diff --git a/guacamole/libguac/Makefile.am b/guacamole/libguac/Makefile.am
index 9ecdecaf0..fbdfd022a 100644
--- a/guacamole/libguac/Makefile.am
+++ b/guacamole/libguac/Makefile.am
@@ -4,7 +4,7 @@ AM_CFLAGS = -Werror -Wall -Iinclude
 
 lib_LTLIBRARIES = libguac.la
 
-libguac_la_SOURCES = client.c clientreg.c guacio.c protocol.c uuidtree.c
+libguac_la_SOURCES = src/client.c src/clientreg.c src/guacio.c src/protocol.c src/uuidtree.c
 include_HEADERS = include/client.h include/guacio.h include/protocol.h include/uuidtree.h
 
 libguac_la_LDFLAGS = -version-info 0:0:0
diff --git a/guacamole/libguac/configure.in b/guacamole/libguac/configure.in
index 4badf38ea..535546f36 100644
--- a/guacamole/libguac/configure.in
+++ b/guacamole/libguac/configure.in
@@ -1,8 +1,8 @@
 #                                               -*- Autoconf -*-
 # Process this file with autoconf to produce a configure script.
 
-AC_INIT(client.c)
-AM_INIT_AUTOMAKE(libguac, 0.0.1)
+AC_INIT(src/client.c)
+AM_INIT_AUTOMAKE(libguac, 0.0.0)
 
 # Checks for programs.
 AC_PROG_CC
diff --git a/guacamole/libguac/client.c b/guacamole/libguac/src/client.c
similarity index 100%
rename from guacamole/libguac/client.c
rename to guacamole/libguac/src/client.c
diff --git a/guacamole/libguac/clientreg.c b/guacamole/libguac/src/clientreg.c
similarity index 100%
rename from guacamole/libguac/clientreg.c
rename to guacamole/libguac/src/clientreg.c
diff --git a/guacamole/libguac/guacio.c b/guacamole/libguac/src/guacio.c
similarity index 100%
rename from guacamole/libguac/guacio.c
rename to guacamole/libguac/src/guacio.c
diff --git a/guacamole/libguac/protocol.c b/guacamole/libguac/src/protocol.c
similarity index 100%
rename from guacamole/libguac/protocol.c
rename to guacamole/libguac/src/protocol.c
diff --git a/guacamole/libguac/uuidtree.c b/guacamole/libguac/src/uuidtree.c
similarity index 100%
rename from guacamole/libguac/uuidtree.c
rename to guacamole/libguac/src/uuidtree.c