I want to add my own framework code that runs in the Android \"system_server\" (handles all the system level services). My service loads a JNI library that talks to a driver
There are multiply way (or 6 ways, just to be explicit) of adding a system service.
What you tried (Android App -> System Service -> JNI (native) library -> Device Driver) is one of them. You might want check out this article for an in-depth explanation regarding system service implementation patterns.
