diff -r 8c9c9ee30d71 -r 5d8f5a6dced7 src/share/vm/runtime/arguments.cpp
--- a/src/share/vm/runtime/arguments.cpp	Thu Mar 03 23:31:45 2011 -0800
+++ b/src/share/vm/runtime/arguments.cpp	Fri Mar 04 15:14:16 2011 -0800
@@ -1026,8 +1026,9 @@
 }
 
 void Arguments::set_tiered_flags() {
+  // With tiered, set default policy to AdvancedThresholdPolicy, which is 3.
   if (FLAG_IS_DEFAULT(CompilationPolicyChoice)) {
-    FLAG_SET_DEFAULT(CompilationPolicyChoice, 2);
+    FLAG_SET_DEFAULT(CompilationPolicyChoice, 3);
   }
   if (CompilationPolicyChoice < 2) {
     vm_exit_during_initialization(