diff --git a/pkg/openthread/Makefile b/pkg/openthread/Makefile
index 3780e5b520..1c57cd21ba 100644
--- a/pkg/openthread/Makefile
+++ b/pkg/openthread/Makefile
@@ -1,70 +1,70 @@
 PKG_NAME=openthread
 PKG_URL=https://github.com/openthread/openthread.git
-PKG_VERSION=thread-reference-20191113
+PKG_VERSION=54b31928cf65803a9cd83c9f97061b64e465aaf7  # thread-reference-20200818
 PKG_LICENSE=BSD-3-Clause
 
-# OpenThread build system doesn't support (yet) out-of-source builds
-# so clone and build OpenThread within the application build directory
-PKG_BUILD_OUT_OF_SOURCE = 0
-
 include $(RIOTBASE)/pkg/pkg.mk
 
 ifneq (,$(filter openthread-ftd,$(USEMODULE)))
   TD = ftd
+  OT_JOINER := OFF
 else ifneq (,$(filter openthread-mtd,$(USEMODULE)))
   TD = mtd
-  JOINER_ARG = --enable-joiner
+  OT_JOINER := ON
 else
   $(error "Please use either USEMODULE=openthread-ftd or USEMODULE=openthread-mtd")
 endif
 
-ifneq (,$(filter openthread-cli,$(USEMODULE)))
-  CLI_ARG = --enable-cli --enable-$(TD)
+OT_MODULES = mbedcrypto mbedtls openthread-$(TD)
+ifneq (,$(filter openthread-cli-$(TD),$(USEMODULE)))
+  OT_MODULES += openthread-cli-$(TD)
+  OT_APP_CLI ?= ON
 endif
 
-OPENTHREAD_ARGS += $(CLI_ARG) $(JOINER_ARG) --enable-application-coap
-CONFIG_FILE      = OPENTHREAD_PROJECT_CORE_CONFIG_FILE='\"platform_config.h\"'
+# Enable CoAP
+OT_COAP ?= ON
 
-OPENTHREAD_COMMON_FLAGS = -fdata-sections -ffunction-sections -Os
-OPENTHREAD_COMMON_FLAGS += -Wno-implicit-fallthrough -Wno-unused-parameter
-OPENTHREAD_CXXFLAGS += -Wno-class-memaccess
-OPENTHREAD_CXXFLAGS += -DOPENTHREAD_TARGET_RIOT=1
+OT_C_FLAGS = $(CFLAGS_CPU)
+OT_C_FLAGS += -fdata-sections -ffunction-sections -Os
+OT_C_FLAGS += -Wno-implicit-fallthrough -Wno-unused-parameter
+OT_CXXFLAGS += -Wno-class-memaccess -DOPENTHREAD_TARGET_RIOT
 
-OT_LIB_DIR = $(PKG_BUILD_DIR)/output/lib
-MODULE_LIBS = mbedcrypto.a openthread-$(TD).a
-ifneq (,$(filter openthread-cli,$(USEMODULE)))
-  MODULE_LIBS += openthread-cli.a
-endif
+OT_MODULES_ARCHIVES = $(addsuffix .a,$(addprefix $(BINDIR)/,$(OT_MODULES)))
+OT_CORE_LIB_DIR = $(PKG_BUILD_DIR)/src/core
+OT_CLI_LIB_DIR = $(PKG_BUILD_DIR)/src/cli
+OT_MBEDCRYPTO_LIB_DIR = $(PKG_BUILD_DIR)/third_party/mbedtls/repo/library
 
-all: $(addprefix $(BINDIR)/,$(MODULE_LIBS))
-	@true
+all: $(OT_MODULES_ARCHIVES)
+	@:
 
-$(BINDIR)/openthread-$(TD).a: $(OT_LIB_DIR)/libopenthread-$(TD).a
-	@cp $< $@
+$(BINDIR)/mbedtls.a: $(BINDIR)/openthread-$(TD).a
+	@cp $(OT_MBEDCRYPTO_LIB_DIR)/libmbedtls.a $@
 
 $(BINDIR)/mbedcrypto.a: $(BINDIR)/openthread-$(TD).a
-	@cp $(OT_LIB_DIR)/libmbedcrypto.a $@
+	@cp $(OT_MBEDCRYPTO_LIB_DIR)/libmbedcrypto.a $@
 
-$(BINDIR)/openthread-cli.a: $(BINDIR)/openthread-$(TD).a
-	@cp $(OT_LIB_DIR)/libopenthread-cli-$(TD).a $@
+$(BINDIR)/openthread-cli-$(TD).a: $(BINDIR)/openthread-$(TD).a
+	@cp $(OT_CLI_LIB_DIR)/libopenthread-cli-$(TD).a $@
 
-$(OT_LIB_DIR)/libopenthread-$(TD).a: $(PKG_BUILD_DIR)/Makefile
-	$(MAKE) -C $(PKG_BUILD_DIR) --no-print-directory install DESTDIR=$(PKG_BUILD_DIR)/output PREFIX=/
-	$(Q)printf "OpenThread built for %s device\n" $(TD)
+$(BINDIR)/openthread-$(TD).a: $(OT_CORE_LIB_DIR)/libopenthread-$(TD).a
+	@cp $< $@
 
-$(PKG_BUILD_DIR)/Makefile: $(PKG_BUILD_DIR)/configure
-	$(Q)cd $(PKG_BUILD_DIR) && CPP="$(CPP)" CC="$(CC)" CXX="$(CXX)"\
-		OBJC="" OBJCXX="" AR="$(AR)" RANLIB="$(RANLIB)" NM="$(NM)" \
-		STRIP="$(STRIP)" \
-		CPPFLAGS="$(OPENTHREAD_COMMON_FLAGS) $(CFLAGS_CPU) -D$(CONFIG_FILE)" \
-		CFLAGS="$(OPENTHREAD_COMMON_FLAGS) $(CFLAGS_CPU) " \
-		CXXFLAGS="$(OPENTHREAD_COMMON_FLAGS) $(OPENTHREAD_CXXFLAGS) \
-		          $(CFLAGS_CPU) -fno-exceptions -fno-rtti " \
-		LDFLAGS="$(OPENTHREAD_COMMON_FLAGS) $(CFLAGS_CPU) -nostartfiles -specs=nano.specs \
-		-specs=nosys.specs -Wl,--gc-sections -Wl,-Map=map.map " \
-		./configure --disable-docs --host=$(TARGET_ARCH) --target=$(TARGET_ARCH) \
-		--prefix=/ --enable-default-logging $(OPENTHREAD_ARGS)
+$(OT_CORE_LIB_DIR)/libopenthread-$(TD).a: $(PKG_BUILD_DIR)/Makefile
+	$(QQ)"$(MAKE)" -C $(PKG_BUILD_DIR) $(OT_MODULES)
 
-$(PKG_BUILD_DIR)/configure: $(PKG_PREPARED)
-	$(Q)printf "OPENTHREAD_ARGS is [$(OPENTHREAD_ARGS)]\n"
-	$(Q)cd $(PKG_BUILD_DIR) && PREFIX="/" ./bootstrap
+$(PKG_BUILD_DIR)/Makefile:
+	cmake -Wno-dev -B$(PKG_BUILD_DIR) -H$(PKG_SOURCE_DIR) \
+	 -DCMAKE_TRY_COMPILE_TARGET_TYPE=STATIC_LIBRARY \
+	 -DCMAKE_C_COMPILER="$(CC)" \
+	 -DCMAKE_C_COMPILER_AR="$(AR)" \
+	 -DCMAKE_C_COMPILER_RANLIB="$(RANLIB)" \
+	 -DCMAKE_C_FLAGS="$(OT_C_FLAGS)" \
+	 -DCMAKE_CXX_COMPILER="$(CXX)" \
+	 -DCMAKE_CXX_FLAGS="$(OT_C_FLAGS) $(OT_CXXFLAGS) -fno-exceptions -fno-rtti" \
+	 -DCMAKE_NM="$(NM)" \
+	 -DCMAKE_STRIP="$(STRIP)" \
+	 -DOT_PLATFORM=NO \
+	 -DOT_CONFIG="$(RIOTBASE)/pkg/openthread/include/platform_config.h" \
+	 -DOT_APP_CLI=$(OT_APP_CLI) \
+	 -DOT_JOINER=$(OT_JOINER) \
+	 -DOT_COAP=$(OT_COAP)
diff --git a/pkg/openthread/Makefile.include b/pkg/openthread/Makefile.include
index 5ce14f1b5a..779a0b714b 100644
--- a/pkg/openthread/Makefile.include
+++ b/pkg/openthread/Makefile.include
@@ -1,7 +1,7 @@
 OPENTHREAD_DIR = $(RIOTBASE)/pkg/openthread
 
-INCLUDES += -I$(OPENTHREAD_DIR)/include \
-            -I$(BINDIR)/pkg/openthread/include
+INCLUDES += -I$(PKGDIRBASE)/openthread/include
+INCLUDES += -I$(OPENTHREAD_DIR)/include
 
 ifneq (,$(filter openthread_contrib,$(USEMODULE)))
   DIRS += $(OPENTHREAD_DIR)/contrib
@@ -16,3 +16,4 @@ endif
 
 ARCHIVES += $(addprefix $(BINDIR)/,$(addsuffix .a,$(filter openthread-%,$(USEMODULE))))
 ARCHIVES += $(BINDIR)/mbedcrypto.a
+ARCHIVES += $(BINDIR)/mbedtls.a
diff --git a/pkg/openthread/contrib/netdev/openthread_netdev.c b/pkg/openthread/contrib/netdev/openthread_netdev.c
index c570ae608c..fb5776c58b 100644
--- a/pkg/openthread/contrib/netdev/openthread_netdev.c
+++ b/pkg/openthread/contrib/netdev/openthread_netdev.c
@@ -94,10 +94,7 @@ static void *_openthread_event_loop(void *arg)
     /* init OpenThread */
     sInstance = otInstanceInitSingle();
 
-    /* enable OpenThread UART */
-    otPlatUartEnable();
-
-#if defined(MODULE_OPENTHREAD_CLI)
+#if defined(MODULE_OPENTHREAD_CLI_FTD) || defined(MODULE_OPENTHREAD_CLI_MTD)
     otCliUartInit(sInstance);
     /* Init default parameters */
     otPanId panid = OPENTHREAD_PANID;
@@ -108,6 +105,9 @@ static void *_openthread_event_loop(void *arg)
     otIp6SetEnabled(sInstance, true);
     /* Start Thread protocol operation */
     otThreadSetEnabled(sInstance, true);
+#else
+    /* enable OpenThread UART */
+    otPlatUartEnable();
 #endif
 
 #if OPENTHREAD_ENABLE_DIAG
diff --git a/pkg/openthread/patches/0001-RIOT-use-assert.h.patch b/pkg/openthread/patches/0001-RIOT-use-assert.h.patch
index 24c2d1f68e..a98583779a 100644
Binary files a/pkg/openthread/patches/0001-RIOT-use-assert.h.patch and b/pkg/openthread/patches/0001-RIOT-use-assert.h.patch differ