diff --git a/examples/docker.yml b/examples/docker.yml
index 54f0634e7..11b53c078 100644
--- a/examples/docker.yml
+++ b/examples/docker.yml
@@ -2,11 +2,11 @@ kernel:
   image: "mobylinux/kernel:4.9.x"
   cmdline: "console=ttyS0 console=tty0 page_poison=1"
 init:
-  - mobylinux/init:925c88f42d92d57cd36b656db1f8757b152163a7
+  - mobylinux/init:02f05d99b4eb9cd9223bb5915f4070cf7b67c862
   - mobylinux/runc:b0fb122e10dbb7e4e45115177a61a3f8d68c19a9
   - mobylinux/containerd:68bb523deea09da293d675cbf88474eced540b8c
   - mobylinux/ca-certificates:eabc5a6e59f05aa91529d80e9a595b85b046f935
-system:
+onboot:
   - name: sysctl
     image: "mobylinux/sysctl:2cf2f9d5b4d314ba1bfc22b2fe931924af666d8c"
     net: host
@@ -27,7 +27,7 @@ system:
     capabilities:
      - CAP_SYS_ADMIN
      - CAP_MKNOD
-daemon:
+services:
   - name: rngd
     image: "mobylinux/rngd:3dad6dd43270fa632ac031e99d1947f20b22eec9@sha256:1c93c1db7196f6f71f8e300bc1d15f0376dd18e8891c8789d77c8ff19f3a9a92"
     capabilities:
diff --git a/examples/gcp.yml b/examples/gcp.yml
index 1d1911531..6ec8045ca 100644
--- a/examples/gcp.yml
+++ b/examples/gcp.yml
@@ -2,11 +2,11 @@ kernel:
   image: "mobylinux/kernel:4.9.x"
   cmdline: "console=ttyS0 page_poison=1"
 init:
-  - mobylinux/init:925c88f42d92d57cd36b656db1f8757b152163a7
+  - mobylinux/init:02f05d99b4eb9cd9223bb5915f4070cf7b67c862
   - mobylinux/runc:b0fb122e10dbb7e4e45115177a61a3f8d68c19a9
   - mobylinux/containerd:68bb523deea09da293d675cbf88474eced540b8c
   - mobylinux/ca-certificates:eabc5a6e59f05aa91529d80e9a595b85b046f935
-system:
+onboot:
   - name: sysctl
     image: "mobylinux/sysctl:2cf2f9d5b4d314ba1bfc22b2fe931924af666d8c"
     net: host
@@ -30,7 +30,7 @@ system:
     uts: host
     capabilities:
      - CAP_SYS_ADMIN
-daemon:
+services:
   - name: rngd
     image: "mobylinux/rngd:3dad6dd43270fa632ac031e99d1947f20b22eec9@sha256:1c93c1db7196f6f71f8e300bc1d15f0376dd18e8891c8789d77c8ff19f3a9a92"
     capabilities:
diff --git a/examples/sshd.yml b/examples/sshd.yml
index 745b15e01..dadb7fdca 100644
--- a/examples/sshd.yml
+++ b/examples/sshd.yml
@@ -2,11 +2,11 @@ kernel:
   image: "mobylinux/kernel:4.9.x"
   cmdline: "console=ttyS0 page_poison=1"
 init:
-  - mobylinux/init:925c88f42d92d57cd36b656db1f8757b152163a7
+  - mobylinux/init:02f05d99b4eb9cd9223bb5915f4070cf7b67c862
   - mobylinux/runc:b0fb122e10dbb7e4e45115177a61a3f8d68c19a9
   - mobylinux/containerd:68bb523deea09da293d675cbf88474eced540b8c
   - mobylinux/ca-certificates:eabc5a6e59f05aa91529d80e9a595b85b046f935
-system:
+onboot:
   - name: sysctl
     image: "mobylinux/sysctl:2cf2f9d5b4d314ba1bfc22b2fe931924af666d8c"
     net: host
@@ -18,7 +18,7 @@ system:
     image: "mobylinux/binfmt:bdb754f25a5d851b4f5f8d185a43dfcbb3c22d01"
     binds:
      - /proc/sys/fs/binfmt_misc:/binfmt_misc
-daemon:
+services:
   - name: rngd
     image: "mobylinux/rngd:3dad6dd43270fa632ac031e99d1947f20b22eec9@sha256:1c93c1db7196f6f71f8e300bc1d15f0376dd18e8891c8789d77c8ff19f3a9a92"
     capabilities:
diff --git a/examples/vmware.yml b/examples/vmware.yml
index c9fc9f338..839141e62 100644
--- a/examples/vmware.yml
+++ b/examples/vmware.yml
@@ -2,11 +2,11 @@ kernel:
   image: "mobylinux/kernel:4.9.x"
   cmdline: "console=tty0 page_poison=1"
 init:
-  - mobylinux/init:925c88f42d92d57cd36b656db1f8757b152163a7
+  - mobylinux/init:02f05d99b4eb9cd9223bb5915f4070cf7b67c862
   - mobylinux/runc:b0fb122e10dbb7e4e45115177a61a3f8d68c19a9
   - mobylinux/containerd:68bb523deea09da293d675cbf88474eced540b8c
   - mobylinux/ca-certificates:eabc5a6e59f05aa91529d80e9a595b85b046f935
-system:
+onboot:
   - name: sysctl
     image: "mobylinux/sysctl:2cf2f9d5b4d314ba1bfc22b2fe931924af666d8c"
     net: host
@@ -20,7 +20,7 @@ system:
     binds:
      - /proc/sys/fs/binfmt_misc:/binfmt_misc
     readonly: true
-daemon:
+services:
   - name: rngd
     image: "mobylinux/rngd:3dad6dd43270fa632ac031e99d1947f20b22eec9@sha256:1c93c1db7196f6f71f8e300bc1d15f0376dd18e8891c8789d77c8ff19f3a9a92"
     capabilities:
diff --git a/moby.yml b/moby.yml
index c315c1c76..835111ef0 100644
--- a/moby.yml
+++ b/moby.yml
@@ -2,11 +2,11 @@ kernel:
   image: "mobylinux/kernel:4.9.x"
   cmdline: "console=ttyS0 console=tty0 page_poison=1"
 init:
-  - mobylinux/init:925c88f42d92d57cd36b656db1f8757b152163a7
+  - mobylinux/init:02f05d99b4eb9cd9223bb5915f4070cf7b67c862
   - mobylinux/runc:b0fb122e10dbb7e4e45115177a61a3f8d68c19a9
   - mobylinux/containerd:68bb523deea09da293d675cbf88474eced540b8c
   - mobylinux/ca-certificates:eabc5a6e59f05aa91529d80e9a595b85b046f935
-system:
+onboot:
   - name: sysctl
     image: "mobylinux/sysctl:2cf2f9d5b4d314ba1bfc22b2fe931924af666d8c"
     net: host
@@ -20,7 +20,7 @@ system:
     binds:
      - /proc/sys/fs/binfmt_misc:/binfmt_misc
     readonly: true
-daemon:
+services:
   - name: rngd
     image: "mobylinux/rngd:3dad6dd43270fa632ac031e99d1947f20b22eec9@sha256:1c93c1db7196f6f71f8e300bc1d15f0376dd18e8891c8789d77c8ff19f3a9a92"
     capabilities:
diff --git a/pkg/init/etc/init.d/containers b/pkg/init/etc/init.d/containers
index fc0afa4d4..9ff566c96 100755
--- a/pkg/init/etc/init.d/containers
+++ b/pkg/init/etc/init.d/containers
@@ -1,15 +1,10 @@
 #!/bin/sh
 
-# TODO more robust
-# while [ ! -S /run/containerd/containerd.sock ]; do sleep 1; done
-# while ! ctr list 2> /dev/null; do sleep 1; done
+# start onboot containers, run to completion
 
-# start system containers
-# temporarily using runc not containerd
-
-if [ -d /containers/system ]
+if [ -d /containers/onboot ]
 then
-	for f in $(find /containers/system -mindepth 1 -maxdepth 1 | sort)
+	for f in $(find /containers/onboot -mindepth 1 -maxdepth 1 | sort)
 	do
 		base="$(basename $f)"
 		/usr/bin/runc run --bundle "$f" "$(basename $f)"
@@ -17,9 +12,12 @@ then
 	done
 fi
 
-if [ -d /containers/daemon ]
+# start service containers
+# temporarily using runc not containerd
+
+if [ -d /containers/services ]
 then
-	for f in $(find /containers/daemon -mindepth 1 -maxdepth 1 | sort)
+	for f in $(find /containers/services -mindepth 1 -maxdepth 1 | sort)
 	do
 		base="$(basename $f)"
 		log="/var/log/$base.log"
diff --git a/projects/demo/etcd/etcd.yml b/projects/demo/etcd/etcd.yml
index 2fc4605bf..1a553bd8a 100644
--- a/projects/demo/etcd/etcd.yml
+++ b/projects/demo/etcd/etcd.yml
@@ -3,7 +3,7 @@ kernel:
   cmdline: "console=ttyS0 console=tty0 page_poison=1"
 init:
   - "mobylinux/init:a27e32a8d6c8865d691fbfb4d0bbb93846cf7802"
-system:
+onboot:
   - name: sysctl
     image: "mobylinux/sysctl:2cf2f9d5b4d314ba1bfc22b2fe931924af666d8c"
     net: host
@@ -12,7 +12,7 @@ system:
     capabilities:
      - CAP_SYS_ADMIN
     readonly: true
-daemon:
+services:
   - name: rngd
     image: "mobylinux/rngd:3dad6dd43270fa632ac031e99d1947f20b22eec9@sha256:1c93c1db7196f6f71f8e300bc1d15f0376dd18e8891c8789d77c8ff19f3a9a92"
     capabilities:
diff --git a/projects/demo/intro/intro.yml b/projects/demo/intro/intro.yml
index f71e6492f..02160ee93 100644
--- a/projects/demo/intro/intro.yml
+++ b/projects/demo/intro/intro.yml
@@ -3,7 +3,7 @@ kernel:
   cmdline: "console=ttyS0 console=tty0 page_poison=1"
 init:
   - "mobylinux/init:a27e32a8d6c8865d691fbfb4d0bbb93846cf7802"
-system:
+onboot:
   - name: sysctl
     image: "mobylinux/sysctl:2cf2f9d5b4d314ba1bfc22b2fe931924af666d8c"
     net: host
@@ -12,7 +12,7 @@ system:
     capabilities:
      - CAP_SYS_ADMIN
     readonly: true
-daemon:
+services:
   - name: dhcpcd
     image: "mobylinux/dhcpcd:3eb32da7ff8051f61e0f18edd90dd0fbfcf148ea"
     binds:
diff --git a/projects/kubernetes/kube-master.yml b/projects/kubernetes/kube-master.yml
index b5fdad989..b52d3bb9c 100644
--- a/projects/kubernetes/kube-master.yml
+++ b/projects/kubernetes/kube-master.yml
@@ -3,7 +3,7 @@ kernel:
   cmdline: "console=ttyS0 console=tty0 page_poison=1"
 init:
   - "mobylinux/init:c0007f0cdf1ef821a981fcc676e3f1c2dd9ab5b1"
-system:
+onboot:
   - name: sysctl
     image: "mobylinux/sysctl:2cf2f9d5b4d314ba1bfc22b2fe931924af666d8c"
     net: host
@@ -24,7 +24,7 @@ system:
     capabilities:
      - CAP_SYS_ADMIN
      - CAP_MKNOD
-daemon:
+services:
   - name: rngd
     image: "mobylinux/rngd:3dad6dd43270fa632ac031e99d1947f20b22eec9@sha256:1c93c1db7196f6f71f8e300bc1d15f0376dd18e8891c8789d77c8ff19f3a9a92"
     capabilities:
diff --git a/projects/miragesdk/examples/mirage-dhcp.yml b/projects/miragesdk/examples/mirage-dhcp.yml
index e8cd50da8..9a717a187 100644
--- a/projects/miragesdk/examples/mirage-dhcp.yml
+++ b/projects/miragesdk/examples/mirage-dhcp.yml
@@ -3,7 +3,7 @@ kernel:
   cmdline: "console=ttyS0 page_poison=1"
 init:
   - "mobylinux/init:9d755f7e7d108d523448e4a503f1613b7d870389@sha256:9ccb16f2d8b3a09d12f5459106763f1836c064e420a13360e2e25599337960dc"
-system:
+onboot:
   - name: sysctl
     image: "mobylinux/sysctl:2cf2f9d5b4d314ba1bfc22b2fe931924af666d8c"
     net: host
@@ -17,7 +17,7 @@ system:
     binds:
      - /proc/sys/fs/binfmt_misc:/binfmt_misc
     readonly: true
-daemon:
+services:
   - name: rngd
     image: "mobylinux/rngd:3dad6dd43270fa632ac031e99d1947f20b22eec9@sha256:1c93c1db7196f6f71f8e300bc1d15f0376dd18e8891c8789d77c8ff19f3a9a92"
     capabilities:
diff --git a/projects/selinux/selinux.yml b/projects/selinux/selinux.yml
index af937d18a..800521f6e 100644
--- a/projects/selinux/selinux.yml
+++ b/projects/selinux/selinux.yml
@@ -3,7 +3,7 @@ kernel:
   cmdline: "console=ttyS0 page_poison=1 security=selinux selinux=1"
 init:
   - "mobylinux/init:b5249a412536b4e69f8e1f668680d2ae185cc505"
-system:
+onboot:
   - name: sysctl
     image: "mobylinux/sysctl:2cf2f9d5b4d314ba1bfc22b2fe931924af666d8c"
     net: host
@@ -12,7 +12,7 @@ system:
     capabilities:
      - CAP_SYS_ADMIN
     readonly: true
-daemon:
+services:
   - name: rngd
     image: "mobylinux/rngd:3dad6dd43270fa632ac031e99d1947f20b22eec9@sha256:1c93c1db7196f6f71f8e300bc1d15f0376dd18e8891c8789d77c8ff19f3a9a92"
     capabilities:
diff --git a/projects/swarmd/swarmd.yml b/projects/swarmd/swarmd.yml
index aace85a0f..e5fe427cb 100644
--- a/projects/swarmd/swarmd.yml
+++ b/projects/swarmd/swarmd.yml
@@ -3,7 +3,7 @@ kernel:
   cmdline: "console=ttyS0 console=tty0 page_poison=1"
 init:
   - "mobylinux/init:c0007f0cdf1ef821a981fcc676e3f1c2dd9ab5b1"
-system:
+onboot:
   - name: sysctl
     image: "mobylinux/sysctl:2cf2f9d5b4d314ba1bfc22b2fe931924af666d8c"
     net: host
@@ -17,7 +17,7 @@ system:
     binds:
      - /proc/sys/fs/binfmt_misc:/binfmt_misc
     readonly: true
-daemon:
+services:
   - name: rngd
     image: "mobylinux/rngd:3dad6dd43270fa632ac031e99d1947f20b22eec9@sha256:1c93c1db7196f6f71f8e300bc1d15f0376dd18e8891c8789d77c8ff19f3a9a92"
     capabilities:
diff --git a/projects/wireguard/examples/wireguard.yml b/projects/wireguard/examples/wireguard.yml
index 07ca39877..2e6548068 100644
--- a/projects/wireguard/examples/wireguard.yml
+++ b/projects/wireguard/examples/wireguard.yml
@@ -3,7 +3,7 @@ kernel:
   cmdline: "console=ttyS0 page_poison=1"
 init:
   - "mobylinux/init-wireguard:4309fb8b65cafa9e07b0e75d86a0bff4070e67e9"
-system:
+onboot:
   - name: sysctl
     image: "mobylinux/sysctl:2cf2f9d5b4d314ba1bfc22b2fe931924af666d8c"
     net: host
@@ -12,7 +12,7 @@ system:
     capabilities:
      - CAP_SYS_ADMIN
     readonly: true
-daemon:
+services:
   - name: rngd
     image: "mobylinux/rngd:3dad6dd43270fa632ac031e99d1947f20b22eec9@sha256:1c93c1db7196f6f71f8e300bc1d15f0376dd18e8891c8789d77c8ff19f3a9a92"
     capabilities:
diff --git a/src/cmd/moby/build.go b/src/cmd/moby/build.go
index 2de9c146d..ed3d887f7 100644
--- a/src/cmd/moby/build.go
+++ b/src/cmd/moby/build.go
@@ -137,8 +137,8 @@ func buildInternal(name string, pull bool, conf string) {
 		initrdAppend(iw, buffer)
 	}
 
-	log.Infof("Add system containers:")
-	for i, image := range m.System {
+	log.Infof("Add onboot containers:")
+	for i, image := range m.Onboot {
 		if pull || enforceContentTrust(image.Image, &m.Trust) {
 			log.Infof("  Pull: %s", image.Image)
 			err := dockerPull(image.Image, enforceContentTrust(image.Image, &m.Trust))
@@ -152,7 +152,7 @@ func buildInternal(name string, pull bool, conf string) {
 			log.Fatalf("Failed to create config.json for %s: %v", image.Image, err)
 		}
 		so := fmt.Sprintf("%03d", i)
-		path := "containers/system/" + so + "-" + image.Name
+		path := "containers/onboot/" + so + "-" + image.Name
 		out, err := ImageBundle(path, image.Image, config)
 		if err != nil {
 			log.Fatalf("Failed to extract root filesystem for %s: %v", image.Image, err)
@@ -161,8 +161,8 @@ func buildInternal(name string, pull bool, conf string) {
 		initrdAppend(iw, buffer)
 	}
 
-	log.Infof("Add daemon containers:")
-	for _, image := range m.Daemon {
+	log.Infof("Add service containers:")
+	for _, image := range m.Services {
 		if pull || enforceContentTrust(image.Image, &m.Trust) {
 			log.Infof("  Pull: %s", image.Image)
 			err := dockerPull(image.Image, enforceContentTrust(image.Image, &m.Trust))
@@ -175,7 +175,7 @@ func buildInternal(name string, pull bool, conf string) {
 		if err != nil {
 			log.Fatalf("Failed to create config.json for %s: %v", image.Image, err)
 		}
-		path := "containers/daemon/" + image.Name
+		path := "containers/services/" + image.Name
 		out, err := ImageBundle(path, image.Image, config)
 		if err != nil {
 			log.Fatalf("Failed to extract root filesystem for %s: %v", image.Image, err)
diff --git a/src/cmd/moby/config.go b/src/cmd/moby/config.go
index 9c93767df..11a9eafe4 100644
--- a/src/cmd/moby/config.go
+++ b/src/cmd/moby/config.go
@@ -24,11 +24,11 @@ type Moby struct {
 		Image   string
 		Cmdline string
 	}
-	Init   []string
-	System []MobyImage
-	Daemon []MobyImage
-	Trust  TrustConfig
-	Files  []struct {
+	Init     []string
+	Onboot   []MobyImage
+	Services []MobyImage
+	Trust    TrustConfig
+	Files    []struct {
 		Path      string
 		Directory bool
 		Contents  string
diff --git a/test/ltp/test-ltp.yml b/test/ltp/test-ltp.yml
index 5d736057d..bd57b8bd9 100644
--- a/test/ltp/test-ltp.yml
+++ b/test/ltp/test-ltp.yml
@@ -2,18 +2,18 @@ kernel:
   image: "mobylinux/kernel:4.9.x"
   cmdline: "console=ttyS0"
 init:
-  - mobylinux/init:925c88f42d92d57cd36b656db1f8757b152163a7
+  - mobylinux/init:02f05d99b4eb9cd9223bb5915f4070cf7b67c862
   - mobylinux/runc:b0fb122e10dbb7e4e45115177a61a3f8d68c19a9
   - mobylinux/containerd:68bb523deea09da293d675cbf88474eced540b8c
   - mobylinux/ca-certificates:eabc5a6e59f05aa91529d80e9a595b85b046f935
-system:
+onboot:
   - name: ltp
     image: "mobylinux/test-ltp-20170116:fdca2d1bb019b1d51e722e6032c82c7933d4b870"
     net: host
     pid: host
     capabilities:
      - CAP_SYS_ADMIN
-daemon:
+services:
   - name: dhcpcd
     image: "mobylinux/dhcpcd:3eb32da7ff8051f61e0f18edd90dd0fbfcf148ea"
     binds:
diff --git a/test/test.yml b/test/test.yml
index 91f172241..b012b3e02 100644
--- a/test/test.yml
+++ b/test/test.yml
@@ -2,11 +2,11 @@ kernel:
   image: "mobylinux/kernel:4.9.x"
   cmdline: "console=ttyS0"
 init:
-  - mobylinux/init:925c88f42d92d57cd36b656db1f8757b152163a7
+  - mobylinux/init:02f05d99b4eb9cd9223bb5915f4070cf7b67c862
   - mobylinux/runc:b0fb122e10dbb7e4e45115177a61a3f8d68c19a9
   - mobylinux/containerd:68bb523deea09da293d675cbf88474eced540b8c
   - mobylinux/ca-certificates:eabc5a6e59f05aa91529d80e9a595b85b046f935
-system:
+onboot:
   - name: binfmt
     image: "mobylinux/binfmt:bdb754f25a5d851b4f5f8d185a43dfcbb3c22d01"
     binds:
@@ -18,7 +18,7 @@ system:
     capabilities:
      - CAP_SYS_BOOT
     readonly: true
-daemon:
+services:
   - name: dhcpcd
     image: "mobylinux/dhcpcd:3eb32da7ff8051f61e0f18edd90dd0fbfcf148ea"
     binds:
diff --git a/test/virtsock/test-virtsock-server.yml b/test/virtsock/test-virtsock-server.yml
index a63702b16..386eadaea 100644
--- a/test/virtsock/test-virtsock-server.yml
+++ b/test/virtsock/test-virtsock-server.yml
@@ -6,11 +6,11 @@ kernel:
   image: "mobylinux/kernel:4.9.x"
   cmdline: "console=ttyS0 page_poison=1"
 init:
-  - mobylinux/init:925c88f42d92d57cd36b656db1f8757b152163a7
+  - mobylinux/init:02f05d99b4eb9cd9223bb5915f4070cf7b67c862
   - mobylinux/runc:b0fb122e10dbb7e4e45115177a61a3f8d68c19a9
   - mobylinux/containerd:68bb523deea09da293d675cbf88474eced540b8c
   - mobylinux/ca-certificates:eabc5a6e59f05aa91529d80e9a595b85b046f935
-system:
+onboot:
   - name: sysctl
     image: "mobylinux/sysctl:2cf2f9d5b4d314ba1bfc22b2fe931924af666d8c"
     net: host
@@ -19,7 +19,7 @@ system:
     capabilities:
      - CAP_SYS_ADMIN
     readonly: true
-daemon:
+services:
   - name: rngd
     image: "mobylinux/rngd:3dad6dd43270fa632ac031e99d1947f20b22eec9@sha256:1c93c1db7196f6f71f8e300bc1d15f0376dd18e8891c8789d77c8ff19f3a9a92"
     capabilities: