Hi
Am facing a similar issue. But I think you have a set a wrong capability. Please change to the following:
capabilities.setCapability(MobileCapabilityType.DEVICE_NAME, “Android Emulator”);
capabilities.setCapability(MobileCapabilityType.APP, app.getAbsolutePath());
capabilities.setCapability(MobileCapabilityType.NEW_COMMAND_TIMEOUT, 120);
capabilities.setCapability(MobileCapabilityType.PLATFORM_VERSION, 17);
driver = new AndroidDriver(new URL(“http://127.0.0.1:4723/wd/hub”), capabilities);
Hope that helps!