diff --git a/RELEASE_NOTES.md b/RELEASE_NOTES.md
index 21218b0..cd4c973 100644
--- a/RELEASE_NOTES.md
+++ b/RELEASE_NOTES.md
@@ -3,6 +3,9 @@
 Release notes for the AD Build System (Software Factory)
 
 ## Releases:
+* tag:1.2.1 7-Apr-2026 P. Nisperos (pnispero)
+  * Fix pydm subsystem name bug
+
 * tag:1.2.0 30-Mar-2026 P. Nisperos (pnispero)
   * Refactor configuration for more transparency. And refactored deployment controller to a more simpler generic deployment that most types of apps can follow. Fixed bugs with deployment controller
   * Removed deploymentType, added in playbook to pass to deployment, every deployment through CLI is now polled as well like IOCs for easier to track progress, and should work for other types of deployments
diff --git a/bs_cli/adbs_cli/entry_point_commands.py b/bs_cli/adbs_cli/entry_point_commands.py
index 5e7aae2..0cee543 100644
--- a/bs_cli/adbs_cli/entry_point_commands.py
+++ b/bs_cli/adbs_cli/entry_point_commands.py
@@ -690,7 +690,7 @@ def deploy(component: str, facility: str, test: bool, ioc: str, tag: str, list:
 
     # Set subsystem for pydm
     if (deployment_type == 'pydm'):
-        subsystem = deployment_request.component.name.replace("pydm-", "") # Remove "pydm-"
+        subsystem = deployment_request.component.name.replace("pydm-", "").replace("-displays", "") # Remove "pydm-" and "-displays" 
         playbook_args_dict["subsystem"] = subsystem
 
     # 8) Send deployment request to deployment controller
diff --git a/bs_cli/dist/adbs_cli-1.2.0.tar.gz b/bs_cli/dist/adbs_cli-1.2.0.tar.gz
deleted file mode 100644
index e1c72e2..0000000
Binary files a/bs_cli/dist/adbs_cli-1.2.0.tar.gz and /dev/null differ
diff --git a/bs_cli/dist/adbs_cli-1.2.0-py3-none-any.whl b/bs_cli/dist/adbs_cli-1.2.1-py3-none-any.whl
similarity index 86%
rename from bs_cli/dist/adbs_cli-1.2.0-py3-none-any.whl
rename to bs_cli/dist/adbs_cli-1.2.1-py3-none-any.whl
index 1267332..ab3a811 100644
Binary files a/bs_cli/dist/adbs_cli-1.2.0-py3-none-any.whl and b/bs_cli/dist/adbs_cli-1.2.1-py3-none-any.whl differ
diff --git a/bs_cli/dist/adbs_cli-1.2.1.tar.gz b/bs_cli/dist/adbs_cli-1.2.1.tar.gz
new file mode 100644
index 0000000..11dccc7
Binary files /dev/null and b/bs_cli/dist/adbs_cli-1.2.1.tar.gz differ
diff --git a/bs_cli/setup.py b/bs_cli/setup.py
index 37a3bd0..bfac0c7 100644
--- a/bs_cli/setup.py
+++ b/bs_cli/setup.py
@@ -2,7 +2,7 @@
 # Avoided using pyproject.toml, becuase can't get an editable version installed (pip install -e .)
 setup(
     name='adbs_cli',
-    version='1.2.0',
+    version='1.2.1',
     description="Command line interface for the accelerator directorate build system (software factory)",
     author="Patrick Nisperos, Jerry Katzung, Claudio Bisegni",
     author_email="pnispero@slac.stanford.edu, katzung@slac.stanford.edu, bisegni@slac.stanford.edu",
diff --git a/deploy_controller/deployment_controller.py b/deploy_controller/deployment_controller.py
index 2c80ad2..fb5dce4 100644
--- a/deploy_controller/deployment_controller.py
+++ b/deploy_controller/deployment_controller.py
@@ -1085,16 +1085,19 @@ def run_generic_deployment(deploy_request: DeployDict, temp_dir: str, task: Depl
     Handles pydm, HLA, TOOLS, and any other app type without IOC or container-specific logic."""
     logging.info(f"Generic deployment request: {deploy_request}")
 
-    # Default subsystem for pydm apps if not provided
-    if 'pydm_module' in deploy_request.playbook and not deploy_request.subsystem:
-        deploy_request.subsystem = deploy_request.component_name.replace("pydm-", "").replace("-displays", "")
-
     # Derive app_type for the deployment DB from the playbook path
     if 'pydm_module' in deploy_request.playbook:
         app_type = 'pydm'
     else:
         app_type = deploy_request.playbook.split('/')[0]  # e.g. 'hla_module' -> 'hla_module'
 
+    # Default subsystem for pydm apps if not provided
+    if app_type == 'pydm':
+        if not deploy_request.subsystem:
+            deploy_request.subsystem = deploy_request.component_name.replace("pydm-", "").replace("-displays", "")
+        else:
+            deploy_request.subsystem = deploy_request.subsystem.replace("pydm-", "").replace("-displays", "")
+
     task.update_progress("Downloading release", 20)
     if not download_release(deploy_request.component_name, deploy_request.tag, temp_dir, all_os=False, extract_tarball=True):
         raise ValueError(f"Failed to download release for {deploy_request.component_name} tag {deploy_request.tag}")