diff --git a/shared/source/device/device_caps.cpp b/shared/source/device/device_caps.cpp
index 9cd2bcc750..103aaafcd9 100644
--- a/shared/source/device/device_caps.cpp
+++ b/shared/source/device/device_caps.cpp
@@ -1,10 +1,11 @@
 /*
- * Copyright (C) 2020-2021 Intel Corporation
+ * Copyright (C) 2020-2022 Intel Corporation
  *
  * SPDX-License-Identifier: MIT
  *
  */
 
+#include "shared/source/command_container/implicit_scaling.h"
 #include "shared/source/compiler_interface/compiler_interface.h"
 #include "shared/source/debugger/debugger.h"
 #include "shared/source/device/device.h"
@@ -77,6 +78,14 @@ void Device::initializeCaps() {
     deviceInfo.globalMemSize = alignDown(deviceInfo.globalMemSize, MemoryConstants::pageSize);
     deviceInfo.maxMemAllocSize = std::min(deviceInfo.globalMemSize, deviceInfo.maxMemAllocSize); // if globalMemSize was reduced for 32b
 
+    uint32_t subDeviceCount = HwHelper::getSubDevicesCount(&getHardwareInfo());
+
+    if (((NEO::ImplicitScalingHelper::isImplicitScalingEnabled(
+            getDeviceBitfield(), true))) &&
+        (!isSubDevice()) && (subDeviceCount > 1)) {
+        deviceInfo.maxMemAllocSize = deviceInfo.globalMemSize;
+    }
+
     if (!areSharedSystemAllocationsAllowed()) {
         deviceInfo.maxMemAllocSize = ApiSpecificConfig::getReducedMaxAllocSize(deviceInfo.maxMemAllocSize);
         deviceInfo.maxMemAllocSize = std::min(deviceInfo.maxMemAllocSize, hwHelper.getMaxMemAllocSize());
diff --git a/shared/test/unit_test/device/neo_device_tests.cpp b/shared/test/unit_test/device/neo_device_tests.cpp
index 562474c535..4811b40061 100644
--- a/shared/test/unit_test/device/neo_device_tests.cpp
+++ b/shared/test/unit_test/device/neo_device_tests.cpp
@@ -102,6 +102,34 @@ TEST_F(DeviceGetCapsTest, givenMockCompilerInterfaceWhenInitializeCapsIsCalledTh
     EXPECT_EQ(1u, pDevice->getDeviceInfo().maxParameterSize);
 }
 
+TEST_F(DeviceGetCapsTest,
+       givenImplicitScalingWhenInitializeCapsIsCalledThenMaxMemAllocSizeIsSetCorrectly) {
+    DebugManagerStateRestore dbgRestorer;
+
+    DebugManager.flags.CreateMultipleSubDevices.set(4);
+    pDevice->deviceBitfield = 15;
+
+    DebugManager.flags.EnableWalkerPartition.set(1);
+    DebugManager.flags.EnableSharedSystemUsmSupport.set(1);
+    pDevice->initializeCaps();
+    EXPECT_TRUE(pDevice->getDeviceInfo().maxMemAllocSize == pDevice->getDeviceInfo().globalMemSize);
+
+    DebugManager.flags.EnableWalkerPartition.set(0);
+    DebugManager.flags.EnableSharedSystemUsmSupport.set(1);
+    pDevice->initializeCaps();
+    EXPECT_TRUE(pDevice->getDeviceInfo().maxMemAllocSize <= pDevice->getDeviceInfo().globalMemSize);
+
+    DebugManager.flags.EnableWalkerPartition.set(1);
+    DebugManager.flags.EnableSharedSystemUsmSupport.set(0);
+    pDevice->initializeCaps();
+    EXPECT_TRUE(pDevice->getDeviceInfo().maxMemAllocSize < pDevice->getDeviceInfo().globalMemSize);
+
+    DebugManager.flags.EnableWalkerPartition.set(0);
+    DebugManager.flags.EnableSharedSystemUsmSupport.set(0);
+    pDevice->initializeCaps();
+    EXPECT_TRUE(pDevice->getDeviceInfo().maxMemAllocSize < pDevice->getDeviceInfo().globalMemSize);
+}
+
 TEST_F(DeviceGetCapsTest, givenDontForcePreemptionModeDebugVariableWhenCreateDeviceThenSetDefaultHwPreemptionMode) {
     DebugManagerStateRestore dbgRestorer;
     {