diff --git a/dev-python/pypy/pypy-5.6.0.ebuild b/dev-python/pypy/pypy-5.6.0.ebuild
index ce1b1a3f76415..34c1826c856f7 100644
--- a/dev-python/pypy/pypy-5.6.0.ebuild
+++ b/dev-python/pypy/pypy-5.6.0.ebuild
@@ -105,7 +105,7 @@ src_prepare() {
 	epatch_user
 }
 
-src_compile() {
+src_configure() {
 	tc-export CC
 
 	local jit_backend
@@ -162,12 +162,22 @@ src_compile() {
 			"${PYTHON}" --jit loop_longevity=300 )
 	fi
 
-	set -- "${interp[@]}" rpython/bin/rpython --batch "${args[@]}"
+	# translate into the C sources
+	# we're going to make them ourselves since otherwise pypy does not
+	# free up the unneeded memory before spawning the compiler
+	set -- "${interp[@]}" rpython/bin/rpython --batch --source "${args[@]}"
 	echo -e "\033[1m${@}\033[0m"
-	"${@}" || die "compile error"
+	"${@}" || die "translation failed"
+}
 
-	use doc && emake -C pypy/doc/ html
+src_compile() {
+	emake -C "${T}"/usession*-current/testing_1
+
+	# copy back to make sys.prefix happy
+	cp -p "${T}"/usession*-current/testing_1/{pypy-c,libpypy-c.so} . || die
 	pax-mark m pypy-c libpypy-c.so
+
+	use doc && emake -C pypy/doc html
 }
 
 src_test() {
@@ -180,10 +190,11 @@ src_test() {
 src_install() {
 	local dest=/usr/$(get_libdir)/pypy
 	einfo "Installing PyPy ..."
-	insinto "${dest}"
-	doins -r include lib_pypy lib-python pypy-c libpypy-c.so
-	fperms a+x ${dest}/pypy-c ${dest}/libpypy-c.so
+	exeinto "${dest}"
+	doexe pypy-c libpypy-c.so
 	pax-mark m "${ED%/}${dest}/pypy-c" "${ED%/}${dest}/libpypy-c.so"
+	insinto "${dest}"
+	doins -r include lib_pypy lib-python
 	dosym ../$(get_libdir)/pypy/pypy-c /usr/bin/pypy
 	dodoc README.rst
 
diff --git a/dev-python/pypy/pypy-9999.ebuild b/dev-python/pypy/pypy-9999.ebuild
index de88fb98a5f10..de566f88e80d3 100644
--- a/dev-python/pypy/pypy-9999.ebuild
+++ b/dev-python/pypy/pypy-9999.ebuild
@@ -111,7 +111,7 @@ src_prepare() {
 	epatch_user
 }
 
-src_compile() {
+src_configure() {
 	tc-export CC
 
 	local jit_backend
@@ -168,12 +168,22 @@ src_compile() {
 			"${PYTHON}" --jit loop_longevity=300 )
 	fi
 
-	set -- "${interp[@]}" rpython/bin/rpython --batch "${args[@]}"
+	# translate into the C sources
+	# we're going to make them ourselves since otherwise pypy does not
+	# free up the unneeded memory before spawning the compiler
+	set -- "${interp[@]}" rpython/bin/rpython --batch --source "${args[@]}"
 	echo -e "\033[1m${@}\033[0m"
-	"${@}" || die "compile error"
+	"${@}" || die "translation failed"
+}
 
-	use doc && emake -C pypy/doc/ html
+src_compile() {
+	emake -C "${T}"/usession*-current/testing_1
+
+	# copy back to make sys.prefix happy
+	cp -p "${T}"/usession*-current/testing_1/{pypy-c,libpypy-c.so} . || die
 	pax-mark m pypy-c libpypy-c.so
+
+	use doc && emake -C pypy/doc html
 }
 
 src_test() {
@@ -186,10 +196,11 @@ src_test() {
 src_install() {
 	local dest=/usr/$(get_libdir)/pypy
 	einfo "Installing PyPy ..."
-	insinto "${dest}"
-	doins -r include lib_pypy lib-python pypy-c libpypy-c.so
-	fperms a+x ${dest}/pypy-c ${dest}/libpypy-c.so
+	exeinto "${dest}"
+	doexe pypy-c libpypy-c.so
 	pax-mark m "${ED%/}${dest}/pypy-c" "${ED%/}${dest}/libpypy-c.so"
+	insinto "${dest}"
+	doins -r include lib_pypy lib-python
 	dosym ../$(get_libdir)/pypy/pypy-c /usr/bin/pypy
 	dodoc README.rst