diff --git a/core/src/main/java/io/grpc/inprocess/InProcessTransport.java b/core/src/main/java/io/grpc/inprocess/InProcessTransport.java
index ae0160dbbf..915ce2081a 100644
--- a/core/src/main/java/io/grpc/inprocess/InProcessTransport.java
+++ b/core/src/main/java/io/grpc/inprocess/InProcessTransport.java
@@ -32,7 +32,6 @@
 package io.grpc.inprocess;
 
 import io.grpc.Compressor;
-import io.grpc.Decompressor;
 import io.grpc.DecompressorRegistry;
 import io.grpc.Metadata;
 import io.grpc.MethodDescriptor;
@@ -221,12 +220,6 @@ class InProcessTransport implements ServerTransport, ClientTransport {
         // intentional nop
       }
 
-      @Override
-      public void setDecompressor(Decompressor d) {}
-
-      @Override
-      public void setDecompressor(String messageEncoding) {}
-
       @Override
       public void setDecompressionRegistry(DecompressorRegistry registry) {}
 
@@ -446,16 +439,6 @@ class InProcessTransport implements ServerTransport, ClientTransport {
         // nop
       }
 
-      @Override
-      public void setDecompressor(Decompressor d) {
-        // nop
-      }
-
-      @Override
-      public void setDecompressor(String messageEncoding) {
-        // nop
-      }
-
       @Override
       public void setDecompressionRegistry(DecompressorRegistry registry) {}
     }
@@ -487,16 +470,6 @@ class InProcessTransport implements ServerTransport, ClientTransport {
       // very much a nop
     }
 
-    @Override
-    public void setDecompressor(Decompressor d) {
-      // nop
-    }
-
-    @Override
-    public void setDecompressor(String messageEncoding) {
-      // nop
-    }
-
     @Override
     public void setDecompressionRegistry(DecompressorRegistry registry) {}
   }
diff --git a/core/src/main/java/io/grpc/internal/AbstractStream.java b/core/src/main/java/io/grpc/internal/AbstractStream.java
index 3611ef251b..a17de176d1 100644
--- a/core/src/main/java/io/grpc/internal/AbstractStream.java
+++ b/core/src/main/java/io/grpc/internal/AbstractStream.java
@@ -293,8 +293,7 @@ public abstract class AbstractStream<IdT> implements Stream {
    * after the message encoding header is provided by the remote host, but before any messages are
    * received.
    */
-  @Override
-  public final void setDecompressor(Decompressor d) {
+  protected final void setDecompressor(Decompressor d) {
     deframer.setDecompressor(d);
   }
 
@@ -305,7 +304,6 @@ public abstract class AbstractStream<IdT> implements Stream {
    * @param messageEncoding the name of the encoding provided by the remote host
    * @throws IllegalArgumentException if the provided message encoding cannot be found.
    */
-  @Override
   public final void setDecompressor(String messageEncoding) {
     Decompressor d = decompressorRegistry.lookupDecompressor(messageEncoding);
     checkArgument(d != null,
diff --git a/core/src/main/java/io/grpc/internal/ClientCallImpl.java b/core/src/main/java/io/grpc/internal/ClientCallImpl.java
index 7ffc79f407..27fd3ed34b 100644
--- a/core/src/main/java/io/grpc/internal/ClientCallImpl.java
+++ b/core/src/main/java/io/grpc/internal/ClientCallImpl.java
@@ -43,7 +43,6 @@ import io.grpc.CallOptions;
 import io.grpc.ClientCall;
 import io.grpc.Codec;
 import io.grpc.Compressor;
-import io.grpc.Decompressor;
 import io.grpc.DecompressorRegistry;
 import io.grpc.Metadata;
 import io.grpc.MethodDescriptor;
@@ -371,12 +370,6 @@ final class ClientCallImpl<ReqT, RespT> extends ClientCall<ReqT, RespT> {
       return false;
     }
 
-    @Override
-    public void setDecompressor(Decompressor d) {}
-
-    @Override
-    public void setDecompressor(String messageEncoding) {}
-
     @Override
     public void setDecompressionRegistry(DecompressorRegistry registry) {}
   }
diff --git a/core/src/main/java/io/grpc/internal/ServerImpl.java b/core/src/main/java/io/grpc/internal/ServerImpl.java
index 8cc12f72cb..6de6dffdfd 100644
--- a/core/src/main/java/io/grpc/internal/ServerImpl.java
+++ b/core/src/main/java/io/grpc/internal/ServerImpl.java
@@ -325,19 +325,6 @@ public final class ServerImpl extends io.grpc.Server {
     private <ReqT, RespT> ServerStreamListener startCall(ServerStream stream, String fullMethodName,
         ServerMethodDefinition<ReqT, RespT> methodDef, Future<?> timeout,
         Metadata headers) {
-
-      String messageEncoding = headers.get(GrpcUtil.MESSAGE_ENCODING_KEY);
-      if (messageEncoding != null) {
-        try {
-          stream.setDecompressor(messageEncoding);
-        } catch (IllegalArgumentException e) {
-          throw Status.INVALID_ARGUMENT
-              .withDescription("Unable to decompress message with encoding: " + messageEncoding)
-              .withCause(e)
-              .asRuntimeException();
-        }
-      }
-
       // TODO(ejona86): should we update fullMethodName to have the canonical path of the method?
       ServerCallImpl<ReqT, RespT> call = new ServerCallImpl<ReqT, RespT>(
           stream, methodDef.getMethodDescriptor());
diff --git a/core/src/main/java/io/grpc/internal/Stream.java b/core/src/main/java/io/grpc/internal/Stream.java
index 1edf147976..efb9abd8a7 100644
--- a/core/src/main/java/io/grpc/internal/Stream.java
+++ b/core/src/main/java/io/grpc/internal/Stream.java
@@ -32,7 +32,6 @@
 package io.grpc.internal;
 
 import io.grpc.Compressor;
-import io.grpc.Decompressor;
 import io.grpc.DecompressorRegistry;
 
 import java.io.InputStream;
@@ -86,22 +85,6 @@ public interface Stream {
    */
   void setCompressor(Compressor c);
 
-  /**
-   * Set the decompressor for this stream.  This may be called at most once.  Typically this is set
-   * after the message encoding header is provided by the remote host, but before any messages are
-   * received.
-   */
-  void setDecompressor(Decompressor d);
-
-  /**
-   * Looks up the decompressor by its message encoding name, and sets it for this stream.
-   * Decompressors are registered with {@link io.grpc.DecompressorRegistry#register}.
-   *
-   * @param messageEncoding the name of the encoding provided by the remote host
-   * @throws IllegalArgumentException if the provided message encoding cannot be found.
-   */
-  void setDecompressor(String messageEncoding);
-
   /**
    * Sets the decompressor registry to use when resolving {@link #setDecompressor(String)}.  If
    * unset, the default DecompressorRegistry will be used.
diff --git a/netty/src/main/java/io/grpc/netty/NettyServerHandler.java b/netty/src/main/java/io/grpc/netty/NettyServerHandler.java
index 72f0346e13..9a8de2a583 100644
--- a/netty/src/main/java/io/grpc/netty/NettyServerHandler.java
+++ b/netty/src/main/java/io/grpc/netty/NettyServerHandler.java
@@ -161,6 +161,19 @@ class NettyServerHandler extends Http2ConnectionHandler {
       NettyServerStream stream = new NettyServerStream(ctx.channel(), http2Stream, this,
               maxMessageSize);
       Metadata metadata = Utils.convertHeaders(headers);
+
+      String messageEncoding = metadata.get(GrpcUtil.MESSAGE_ENCODING_KEY);
+      if (messageEncoding != null) {
+        try {
+          stream.setDecompressor(messageEncoding);
+        } catch (IllegalArgumentException e) {
+          throw Status.INVALID_ARGUMENT
+              .withDescription("Unable to decompress message with encoding: " + messageEncoding)
+              .withCause(e)
+              .asRuntimeException();
+        }
+      }
+
       ServerStreamListener listener =
           transportListener.streamCreated(stream, method, metadata);
       stream.setListener(listener);
diff --git a/netty/src/main/java/io/grpc/netty/NettyServerStream.java b/netty/src/main/java/io/grpc/netty/NettyServerStream.java
index 861e0bf524..579005b42e 100644
--- a/netty/src/main/java/io/grpc/netty/NettyServerStream.java
+++ b/netty/src/main/java/io/grpc/netty/NettyServerStream.java
@@ -128,8 +128,4 @@ class NettyServerStream extends AbstractServerStream<Integer> {
   public void cancel(Status status) {
     writeQueue.enqueue(new CancelServerStreamCommand(this, status), true);
   }
-
-  void useDecompressor(String messageEncoding) {
-    setDecompressor(messageEncoding);
-  }
 }