diff --git a/CHANGELOG b/CHANGELOG
index 454e0408b9..5b2ed5de1e 100644
--- a/CHANGELOG
+++ b/CHANGELOG
@@ -2,6 +2,9 @@ OpenELEC (Version 2.1)
 
 Changelog OpenELEC-2.0 to OpenELEC-2.1
 
+Added packages:
+  - add package 'ppp'
+
 Package updates:
   - update linux to linux-3.5
   - update dialog to dialog-1.1-20120215
diff --git a/packages/network/ppp/build b/packages/network/ppp/build
new file mode 100755
index 0000000000..269945efed
--- /dev/null
+++ b/packages/network/ppp/build
@@ -0,0 +1,42 @@
+#!/bin/sh
+
+################################################################################
+#      This file is part of OpenELEC - http://www.openelec.tv
+#      Copyright (C) 2009-2012 Stephan Raue (stephan@openelec.tv)
+#
+#  This Program is free software; you can redistribute it and/or modify
+#  it under the terms of the GNU General Public License as published by
+#  the Free Software Foundation; either version 2, or (at your option)
+#  any later version.
+#
+#  This Program is distributed in the hope that it will be useful,
+#  but WITHOUT ANY WARRANTY; without even the implied warranty of
+#  MERCHANTABILITY or FITNESS FOR A PARTICULAR PURPOSE. See the
+#  GNU General Public License for more details.
+#
+#  You should have received a copy of the GNU General Public License
+#  along with OpenELEC.tv; see the file COPYING.  If not, write to
+#  the Free Software Foundation, 51 Franklin Street, Suite 500, Boston, MA 02110, USA.
+#  http://www.gnu.org/copyleft/gpl.html
+################################################################################
+
+. config/options $1
+
+cd $PKG_BUILD
+
+# ppp-2.4.5 contains an out of date copy of the kernel header linux/if_pppol2tp.h.
+# This needs to be removed to force it to use the one installed in /usr. If you don't
+# remove this file the build will still succeed (thanks to a poorly written Makefile)
+# but it will fail to compile the openl2tp.so, pppol2tp.so and rp-pppoe.so plugins
+  rm -rf include/linux/if_pppol2tp.h
+
+./configure --host=$TARGET_NAME \
+            --build=$HOST_NAME \
+            --prefix=/usr \
+            --sysconfdir=/etc \
+            --localstatedir=/var \
+            --disable-static \
+            --enable-shared \
+
+make COPTS="$CFLAGS" -C pppd
+make DESTDIR=$SYSROOT_PREFIX/usr -C pppd install-devel
diff --git a/packages/network/ppp/install b/packages/network/ppp/install
new file mode 100755
index 0000000000..371bde4d55
--- /dev/null
+++ b/packages/network/ppp/install
@@ -0,0 +1,26 @@
+#!/bin/sh
+
+################################################################################
+#      This file is part of OpenELEC - http://www.openelec.tv
+#      Copyright (C) 2009-2012 Stephan Raue (stephan@openelec.tv)
+#
+#  This Program is free software; you can redistribute it and/or modify
+#  it under the terms of the GNU General Public License as published by
+#  the Free Software Foundation; either version 2, or (at your option)
+#  any later version.
+#
+#  This Program is distributed in the hope that it will be useful,
+#  but WITHOUT ANY WARRANTY; without even the implied warranty of
+#  MERCHANTABILITY or FITNESS FOR A PARTICULAR PURPOSE. See the
+#  GNU General Public License for more details.
+#
+#  You should have received a copy of the GNU General Public License
+#  along with OpenELEC.tv; see the file COPYING.  If not, write to
+#  the Free Software Foundation, 51 Franklin Street, Suite 500, Boston, MA 02110, USA.
+#  http://www.gnu.org/copyleft/gpl.html
+################################################################################
+
+. config/options $1
+
+mkdir -p $INSTALL/usr/sbin
+  cp -P $PKG_BUILD/pppd/pppd $INSTALL/usr/sbin
diff --git a/packages/network/ppp/meta b/packages/network/ppp/meta
new file mode 100644
index 0000000000..6004430e39
--- /dev/null
+++ b/packages/network/ppp/meta
@@ -0,0 +1,36 @@
+################################################################################
+#      This file is part of OpenELEC - http://www.openelec.tv
+#      Copyright (C) 2009-2012 Stephan Raue (stephan@openelec.tv)
+#
+#  This Program is free software; you can redistribute it and/or modify
+#  it under the terms of the GNU General Public License as published by
+#  the Free Software Foundation; either version 2, or (at your option)
+#  any later version.
+#
+#  This Program is distributed in the hope that it will be useful,
+#  but WITHOUT ANY WARRANTY; without even the implied warranty of
+#  MERCHANTABILITY or FITNESS FOR A PARTICULAR PURPOSE. See the
+#  GNU General Public License for more details.
+#
+#  You should have received a copy of the GNU General Public License
+#  along with OpenELEC.tv; see the file COPYING.  If not, write to
+#  the Free Software Foundation, 51 Franklin Street, Suite 500, Boston, MA 02110, USA.
+#  http://www.gnu.org/copyleft/gpl.html
+################################################################################
+
+PKG_NAME="ppp"
+PKG_VERSION="2.4.5"
+PKG_REV="1"
+PKG_ARCH="any"
+PKG_LICENSE="GPL"
+PKG_SITE="http://samba.org/"
+PKG_URL="http://samba.org/ftp/ppp/$PKG_NAME-$PKG_VERSION.tar.gz"
+PKG_DEPENDS="libcap"
+PKG_BUILD_DEPENDS="toolchain libcap"
+PKG_PRIORITY="optional"
+PKG_SECTION="network"
+PKG_SHORTDESC="ppp: contains the pppd daemon and the chat program. This is used for connecting to other machines; often for connecting to the Internet via a dial-up or PPPoE connection to an ISP."
+PKG_LONGDESC="The PPP package contains the pppd daemon and the chat program. This is used for connecting to other machines; often for connecting to the Internet via a dial-up or PPPoE connection to an ISP."
+PKG_IS_ADDON="no"
+
+PKG_AUTORECONF="no"
diff --git a/packages/network/ppp/patches/ppp-2.4.5-cflags.patch b/packages/network/ppp/patches/ppp-2.4.5-cflags.patch
new file mode 100644
index 0000000000..09b43d4d9c
--- /dev/null
+++ b/packages/network/ppp/patches/ppp-2.4.5-cflags.patch
@@ -0,0 +1,12 @@
+diff -Naur ppp-2.4.5/pppd/Makefile.linux ppp-2.4.5.patch/pppd/Makefile.linux
+--- ppp-2.4.5/pppd/Makefile.linux	2009-11-16 23:26:07.000000000 +0100
++++ ppp-2.4.5.patch/pppd/Makefile.linux	2012-08-17 12:12:33.380938243 +0200
+@@ -32,7 +32,7 @@
+ 
+ # CC = gcc
+ #
+-COPTS = -O2 -pipe -Wall -g
++COPTS := -O2 -pipe -Wall -g
+ LIBS =
+ 
+ # Uncomment the next 2 lines to include support for Microsoft's