diff --git a/libpldm/firmware_update.c b/libpldm/firmware_update.c
index e92da63..2dfa721 100644
--- a/libpldm/firmware_update.c
+++ b/libpldm/firmware_update.c
@@ -1122,4 +1122,32 @@
 	msg->payload[0] = completion_code;
 
 	return PLDM_SUCCESS;
-}
\ No newline at end of file
+}
+
+int decode_apply_complete_req(
+    const struct pldm_msg *msg, size_t payload_length, uint8_t *apply_result,
+    bitfield16_t *comp_activation_methods_modification)
+{
+	if (msg == NULL || apply_result == NULL ||
+	    comp_activation_methods_modification == NULL) {
+		return PLDM_ERROR_INVALID_DATA;
+	}
+
+	if (payload_length != sizeof(struct pldm_apply_complete_req)) {
+		return PLDM_ERROR_INVALID_LENGTH;
+	}
+
+	struct pldm_apply_complete_req *request =
+	    (struct pldm_apply_complete_req *)msg->payload;
+
+	*apply_result = request->apply_result;
+	comp_activation_methods_modification->value =
+	    le16toh(request->comp_activation_methods_modification.value);
+
+	if ((*apply_result != PLDM_FWUP_APPLY_SUCCESS_WITH_ACTIVATION_METHOD) &&
+	    comp_activation_methods_modification->value) {
+		return PLDM_ERROR_INVALID_DATA;
+	}
+
+	return PLDM_SUCCESS;
+}
diff --git a/libpldm/firmware_update.h b/libpldm/firmware_update.h
index 9163f96..58b8063 100644
--- a/libpldm/firmware_update.h
+++ b/libpldm/firmware_update.h
@@ -133,6 +133,21 @@
 	PLDM_COMP_DOWNSTREAM_DEVICE = 0xFFFF
 };
 
+/** @brief ComponentActivationMethods is the bit position in the bitfield that
+ *         provides the capability of the FD for firmware activation. Multiple
+ *         activation methods can be supported.
+ */
+enum pldm_comp_activation_methods {
+	PLDM_ACTIVATION_AUTOMATIC = 0,
+	PLDM_ACTIVATION_SELF_CONTAINED = 1,
+	PLDM_ACTIVATION_MEDIUM_SPECIFIC_RESET = 2,
+	PLDM_ACTIVATION_SYSTEM_REBOOT = 3,
+	PLDM_ACTIVATION_DC_POWER_CYCLE = 4,
+	PLDM_ACTIVATION_AC_POWER_CYCLE = 5,
+	PLDM_SUPPORTS_ACTIVATE_PENDING_IMAGE = 6,
+	PLDM_SUPPORTS_ACTIVATE_PENDING_IMAGE_SET = 7
+};
+
 /** @brief ComponentResponse values in the response of PassComponentTable
  */
 enum pldm_component_responses {
@@ -221,6 +236,16 @@
 	PLDM_FWUP_VENDOR_VERIFY_RESULT_RANGE_MAX = 0xAF
 };
 
+/**@brief ApplyResult values in the response of ApplyComplete
+ */
+enum pldm_firmware_update_apply_result_values {
+	PLDM_FWUP_APPLY_SUCCESS = 0x00,
+	PLDM_FWUP_APPLY_SUCCESS_WITH_ACTIVATION_METHOD = 0x01,
+	PLDM_FWUP_APPLY_FAILURE_MEMORY_ISSUE = 0x02,
+	PLDM_FWUP_VENDOR_APPLY_RESULT_RANGE_MIN = 0xB0,
+	PLDM_FWUP_VENDOR_APPLY_RESULT_RANGE_MAX = 0xCF
+};
+
 /** @struct pldm_package_header_information
  *
  *  Structure representing fixed part of package header information
@@ -412,6 +437,15 @@
 	uint32_t length;
 } __attribute__((packed));
 
+/** @struct pldm_apply_complete_req
+ *
+ *  Structure representing ApplyComplete request.
+ */
+struct pldm_apply_complete_req {
+	uint8_t apply_result;
+	bitfield16_t comp_activation_methods_modification;
+} __attribute__((packed));
+
 /** @brief Decode the PLDM package header information
  *
  *  @param[in] data - pointer to package header information
@@ -819,6 +853,20 @@
 int encode_verify_complete_resp(uint8_t instance_id, uint8_t completion_code,
 				struct pldm_msg *msg, size_t payload_length);
 
+/** @brief Decode ApplyComplete request message
+ *
+ *  @param[in] msg - Request message
+ *  @param[in] payload_length - Length of request message payload
+ *  @param[in] apply_result - Pointer to hold ApplyResult
+ *  @param[in] comp_activation_methods_modification - Pointer to hold the
+ *                                        ComponentActivationMethodsModification
+ *
+ *  @return pldm_completion_codes
+ */
+int decode_apply_complete_req(
+    const struct pldm_msg *msg, size_t payload_length, uint8_t *apply_result,
+    bitfield16_t *comp_activation_methods_modification);
+
 #ifdef __cplusplus
 }
 #endif
diff --git a/libpldm/tests/libpldm_firmware_update_test.cpp b/libpldm/tests/libpldm_firmware_update_test.cpp
index 710a209..8622c76 100644
--- a/libpldm/tests/libpldm_firmware_update_test.cpp
+++ b/libpldm/tests/libpldm_firmware_update_test.cpp
@@ -2242,3 +2242,71 @@
     rc = encode_verify_complete_resp(0, PLDM_SUCCESS, responseMsg, 0);
     EXPECT_EQ(rc, PLDM_ERROR_INVALID_LENGTH);
 }
+
+TEST(ApplyComplete, goodPathDecodeRequest)
+{
+    constexpr uint8_t applyResult1 =
+        PLDM_FWUP_APPLY_SUCCESS_WITH_ACTIVATION_METHOD;
+    // DC power cycle [Bit position 4] & AC power cycle [Bit position 5]
+    constexpr std::bitset<16> compActivationModification1{0x30};
+    constexpr std::array<uint8_t, hdrSize + sizeof(pldm_apply_complete_req)>
+        applyCompleteReq1{0x00, 0x00, 0x00, 0x01, 0x30, 0x00};
+    auto requestMsg1 =
+        reinterpret_cast<const pldm_msg*>(applyCompleteReq1.data());
+    uint8_t outApplyResult = 0;
+    bitfield16_t outCompActivationModification{};
+    auto rc = decode_apply_complete_req(
+        requestMsg1, sizeof(pldm_apply_complete_req), &outApplyResult,
+        &outCompActivationModification);
+    EXPECT_EQ(rc, PLDM_SUCCESS);
+    EXPECT_EQ(outApplyResult, applyResult1);
+    EXPECT_EQ(outCompActivationModification.value, compActivationModification1);
+
+    constexpr uint8_t applyResult2 = PLDM_FWUP_APPLY_SUCCESS;
+    constexpr std::bitset<16> compActivationModification2{};
+    constexpr std::array<uint8_t, hdrSize + sizeof(pldm_apply_complete_req)>
+        applyCompleteReq2{0x00, 0x00, 0x00, 0x00, 0x00, 0x00};
+    auto requestMsg2 =
+        reinterpret_cast<const pldm_msg*>(applyCompleteReq2.data());
+    rc = decode_apply_complete_req(requestMsg2, sizeof(pldm_apply_complete_req),
+                                   &outApplyResult,
+                                   &outCompActivationModification);
+    EXPECT_EQ(rc, PLDM_SUCCESS);
+    EXPECT_EQ(outApplyResult, applyResult2);
+    EXPECT_EQ(outCompActivationModification.value, compActivationModification2);
+}
+
+TEST(ApplyComplete, errorPathDecodeRequest)
+{
+    constexpr std::array<uint8_t, hdrSize> applyCompleteReq1{0x00, 0x00, 0x00};
+    auto requestMsg1 =
+        reinterpret_cast<const pldm_msg*>(applyCompleteReq1.data());
+    uint8_t outApplyResult = 0;
+    bitfield16_t outCompActivationModification{};
+
+    auto rc = decode_apply_complete_req(
+        nullptr, sizeof(pldm_apply_complete_req), &outApplyResult,
+        &outCompActivationModification);
+    EXPECT_EQ(rc, PLDM_ERROR_INVALID_DATA);
+
+    rc = decode_apply_complete_req(requestMsg1, sizeof(pldm_apply_complete_req),
+                                   nullptr, &outCompActivationModification);
+    EXPECT_EQ(rc, PLDM_ERROR_INVALID_DATA);
+
+    rc = decode_apply_complete_req(requestMsg1, sizeof(pldm_apply_complete_req),
+                                   &outApplyResult, nullptr);
+    EXPECT_EQ(rc, PLDM_ERROR_INVALID_DATA);
+
+    rc = decode_apply_complete_req(requestMsg1, 0, &outApplyResult,
+                                   &outCompActivationModification);
+    EXPECT_EQ(rc, PLDM_ERROR_INVALID_LENGTH);
+
+    constexpr std::array<uint8_t, hdrSize + sizeof(pldm_apply_complete_req)>
+        applyCompleteReq2{0x00, 0x00, 0x00, 0x00, 0x01, 0x00};
+    auto requestMsg2 =
+        reinterpret_cast<const pldm_msg*>(applyCompleteReq2.data());
+    rc = decode_apply_complete_req(requestMsg2, sizeof(pldm_apply_complete_req),
+                                   &outApplyResult,
+                                   &outCompActivationModification);
+    EXPECT_EQ(rc, PLDM_ERROR_INVALID_DATA);
+}