covar_smooth_enc_open(
     ivas_filterbank_t *pFb,                                     /* i/o: FB handle                               */
     const int16_t nchan_inp                                     /* i  : number of input channels                */
     ,
+#ifdef FIX_489_COV_SMOOTHING
+    COV_SMOOTHING_TYPE smooth_mode,                    /* i : Smooth covariance for SPAR or MC*/
+#endif
     const int32_t ivas_total_brate                              /* i  : IVAS total bitrate             */
 );
 
diff --git a/lib_com/options.h b/lib_com/options.h
index 0a9e37c1919f261176a716f120c3fdb52a08ab68..bc6458d295bb9ed29e0f0cb866d74d3172401c88 100644
--- a/lib_com/options.h
+++ b/lib_com/options.h
@@ -203,6 +203,8 @@
 #define FIX_HBR_MASAMETA                                /* Nokia: Fixes to HBR MASA metadata at 384 and 512 kbps. Addresses issues 438 and 477 as well. */
 #define FIX_482_DUMMYDEC_INIT                           /* Nokia: fix issue #428: missing inits for dummyDec in IVAS_rend */
 #define FIX_468_16KHZ_PUPMIX                            /* Dlb: Fix issue 468 for Param Upmix at 16kHz sampling rate */
+#define FIX_489_COV_SMOOTHING                           /* Dlb: Fix covariance smoothing for ParamUpmix */
+
 
 #define FIX_485_STATIC_BUFFERS                          /* FhG: move static buffers in DirAC parameter estimator to the DirAC struct */
 
diff --git a/lib_enc/ivas_enc_cov_handler.c b/lib_enc/ivas_enc_cov_handler.c
index 2d1c5425bf37e061f1d25340ef70b0397c40e7e6..61c4ccaef9afc4edcd578f279edb6194c4781c6d 100644
--- a/lib_enc/ivas_enc_cov_handler.c
+++ b/lib_enc/ivas_enc_cov_handler.c
@@ -68,6 +68,9 @@ ivas_error ivas_spar_covar_enc_open(
     const int32_t input_Fs,                 /* i  : input sampling rate            */
     const int16_t nchan_inp                 /* i  : number of input channels       */
     ,
+#ifdef FIX_489_COV_SMOOTHING
+    COV_SMOOTHING_TYPE smooth_mode, /* i : Smooth covariance for SPAR or MC */
+#endif
     const int32_t ivas_total_brate /* i  : IVAS total bitrate              */
 )
 {
@@ -85,13 +88,25 @@ ivas_error ivas_spar_covar_enc_open(
     cov_smooth_cfg.max_bands = IVAS_MAX_NUM_BANDS;
     cov_smooth_cfg.max_update_rate = MAX_UPDATE_RATE;
     cov_smooth_cfg.min_pool_size = MIN_POOL_SIZE;
+#ifdef FIX_489_COV_SMOOTHING
+    if ( smooth_mode == COV_SMOOTH_MC )
+    {
+        cov_smooth_cfg.max_update_rate = 1.0f;
+        cov_smooth_cfg.min_pool_size = 20;
+    }
+#else
     if ( nchan_inp == 3 ) /* to discriminate between SPAR and mc there could be a better solution */
     {
         cov_smooth_cfg.max_update_rate = 1.0f;
         cov_smooth_cfg.min_pool_size = 20;
     }
+#endif
 
+#ifdef FIX_489_COV_SMOOTHING
+    if ( ( error = ivas_spar_covar_smooth_enc_open( &hCovState->pCov_state, &cov_smooth_cfg, pFb, nchan_inp, smooth_mode, ivas_total_brate ) ) != IVAS_ERR_OK )
+#else
     if ( ( error = ivas_spar_covar_smooth_enc_open( &hCovState->pCov_state, &cov_smooth_cfg, pFb, nchan_inp, ivas_total_brate ) ) != IVAS_ERR_OK )
+#endif
     {
         return error;
     }
@@ -99,7 +114,11 @@ ivas_error ivas_spar_covar_enc_open(
     cov_smooth_cfg.max_update_rate = MAX_UPDATE_RATE_DTX;
     cov_smooth_cfg.min_pool_size = MIN_POOL_SIZE_DTX;
 
+#ifdef FIX_489_COV_SMOOTHING
+    if ( ( error = ivas_spar_covar_smooth_enc_open( &hCovState->pCov_dtx_state, &cov_smooth_cfg, pFb, nchan_inp, smooth_mode, ivas_total_brate ) ) != IVAS_ERR_OK )
+#else
     if ( ( error = ivas_spar_covar_smooth_enc_open( &hCovState->pCov_dtx_state, &cov_smooth_cfg, pFb, nchan_inp, ivas_total_brate ) ) != IVAS_ERR_OK )
+#endif
     {
         return error;
     }
diff --git a/lib_enc/ivas_mc_paramupmix_enc.c b/lib_enc/ivas_mc_paramupmix_enc.c
index 997b0043ac4f62e51363c6fb40569e2eb03e9b34..0d5f69d800527839890c9ac4df6381dfedd58d0d 100644
--- a/lib_enc/ivas_mc_paramupmix_enc.c
+++ b/lib_enc/ivas_mc_paramupmix_enc.c
@@ -206,7 +206,11 @@ ivas_error ivas_mc_paramupmix_enc_open(
     for ( i = 0; i < MC_PARAMUPMIX_COMBINATIONS; i++ )
     {
         /* Covariance handle */
+#ifdef FIX_489_COV_SMOOTHING
+        if ( ( error = ivas_spar_covar_enc_open( &( hMCParamUpmix->hCovEnc[i] ), hMCParamUpmix->hFbMixer->pFb, input_Fs, MC_PARAMUPMIX_NCH + 1, COV_SMOOTH_MC, st_ivas->hEncoderConfig->ivas_total_brate ) ) != IVAS_ERR_OK )
+#else
         if ( ( error = ivas_spar_covar_enc_open( &( hMCParamUpmix->hCovEnc[i] ), hMCParamUpmix->hFbMixer->pFb, input_Fs, MC_PARAMUPMIX_NCH + 1, st_ivas->hEncoderConfig->ivas_total_brate ) ) != IVAS_ERR_OK )
+#endif
         {
             return error;
         }
diff --git a/lib_enc/ivas_spar_encoder.c b/lib_enc/ivas_spar_encoder.c
index 651dcb2741d4d35c7a7fc88008570e12e2853aef..642fef906a7cb0e2bb75c71da7c9807f0c8483af 100644
--- a/lib_enc/ivas_spar_encoder.c
+++ b/lib_enc/ivas_spar_encoder.c
@@ -134,7 +134,11 @@ ivas_error ivas_spar_enc_open(
     }
 
     /* Covariance handle */
+#ifdef FIX_489_COV_SMOOTHING
+    if ( ( error = ivas_spar_covar_enc_open( &( hSpar->hCovEnc ), hSpar->hFbMixer->pFb, input_Fs, nchan_inp, COV_SMOOTH_SPAR, hEncoderConfig->ivas_total_brate ) ) != IVAS_ERR_OK )
+#else
     if ( ( error = ivas_spar_covar_enc_open( &( hSpar->hCovEnc ), hSpar->hFbMixer->pFb, input_Fs, nchan_inp, hEncoderConfig->ivas_total_brate ) ) != IVAS_ERR_OK )
+#endif
     {
         return error;
     }