--- a/browser/base/content/browser-sync.js
+++ b/browser/base/content/browser-sync.js
@@ -138,17 +138,16 @@ var gSync = {
           return;
         }
         this.onClientsSynced();
         break;
     }
   },
 
   updateAllUI(state) {
-    this.updatePanelBadge(state);
     this.updatePanelPopup(state);
     this.updateStateBroadcasters(state);
     this.updateSyncButtonsTooltip(state);
     this.updateSyncStatus(state);
   },
 
   updatePanelPopup(state) {
     let defaultLabel = this.appMenuStatus.getAttribute("defaultlabel");
@@ -198,25 +197,16 @@ var gSync = {
         if (this.appMenuAvatar.style.listStyleImage === bgImage) {
           this.appMenuAvatar.style.removeProperty("list-style-image");
         }
       };
       img.src = state.avatarURL;
     }
   },
 
-  updatePanelBadge(state) {
-    if (state.status == UIState.STATUS_LOGIN_FAILED ||
-        state.status == UIState.STATUS_NOT_VERIFIED) {
-      PanelUI.showBadgeOnlyNotification("fxa-needs-authentication");
-    } else {
-      PanelUI.removeNotification("fxa-needs-authentication");
-    }
-  },
-
   updateStateBroadcasters(state) {
     const status = state.status;
 
     // Start off with a clean slate
     document.getElementById("sync-reauth-state").hidden = true;
     document.getElementById("sync-setup-state").hidden = true;
     document.getElementById("sync-syncnow-state").hidden = true;
 

--- a/browser/base/content/test/sync/browser.ini
+++ b/browser/base/content/test/sync/browser.ini
@@ -1,9 +1,10 @@
 [browser_sync.js]
 [browser_fxa_web_channel.js]
 support-files=
   browser_fxa_web_channel.html
+[browser_fxa_badge.js]
 [browser_aboutAccounts.js]
 skip-if = os == "linux" # Bug 958026
 support-files =
   content_aboutAccounts.js
   accounts_testRemoteCommands.html

new file mode 100644
--- /dev/null
+++ b/browser/base/content/test/sync/browser_fxa_badge.js
@@ -0,0 +1,68 @@
+/* Any copyright is dedicated to the Public Domain.
+   http://creativecommons.org/publicdomain/zero/1.0/ */
+
+"use strict";
+
+Cu.import("resource://gre/modules/AppMenuNotifications.jsm");
+
+add_task(async function test_unconfigured_no_badge() {
+  const oldUIState = UIState.get;
+
+  UIState.get = () => ({
+    status: UIState.STATUS_NOT_CONFIGURED
+  });
+  Services.obs.notifyObservers(null, UIState.ON_UPDATE);
+  checkFxABadge(false);
+
+  UIState.get = oldUIState;
+});
+
+add_task(async function test_signedin_no_badge() {
+  const oldUIState = UIState.get;
+
+  UIState.get = () => ({
+    status: UIState.STATUS_SIGNED_IN,
+    email: "foo@bar.com"
+  });
+  Services.obs.notifyObservers(null, UIState.ON_UPDATE);
+  checkFxABadge(false);
+
+  UIState.get = oldUIState;
+});
+
+add_task(async function test_unverified_badge_shown() {
+  const oldUIState = UIState.get;
+
+  UIState.get = () => ({
+    status: UIState.STATUS_NOT_VERIFIED,
+    email: "foo@bar.com"
+  });
+  Services.obs.notifyObservers(null, UIState.ON_UPDATE);
+  checkFxABadge(true);
+
+  UIState.get = oldUIState;
+});
+
+add_task(async function test_loginFailed_badge_shown() {
+  const oldUIState = UIState.get;
+
+  UIState.get = () => ({
+    status: UIState.STATUS_LOGIN_FAILED,
+    email: "foo@bar.com"
+  });
+  Services.obs.notifyObservers(null, UIState.ON_UPDATE);
+  checkFxABadge(true);
+
+  UIState.get = oldUIState;
+});
+
+function checkFxABadge(shouldBeShown) {
+  let isShown = false;
+  for (let notification of AppMenuNotifications.notifications) {
+    if (notification.id == "fxa-needs-authentication") {
+      isShown = true;
+      break;
+    }
+  }
+  is(isShown, shouldBeShown, "Fxa badge shown matches expected value.");
+}

--- a/browser/base/content/test/sync/browser_sync.js
+++ b/browser/base/content/test/sync/browser_sync.js
@@ -21,17 +21,16 @@ add_task(async function test_ui_state_si
     displayName: "Foo Bar",
     avatarURL: "https://foo.bar",
     lastSync: new Date(),
     syncing: false
   };
 
   gSync.updateAllUI(state);
 
-  checkFxABadge(false);
   let statusBarTooltip = gSync.appMenuStatus.getAttribute("signedinTooltiptext");
   let lastSyncTooltip = gSync.formatLastSyncDate(new Date(state.lastSync));
   checkPanelUIStatusBar({
     label: "Foo Bar",
     tooltip: statusBarTooltip,
     fxastatus: "signedin",
     avatarURL: "https://foo.bar",
     syncing: false,
@@ -69,17 +68,16 @@ add_task(async function test_ui_state_sy
 
 add_task(async function test_ui_state_unconfigured() {
   let state = {
     status: UIState.STATUS_NOT_CONFIGURED
   };
 
   gSync.updateAllUI(state);
 
-  checkFxABadge(false);
   let signedOffLabel = gSync.appMenuStatus.getAttribute("defaultlabel");
   let statusBarTooltip = gSync.appMenuStatus.getAttribute("signedinTooltiptext");
   checkPanelUIStatusBar({
     label: signedOffLabel,
     tooltip: statusBarTooltip
   });
   checkRemoteTabsPanel("PanelUI-remotetabs-setupsync");
   checkMenuBarItem("sync-setup");
@@ -90,17 +88,16 @@ add_task(async function test_ui_state_un
     status: UIState.STATUS_NOT_VERIFIED,
     email: "foo@bar.com",
     lastSync: new Date(),
     syncing: false
   };
 
   gSync.updateAllUI(state);
 
-  checkFxABadge(true);
   let expectedLabel = gSync.appMenuStatus.getAttribute("unverifiedlabel");
   let tooltipText = gSync.fxaStrings.formatStringFromName("verifyDescription", [state.email], 1);
   checkPanelUIStatusBar({
     label: expectedLabel,
     tooltip: tooltipText,
     fxastatus: "unverified",
     avatarURL: null,
     syncing: false,
@@ -113,17 +110,16 @@ add_task(async function test_ui_state_un
 add_task(async function test_ui_state_loginFailed() {
   let state = {
     status: UIState.STATUS_LOGIN_FAILED,
     email: "foo@bar.com"
   };
 
   gSync.updateAllUI(state);
 
-  checkFxABadge(true);
   let expectedLabel = gSync.appMenuStatus.getAttribute("errorlabel");
   let tooltipText = gSync.fxaStrings.formatStringFromName("reconnectDescription", [state.email], 1);
   checkPanelUIStatusBar({
     label: expectedLabel,
     tooltip: tooltipText,
     fxastatus: "login-failed",
     avatarURL: null,
     syncing: false,
@@ -143,27 +139,16 @@ add_task(async function test_FormatLastS
 add_task(async function test_FormatLastSyncDateMonthAgo() {
   let monthAgo = new Date();
   monthAgo.setMonth(monthAgo.getMonth() - 1);
   let monthAgoString = gSync.formatLastSyncDate(monthAgo);
   is(monthAgoString, "Last sync: " + monthAgo.toLocaleDateString(undefined, {month: "long", day: "numeric"}),
      "The date is correctly formatted");
 });
 
-function checkFxABadge(shouldBeShown) {
-  let isShown = false;
-  for (let notification of PanelUI.notifications) {
-    if (notification.id == "fxa-needs-authentication") {
-      isShown = true;
-      break;
-    }
-  }
-  is(isShown, shouldBeShown, "the fxa badge has the right visibility");
-}
-
 function checkPanelUIStatusBar({label, tooltip, fxastatus, avatarURL, syncing, syncNowTooltip}) {
   let prefix = gPhotonStructure ? "appMenu" : "PanelUI"
   let labelNode = document.getElementById(`${prefix}-fxa-label`);
   let tooltipNode = document.getElementById(`${prefix}-fxa-status`);
   let statusNode = document.getElementById(`${prefix}-fxa-container`);
   let avatar = document.getElementById(`${prefix}-fxa-avatar`);
 
   is(labelNode.getAttribute("label"), label, "fxa label has the right value");

--- a/browser/components/nsBrowserGlue.js
+++ b/browser/components/nsBrowserGlue.js
@@ -17,44 +17,47 @@ Cu.import("resource://gre/modules/AsyncP
 XPCOMUtils.defineLazyServiceGetter(this, "WindowsUIUtils", "@mozilla.org/windows-ui-utils;1", "nsIWindowsUIUtils");
 XPCOMUtils.defineLazyServiceGetter(this, "AlertsService", "@mozilla.org/alerts-service;1", "nsIAlertsService");
 XPCOMUtils.defineLazyGetter(this, "WeaveService", () =>
   Cc["@mozilla.org/weave/service;1"].getService().wrappedJSObject
 );
 
 // lazy module getters
 
-/* global AboutHome:false, AboutNewTab:false, AddonManager:false,
+/* global AboutHome:false, AboutNewTab:false, AddonManager:false, AppMenuNotifications:false,
           AsyncShutdown:false, AutoCompletePopup:false, BookmarkHTMLUtils:false,
           BookmarkJSONUtils:false, BrowserUITelemetry:false, BrowserUsageTelemetry:false,
           ContentClick:false, ContentPrefServiceParent:false, ContentSearch:false,
           DateTimePickerHelper:false, DirectoryLinksProvider:false,
           ExtensionsUI:false, Feeds:false,
           FileUtils:false, FormValidationHandler:false, Integration:false,
           LightweightThemeManager:false, LoginHelper:false, LoginManagerParent:false,
           NetUtil:false, NewTabUtils:false, OS:false,
           PageThumbs:false, PdfJs:false, PermissionUI:false, PlacesBackups:false,
           PlacesUtils:false, PluralForm:false, PrivateBrowsingUtils:false,
           ProcessHangMonitor:false, ReaderParent:false, RecentWindow:false,
           RemotePrompt:false, SessionStore:false,
           ShellService:false, SimpleServiceDiscovery:false, TabCrashHandler:false,
-          Task:false, UITour:false, UpdateListener:false, WebChannel:false,
+          Task:false, UITour:false, UIState:false, UpdateListener:false, WebChannel:false,
           WindowsRegistry:false, webrtcUI:false */
 
+
+
 /**
  * IF YOU ADD OR REMOVE FROM THIS LIST, PLEASE UPDATE THE LIST ABOVE AS WELL.
  * XXX Bug 1325373 is for making eslint detect these automatically.
  */
 
 let initializedModules = {};
 
 [
   ["AboutHome", "resource:///modules/AboutHome.jsm", "init"],
   ["AboutNewTab", "resource:///modules/AboutNewTab.jsm"],
   ["AddonManager", "resource://gre/modules/AddonManager.jsm"],
+  ["AppMenuNotifications", "resource://gre/modules/AppMenuNotifications.jsm"],
   ["AsyncShutdown", "resource://gre/modules/AsyncShutdown.jsm"],
   ["AutoCompletePopup", "resource://gre/modules/AutoCompletePopup.jsm"],
   ["BookmarkHTMLUtils", "resource://gre/modules/BookmarkHTMLUtils.jsm"],
   ["BookmarkJSONUtils", "resource://gre/modules/BookmarkJSONUtils.jsm"],
   ["BrowserUITelemetry", "resource:///modules/BrowserUITelemetry.jsm"],
   ["BrowserUsageTelemetry", "resource:///modules/BrowserUsageTelemetry.jsm"],
   ["ContentClick", "resource:///modules/ContentClick.jsm"],
   ["ContentPrefServiceParent", "resource://gre/modules/ContentPrefServiceParent.jsm", "alwaysInit"],
@@ -83,16 +86,17 @@ let initializedModules = {};
   ["ReaderParent", "resource:///modules/ReaderParent.jsm"],
   ["RecentWindow", "resource:///modules/RecentWindow.jsm"],
   ["RemotePrompt", "resource:///modules/RemotePrompt.jsm"],
   ["SessionStore", "resource:///modules/sessionstore/SessionStore.jsm"],
   ["ShellService", "resource:///modules/ShellService.jsm"],
   ["SimpleServiceDiscovery", "resource://gre/modules/SimpleServiceDiscovery.jsm"],
   ["TabCrashHandler", "resource:///modules/ContentCrashHandlers.jsm"],
   ["Task", "resource://gre/modules/Task.jsm"],
+  ["UIState", "resource://services-sync/UIState.jsm"],
   ["UITour", "resource:///modules/UITour.jsm"],
   ["UpdateListener", "resource://gre/modules/UpdateListener.jsm", "init"],
   ["WebChannel", "resource://gre/modules/WebChannel.jsm"],
   ["WindowsRegistry", "resource://gre/modules/WindowsRegistry.jsm"],
   ["webrtcUI", "resource:///modules/webrtcUI.jsm", "init"],
 ].forEach(([name, resource, init]) => {
   if (init) {
     XPCOMUtils.defineLazyGetter(this, name, () => {
@@ -485,16 +489,19 @@ BrowserGlue.prototype = {
               break;
             }
           }
         });
         break;
       case "test-initialize-sanitizer":
         this._sanitizer.onStartup();
         break;
+      case "sync-ui-state:update":
+        this._updateFxaBadges();
+        break;
     }
   },
 
   // initialization (called on application startup)
   _init: function BG__init() {
     let os = Services.obs;
     os.addObserver(this, "notifications-open-settings");
     os.addObserver(this, "prefservice:after-app-defaults");
@@ -523,16 +530,17 @@ BrowserGlue.prototype = {
     os.addObserver(this, "profile-before-change");
     if (AppConstants.MOZ_TELEMETRY_REPORTING) {
       os.addObserver(this, "keyword-search");
     }
     os.addObserver(this, "browser-search-engine-modified");
     os.addObserver(this, "restart-in-safe-mode");
     os.addObserver(this, "flash-plugin-hang");
     os.addObserver(this, "xpi-signature-changed");
+    os.addObserver(this, "sync-ui-state:update");
 
     this._flashHangCount = 0;
     this._firstWindowReady = new Promise(resolve => this._firstWindowLoaded = resolve);
 
     if (AppConstants.platform == "macosx") {
       // Handles prompting to inform about incompatibilites when accessibility
       // and e10s are active together.
       E10SAccessibilityCheck.init();
@@ -575,16 +583,17 @@ BrowserGlue.prototype = {
     os.removeObserver(this, "handle-xul-text-link");
     os.removeObserver(this, "profile-before-change");
     if (AppConstants.MOZ_TELEMETRY_REPORTING) {
       os.removeObserver(this, "keyword-search");
     }
     os.removeObserver(this, "browser-search-engine-modified");
     os.removeObserver(this, "flash-plugin-hang");
     os.removeObserver(this, "xpi-signature-changed");
+    os.removeObserver(this, "sync-ui-state:update");
   },
 
   _onAppDefaults: function BG__onAppDefaults() {
     // apply distribution customizations (prefs)
     // other customizations are applied in _finalUIStartup()
     this._distributionCustomizer.applyPrefDefaults();
   },
 
@@ -2332,16 +2341,26 @@ BrowserGlue.prototype = {
         win.openUILinkIn("https://support.mozilla.org/kb/flash-protected-mode-autodisabled", "tab");
       }
     }];
     let nb = win.document.getElementById("global-notificationbox");
     nb.appendNotification(message, "flash-hang", null,
                           nb.PRIORITY_INFO_MEDIUM, buttons);
   },
 
+  _updateFxaBadges() {
+    let state = UIState.get();
+    if (state.status == UIState.STATUS_LOGIN_FAILED ||
+        state.status == UIState.STATUS_NOT_VERIFIED) {
+      AppMenuNotifications.showBadgeOnlyNotification("fxa-needs-authentication");
+    } else {
+      AppMenuNotifications.removeNotification("fxa-needs-authentication");
+    }
+  },
+
   // for XPCOM
   classID:          Components.ID("{eab9012e-5f74-4cbc-b2b5-a590235513cc}"),
 
   QueryInterface: XPCOMUtils.generateQI([Ci.nsIObserver,
                                          Ci.nsISupportsWeakReference,
                                          Ci.nsIBrowserGlue]),
 
   // redefine the default factory for XPCOMUtils