diff --git a/tests/test_gateway.py b/tests/test_gateway.py
index 1b32608f..fc2d8da7 100644
--- a/tests/test_gateway.py
+++ b/tests/test_gateway.py
@@ -166,6 +166,24 @@ async def test_device_left(
     assert zha_dev_basic.on_network is False
 
 
+async def test_gateway_startup_failure(
+    zha_data: ZHAData,
+) -> None:
+    """Test shutdown called when gateway init fails."""
+
+    zha_gateway = await Gateway.async_from_config(zha_data)
+
+    with (
+        patch("zha.application.gateway.Gateway.load_devices", side_effect=Exception),
+        pytest.raises(Exception),
+    ):
+        zha_gateway.shutdown = AsyncMock(wraps=zha_gateway.shutdown)
+        await zha_gateway.async_initialize()
+        await zha_gateway.async_block_till_done()
+
+    assert zha_gateway.shutdown.await_count == 1
+
+
 async def test_gateway_group_methods(
     zha_gateway: Gateway,
     device_light_1,  # pylint: disable=redefined-outer-name
diff --git a/zha/application/gateway.py b/zha/application/gateway.py
index 17059658..5ba7ff3e 100644
--- a/zha/application/gateway.py
+++ b/zha/application/gateway.py
@@ -224,7 +224,7 @@ async def async_from_config(cls, config: ZHAData) -> Self:
 
         return instance
 
-    async def async_initialize(self) -> None:
+    async def _async_initialize(self) -> None:
         """Initialize controller and connect radio."""
         discovery.DEVICE_PROBE.initialize(self)
         discovery.ENDPOINT_PROBE.initialize(self)
@@ -239,12 +239,7 @@ async def async_initialize(self) -> None:
             start_radio=False,
         )
 
-        try:
-            await self.application_controller.startup(auto_form=True)
-        except Exception:
-            # Explicitly shut down the controller application on failure
-            await self.application_controller.shutdown()
-            raise
+        await self.application_controller.startup(auto_form=True)
 
         self.coordinator_zha_device = self.get_or_create_device(
             self._find_coordinator_device()
@@ -258,6 +253,14 @@ async def async_initialize(self) -> None:
         self.global_updater.start()
         self._device_availability_checker.start()
 
+    async def async_initialize(self) -> None:
+        """Initialize controller and connect radio."""
+        try:
+            await self._async_initialize()
+        except Exception:
+            await self.shutdown()
+            raise
+
     def connection_lost(self, exc: Exception) -> None:
         """Handle connection lost event."""
         _LOGGER.debug("Connection to the radio was lost: %r", exc)