diff --git a/src/lightning_lite/CHANGELOG.md b/src/lightning_lite/CHANGELOG.md
index 74db65f889ce1..1ead9c14ecde0 100644
--- a/src/lightning_lite/CHANGELOG.md
+++ b/src/lightning_lite/CHANGELOG.md
@@ -28,7 +28,8 @@ The format is based on [Keep a Changelog](http://keepachangelog.com/en/1.0.0/).
 - The `LightningLite.run()` method is no longer abstract ([#14992](https://github.com/Lightning-AI/lightning/issues/14992))
 
 
--
+- The `XLAStrategy` now inherits from `ParallelStrategy` instead of `DDPSpawnStrategy` ([#15838](https://github.com/Lightning-AI/lightning/issues/15838))
+
 
 
 ### Deprecated
diff --git a/src/lightning_lite/strategies/launchers/xla.py b/src/lightning_lite/strategies/launchers/xla.py
index bcb770d942791..0f47b235160ce 100644
--- a/src/lightning_lite/strategies/launchers/xla.py
+++ b/src/lightning_lite/strategies/launchers/xla.py
@@ -18,14 +18,15 @@
 from torch.multiprocessing import get_context
 
 from lightning_lite.accelerators.tpu import _XLA_AVAILABLE
-from lightning_lite.strategies.launchers.multiprocessing import _GlobalStateSnapshot, _MultiProcessingLauncher
+from lightning_lite.strategies.launchers.base import _Launcher
+from lightning_lite.strategies.launchers.multiprocessing import _GlobalStateSnapshot
 from lightning_lite.utilities.apply_func import move_data_to_device
 
 if TYPE_CHECKING:
     from lightning_lite.strategies import XLAStrategy
 
 
-class _XLALauncher(_MultiProcessingLauncher):
+class _XLALauncher(_Launcher):
     r"""Launches processes that run a given function in parallel on XLA supported hardware, and joins them all at the
     end.
 
@@ -44,7 +45,8 @@ class _XLALauncher(_MultiProcessingLauncher):
     def __init__(self, strategy: "XLAStrategy") -> None:
         if not _XLA_AVAILABLE:
             raise ModuleNotFoundError(str(_XLA_AVAILABLE))
-        super().__init__(strategy=strategy, start_method="fork")
+        self._strategy = strategy
+        self._start_method = "fork"
 
     @property
     def is_interactive_compatible(self) -> bool:
diff --git a/src/lightning_lite/strategies/xla.py b/src/lightning_lite/strategies/xla.py
index ecd751e4d26d5..6d67fe2227ed6 100644
--- a/src/lightning_lite/strategies/xla.py
+++ b/src/lightning_lite/strategies/xla.py
@@ -26,7 +26,7 @@
 from lightning_lite.plugins.io.checkpoint_io import CheckpointIO
 from lightning_lite.plugins.io.xla import XLACheckpointIO
 from lightning_lite.plugins.precision import Precision
-from lightning_lite.strategies.ddp_spawn import DDPSpawnStrategy
+from lightning_lite.strategies import ParallelStrategy
 from lightning_lite.strategies.launchers.xla import _XLALauncher
 from lightning_lite.strategies.strategy import TBroadcast
 from lightning_lite.utilities.apply_func import apply_to_collection
@@ -38,7 +38,7 @@
     from torch_xla.distributed.parallel_loader import MpDeviceLoader
 
 
-class XLAStrategy(DDPSpawnStrategy):
+class XLAStrategy(ParallelStrategy):
     """Strategy for training multiple TPU devices using the :func:`torch_xla.distributed.xla_multiprocessing.spawn`
     method."""
 
@@ -55,11 +55,11 @@ def __init__(
             cluster_environment=XLAEnvironment(),
             checkpoint_io=checkpoint_io,
             precision=precision,
-            start_method="fork",
         )
         self._checkpoint_io: Optional[CheckpointIO]
         self._backward_sync_control = None  # XLA synchronizes gradients in the optimizer.step() call
         self._launched = False
+        self._local_rank = 0
 
     @property
     def root_device(self) -> torch.device:
@@ -69,6 +69,14 @@ def root_device(self) -> torch.device:
 
         return xm.xla_device()
 
+    @property
+    def num_processes(self) -> int:
+        return len(self.parallel_devices) if self.parallel_devices is not None else 0
+
+    @property
+    def local_rank(self) -> int:
+        return self._local_rank
+
     @property
     def checkpoint_io(self) -> CheckpointIO:
         if self._checkpoint_io is None:
@@ -93,10 +101,11 @@ def is_distributed(self) -> bool:
     def _configure_launcher(self) -> None:
         self._launcher = _XLALauncher(self)
 
-    def _setup_distributed(self) -> None:
+    def setup_environment(self) -> None:
         self._launched = True
         self._set_world_ranks()
         rank_zero_only.rank = self.global_rank
+        super().setup_environment()
 
     def setup_module(self, module: Module) -> Module:
         return module
@@ -201,6 +210,13 @@ def register_strategies(cls, strategy_registry: Dict) -> None:
         strategy_registry.register("tpu_spawn", cls, description=cls.__class__.__name__)
         strategy_registry.register("xla", cls, description=cls.__class__.__name__)
 
+    def _set_world_ranks(self) -> None:
+        if self.cluster_environment is None:
+            return
+        self.cluster_environment.set_global_rank(self.node_rank * self.num_processes + self.local_rank)
+        self.cluster_environment.set_world_size(self.num_processes)
+        rank_zero_only.rank = self.cluster_environment.global_rank()
+
     @staticmethod
     def _validate_dataloader(dataloaders: DataLoader) -> None:
         def check_has_len(dataloader: DataLoader) -> None: