diff --git a/ui/desktop/src/components/Layout/AppLayout.tsx b/ui/desktop/src/components/Layout/AppLayout.tsx
index 7f7c778c2c4b..301e777063fc 100644
--- a/ui/desktop/src/components/Layout/AppLayout.tsx
+++ b/ui/desktop/src/components/Layout/AppLayout.tsx
@@ -1,11 +1,11 @@
 import React from 'react';
 import { Outlet, useNavigate, useLocation } from 'react-router-dom';
-import AppSidebar from '../GooseSidebar/AppSidebar';
-import GlobalBackground from '../GlobalBackground';
 import { View, ViewOptions } from '../../App';
 import { AppWindowMac, AppWindow } from 'lucide-react';
 import { Button } from '../ui/button';
-import { Sidebar, SidebarInset, SidebarProvider, SidebarTrigger, useSidebar } from '../ui/sidebar';
+import { SidebarProvider, useSidebar } from '../ui/sidebar';
+import GlobalBackground from '../GlobalBackground';
+import PillSideNav from '../PillSideNav';
 
 interface AppLayoutProps {
   setIsGoosehintsModalOpen?: (isOpen: boolean) => void;
@@ -18,10 +18,6 @@ const AppLayoutContent: React.FC<AppLayoutProps> = ({ setIsGoosehintsModalOpen }
   const safeIsMacOS = (window?.electron?.platform || 'darwin') === 'darwin';
   const { isMobile, openMobile } = useSidebar();
 
-  // Calculate padding based on sidebar state and macOS
-  const headerPadding = safeIsMacOS ? 'pl-21' : 'pl-4';
-  // const headerPadding = '';
-
   // Hide buttons when mobile sheet is showing
   const shouldHideButtons = isMobile && openMobile;
 
@@ -69,11 +65,6 @@ const AppLayoutContent: React.FC<AppLayoutProps> = ({ setIsGoosehintsModalOpen }
     }
   };
 
-  const handleSelectSession = async (sessionId: string) => {
-    // Navigate to chat with session data
-    navigate('/', { state: { sessionId } });
-  };
-
   const handleNewWindow = () => {
     window.electron.createChatWindow(
       undefined,
@@ -83,17 +74,22 @@ const AppLayoutContent: React.FC<AppLayoutProps> = ({ setIsGoosehintsModalOpen }
 
   return (
     <div className="flex flex-1 w-full relative animate-fade-in">
-      {/* Global background with aggressive blur for chat sections */}
-      <GlobalBackground blur={true} opacity={0.3} />
+      {/* Global background */}
+      <GlobalBackground blur={false} opacity={1} />
+      
+      {/* Floating pill navigation in center */}
+      <div className="absolute top-4 left-0 right-0 z-50 flex justify-center pointer-events-none">
+        <div className="pointer-events-auto">
+          <PillSideNav />
+        </div>
+      </div>
       
+      {/* New Window button in top right */}
       {!shouldHideButtons && (
-        <div className={`${headerPadding} absolute top-3 z-100 flex items-center`}>
-          <SidebarTrigger
-            className={`no-drag hover:border-border-strong hover:text-text-default hover:!bg-background-medium hover:scale-105`}
-          />
+        <div className="absolute top-4 right-4 z-50">
           <Button
             onClick={handleNewWindow}
-            className="no-drag hover:!bg-background-medium"
+            className="no-drag hover:!bg-white/10 text-white"
             variant="ghost"
             size="xs"
             title="Start a new session in a new window"
@@ -102,17 +98,11 @@ const AppLayoutContent: React.FC<AppLayoutProps> = ({ setIsGoosehintsModalOpen }
           </Button>
         </div>
       )}
-      <Sidebar variant="inset" collapsible="offcanvas">
-        <AppSidebar
-          onSelectSession={handleSelectSession}
-          setView={setView}
-          setIsGoosehintsModalOpen={setIsGoosehintsModalOpen}
-          currentPath={location.pathname}
-        />
-      </Sidebar>
-      <SidebarInset>
+      
+      {/* Main Content */}
+      <div className="w-full h-full">
         <Outlet />
-      </SidebarInset>
+      </div>
     </div>
   );
 };
diff --git a/ui/desktop/src/components/PillSideNav.tsx b/ui/desktop/src/components/PillSideNav.tsx
new file mode 100644
index 000000000000..a9d046bcbed3
--- /dev/null
+++ b/ui/desktop/src/components/PillSideNav.tsx
@@ -0,0 +1,126 @@
+import React, { useState } from 'react';
+import { useNavigate, useLocation } from 'react-router-dom';
+import { cn } from '../utils';
+import { 
+  Home as HomeIcon,
+  MessageSquare as ChatIcon,
+  Clock as ClockIcon,
+  FileText as FileIcon,
+  Puzzle as PuzzleIcon,
+  Settings as SettingsIcon,
+  History as HistoryIcon,
+  ChevronRight as ChevronRightIcon,
+  X as CloseIcon
+} from 'lucide-react';
+
+interface NavItemProps {
+  icon: React.ReactNode;
+  label: string;
+  path: string;
+  isActive?: boolean;
+  onClick: () => void;
+}
+
+const NavItem: React.FC<NavItemProps> = ({ 
+  icon, 
+  label, 
+  isActive = false,
+  onClick
+}) => {
+  return (
+    <button 
+      onClick={onClick}
+      className={cn(
+        "flex items-center gap-2 px-3 py-2 rounded-full transition-all duration-200 w-full",
+        isActive 
+          ? "bg-white/15 text-white" 
+          : "text-white/80 hover:text-white hover:bg-white/10"
+      )}
+    >
+      <div className="text-lg">
+        {icon}
+      </div>
+      <span className="text-sm font-medium">{label}</span>
+    </button>
+  );
+};
+
+export const PillSideNav: React.FC = () => {
+  const navigate = useNavigate();
+  const location = useLocation();
+  const currentPath = location.pathname;
+  const [isExpanded, setIsExpanded] = useState(false);
+
+  const handleNavigation = (path: string) => {
+    navigate(path);
+    setIsExpanded(false);
+  };
+
+  // Navigation items configuration
+  const navItems = [
+    { icon: <HomeIcon size={18} />, label: 'Home', path: '/' },
+    { icon: <ChatIcon size={18} />, label: 'Chat', path: '/pair' },
+    { icon: <HistoryIcon size={18} />, label: 'History', path: '/sessions' },
+    { icon: <FileIcon size={18} />, label: 'Recipes', path: '/recipes' },
+    { icon: <SettingsIcon size={18} />, label: 'Settings', path: '/settings' },
+  ];
+
+  // Find the current active item
+  const activeItem = navItems.find(item => item.path === currentPath) || navItems[0];
+  
+  // Get current mode label
+  const currentModeLabel = activeItem.label;
+
+  return (
+    <div className="relative">
+      {/* Collapsed Pill */}
+      {!isExpanded && (
+        <div 
+          className="h-9 bg-white/10 backdrop-blur-md rounded-full 
+                    flex items-center cursor-pointer shadow-md
+                    transition-all duration-300 hover:bg-white/15 px-4
+                    border border-white/20"
+          onClick={() => setIsExpanded(true)}
+        >
+          <span className="text-white font-medium text-sm">{currentModeLabel}</span>
+        </div>
+      )}
+
+      {/* Expanded Navigation */}
+      {isExpanded && (
+        <div className="absolute left-1/2 transform -translate-x-1/2 top-0 z-50
+                      bg-black/70 backdrop-blur-xl
+                      border border-white/20 shadow-xl rounded-lg animate-in fade-in duration-200">
+          <div className="flex flex-col p-2">
+            {/* Header with close button */}
+            <div className="flex items-center justify-between px-2 py-1 mb-1">
+              <span className="text-white font-medium text-sm">Navigation</span>
+              <button 
+                onClick={() => setIsExpanded(false)}
+                className="text-white/70 hover:text-white p-1 rounded-full hover:bg-white/10"
+              >
+                <CloseIcon size={16} />
+              </button>
+            </div>
+
+            {/* Navigation Items */}
+            <div className="space-y-1 min-w-40">
+              {navItems.map((item) => (
+                <NavItem 
+                  key={item.path}
+                  icon={item.icon} 
+                  label={item.label} 
+                  path={item.path}
+                  isActive={currentPath === item.path}
+                  onClick={() => handleNavigation(item.path)}
+                />
+              ))}
+            </div>
+          </div>
+        </div>
+      )}
+    </div>
+  );
+};
+
+export default PillSideNav;
diff --git a/ui/desktop/src/components/pair.tsx b/ui/desktop/src/components/pair.tsx
index ff7f1ac43050..8172d5388cac 100644
--- a/ui/desktop/src/components/pair.tsx
+++ b/ui/desktop/src/components/pair.tsx
@@ -60,15 +60,66 @@ export default function Pair({
   // Get recipe configuration and parameter handling
   const { initialPrompt: recipeInitialPrompt } = useRecipeManager(chat.messages, location.state);
 
+  // Get sidebar state for background adjustments
+  const { state: currentSidebarState } = useSidebar();
+  const isSidebarCollapsed = currentSidebarState === 'collapsed';
+
   // Override backgrounds to allow our gradient to show through
   useEffect(() => {
-    // Override SidebarInset background
+    // Target the specific SidebarInset component with the complex class
     const sidebarInset = document.querySelector('[data-slot="sidebar-inset"]') as HTMLElement;
     if (sidebarInset) {
       sidebarInset.style.background = 'transparent';
+      sidebarInset.style.backgroundColor = 'transparent';
+      // Remove the bg-background class that might be causing the issue
+      sidebarInset.classList.remove('bg-background');
+      // Add bg-transparent class
+      sidebarInset.classList.add('bg-transparent');
+    }
+
+    // Target the sidebar element itself
+    const sidebar = document.querySelector('[data-slot="sidebar"]') as HTMLElement;
+    if (sidebar) {
+      // Add a style to make sure it doesn't block our background
+      sidebar.style.pointerEvents = 'auto';
+      sidebar.style.zIndex = '20';
+      // Make the sidebar background transparent
+      sidebar.style.background = 'transparent';
+      sidebar.style.backgroundColor = 'transparent';
+    }
+
+    // Target the sidebar wrapper
+    const sidebarWrapper = document.querySelector('[data-slot="sidebar-wrapper"]') as HTMLElement;
+    if (sidebarWrapper) {
+      sidebarWrapper.style.background = 'transparent';
+      sidebarWrapper.style.backgroundColor = 'transparent';
+    }
+
+    // Target the sidebar container
+    const sidebarContainer = document.querySelector('[data-slot="sidebar-container"]') as HTMLElement;
+    if (sidebarContainer) {
+      sidebarContainer.style.background = 'transparent';
+      sidebarContainer.style.backgroundColor = 'transparent';
+    }
+
+    // Target the sidebar inner
+    const sidebarInner = document.querySelector('[data-slot="sidebar-inner"]') as HTMLElement;
+    if (sidebarInner) {
+      // Keep the sidebar's own background but make sure it doesn't extend
+      sidebarInner.style.width = '100%';
+      sidebarInner.style.height = '100%';
     }
 
-    // Apply reduced blur effect to ChatInput (same as Hub but less aggressive)
+    // Override MainPanelLayout background
+    const mainPanels = document.querySelectorAll('.bg-background-default, .bg-background-muted') as NodeListOf<HTMLElement>;
+    mainPanels.forEach(panel => {
+      if (panel) {
+        panel.style.background = 'transparent';
+        panel.style.backgroundColor = 'transparent';
+      }
+    });
+
+    // Override ChatInput background to be transparent with glass effect
     const chatInputContainer = document.querySelector('[data-drop-zone="true"]') as HTMLElement;
     if (chatInputContainer) {
       chatInputContainer.style.background = 'rgba(255, 255, 255, 0.05)';
@@ -82,7 +133,37 @@ export default function Pair({
     return () => {
       if (sidebarInset) {
         sidebarInset.style.background = '';
+        sidebarInset.style.backgroundColor = '';
+        sidebarInset.classList.remove('bg-transparent');
+        // Restore the original class if needed
+        if (!sidebarInset.classList.contains('bg-background')) {
+          sidebarInset.classList.add('bg-background');
+        }
+      }
+      if (sidebar) {
+        sidebar.style.pointerEvents = '';
+        sidebar.style.zIndex = '';
+        sidebar.style.background = '';
+        sidebar.style.backgroundColor = '';
+      }
+      if (sidebarWrapper) {
+        sidebarWrapper.style.background = '';
+        sidebarWrapper.style.backgroundColor = '';
       }
+      if (sidebarContainer) {
+        sidebarContainer.style.background = '';
+        sidebarContainer.style.backgroundColor = '';
+      }
+      if (sidebarInner) {
+        sidebarInner.style.width = '';
+        sidebarInner.style.height = '';
+      }
+      mainPanels.forEach(panel => {
+        if (panel) {
+          panel.style.background = '';
+          panel.style.backgroundColor = '';
+        }
+      });
       if (chatInputContainer) {
         chatInputContainer.style.background = '';
         chatInputContainer.style.backdropFilter = '';
@@ -91,7 +172,7 @@ export default function Pair({
         chatInputContainer.style.border = '';
       }
     };
-  });
+  }, []);
 
   // Handle recipe loading from recipes view - reset chat if needed
   useEffect(() => {
@@ -222,8 +303,11 @@ export default function Pair({
 
   // Custom main layout props to override background completely
   const customMainLayoutProps = {
-    backgroundColor: '', // Remove any background class
-    style: { backgroundColor: 'transparent' }, // Force transparent background with inline style
+    backgroundColor: 'transparent', // Use transparent instead of empty string
+    style: { 
+      backgroundColor: 'transparent',
+      background: 'transparent'
+    }, // Force transparent background with inline style
   };
 
   // Custom content before messages
@@ -232,13 +316,25 @@ export default function Pair({
   };
 
   return (
-    <div className="flex flex-col h-full relative" style={{ backgroundColor: 'transparent' }}>
-      {/* Use GlobalBackground to respect user's selected background */}
-      <GlobalBackground blur={false} opacity={1} />
-
+    <div className="flex flex-col h-full relative bg-transparent">
+      {/* Image background implementation */}
+      <div className="fixed inset-0 -z-10" 
+        style={{
+          backgroundImage: `url('/background.jpg')`,
+          backgroundSize: 'cover',
+          backgroundPosition: 'center',
+          backgroundRepeat: 'no-repeat',
+        }}
+      />
+      
+      {/* Optional overlay for better text readability */}
+      <div 
+        className="fixed inset-0 -z-10 bg-black/20"
+      />
+      
       {/* Centered chat content */}
-      <div className="relative z-10 flex justify-center h-full" style={{ backgroundColor: 'transparent' }}>
-        <div className="w-full max-w-[1000px] h-full" style={{ backgroundColor: 'transparent' }}>
+      <div className="relative z-10 flex justify-center h-full bg-transparent">
+        <div className="w-full max-w-[1000px] h-full bg-transparent">
           <BaseChat
             chat={chat}
             setChat={setChat}
@@ -250,7 +346,7 @@ export default function Pair({
             renderBeforeMessages={renderBeforeMessages}
             customChatInputProps={customChatInputProps}
             customMainLayoutProps={customMainLayoutProps} // Override background
-            contentClassName={cn('pr-1 pb-10', (isMobile || sidebarState === 'collapsed') && 'pt-11')} // Use dynamic content class with mobile margin and sidebar state
+            contentClassName={cn('pr-1 pb-10', (isMobile || currentSidebarState === 'collapsed') && 'pt-11')} // Use dynamic content class with mobile margin and sidebar state
             showPopularTopics={!isTransitioningFromHub} // Don't show popular topics while transitioning from Hub
             suppressEmptyState={isTransitioningFromHub} // Suppress all empty state content while transitioning from Hub
           />