diff --git a/lib/util/CMakeLists.txt b/lib/util/CMakeLists.txt
index f4a2b08db17..8ceb6001b9b 100644
--- a/lib/util/CMakeLists.txt
+++ b/lib/util/CMakeLists.txt
@@ -1,3 +1,4 @@
 # SPDX-License-Identifier: Apache-2.0
 
 add_subdirectory_ifdef(CONFIG_FNMATCH		fnmatch)
+add_subdirectory_ifdef(CONFIG_GETOPT		getopt)
diff --git a/lib/util/Kconfig b/lib/util/Kconfig
index 0907cbba4ae..70bf491cdee 100644
--- a/lib/util/Kconfig
+++ b/lib/util/Kconfig
@@ -6,4 +6,6 @@ menu "Util libraries"
 
 source "lib/util/fnmatch/Kconfig"
 
+source "lib/util/getopt/Kconfig"
+
 endmenu
diff --git a/lib/util/getopt/CMakeLists.txt b/lib/util/getopt/CMakeLists.txt
new file mode 100644
index 00000000000..9c400610d8d
--- /dev/null
+++ b/lib/util/getopt/CMakeLists.txt
@@ -0,0 +1,14 @@
+# Copyright (c) 2021 Nordic Semiconductor
+#
+# SPDX-License-Identifier: Apache-2.0
+#
+
+zephyr_include_directories_ifdef(
+  CONFIG_GETOPT
+  .
+)
+
+zephyr_sources_ifdef(
+  CONFIG_GETOPT
+  getopt.c
+)
diff --git a/lib/util/getopt/Kconfig b/lib/util/getopt/Kconfig
new file mode 100644
index 00000000000..0f60b8a6412
--- /dev/null
+++ b/lib/util/getopt/Kconfig
@@ -0,0 +1,7 @@
+# Copyright (c) 2021 Nordic Semiconductor
+# SPDX-License-Identifier: Apache-2.0
+
+config GETOPT
+	bool "GetOpt Support"
+	help
+	  This option enables the getopt library
diff --git a/lib/util/getopt/README b/lib/util/getopt/README
new file mode 100644
index 00000000000..e0742b9554e
--- /dev/null
+++ b/lib/util/getopt/README
@@ -0,0 +1,58 @@
+[GetOpt]
+#####################
+
+Origin:
+   [Lattera FreeBSD]
+   [https://github.com/lattera/freebsd/blob/master/lib/libc/stdlib/getopt.c]
+
+Status:
+   [So far Zephyr samples were using getopt implementation from: argtable3.c.]
+
+Purpose:
+   [Shell users would like to parse options passed to the command handler.]
+
+Description:
+   [This library is going to be used by the shell module. Some shell users
+   are not satisfied with subcommands alone and need to use the options for
+   commands as well. A library is needed that allows the developer to parse
+   the arguments string, looking for supported options. Typically, this task
+   is accomplished by the getopt function.
+
+   For this purpose I decided to port the getopt library available
+   in the FreeBSD project. I had to modify it so that it could be used
+   by all instances of the shell at the same time.
+
+   Originally this function was using global variables which were defining
+   its state. In my implementation I put those variables in a structure
+   and a pointer to that structure is passed as an additional parameter
+   to getopt function. In proposed implementation each shell backend has its
+   own getopt function state structure which it uses.
+
+   This module is intended to be used inside the shell command handler
+   by the abstraction layer "SHELL_GETOPT". For example:
+   while ((char c = shell_getopt(shell, argc, argv, "abhc:")) != -1) {
+      /* some code */
+   }
+   ]
+
+Dependencies:
+   [This package does not depend on any other component.
+
+   Zephyr project will only need this component if the user configures a shell
+   module: SHELL_GETOPT.]
+
+URL:
+   [https://github.com/lattera/freebsd]
+
+commit:
+   [324e4c082c14aebf00f8dbee0fb7ad285393756a]
+
+Maintained-by:
+   [External]
+
+License:
+   [BSD 3-Clause "New" or "Revised" License]
+
+License Link:
+   [BSD 3-Clause used in getopt: https://spdx.org/licenses/BSD-3-Clause.html]
+   [Project license: https://github.com/lattera/freebsd/blob/master/COPYRIGHT]
diff --git a/lib/util/getopt/getopt.c b/lib/util/getopt/getopt.c
new file mode 100644
index 00000000000..7ab963a1bfa
--- /dev/null
+++ b/lib/util/getopt/getopt.c
@@ -0,0 +1,138 @@
+/*	$NetBSD: getopt.c,v 1.26 2003/08/07 16:43:40 agc Exp $	*/
+/* SPDX-License-Identifier: BSD-3-Clause */
+/*
+ * Copyright (c) 1987, 1993, 1994
+ *	The Regents of the University of California.  All rights reserved.
+ *
+ * Redistribution and use in source and binary forms, with or without
+ * modification, are permitted provided that the following conditions
+ * are met:
+ * 1. Redistributions of source code must retain the above copyright
+ *    notice, this list of conditions and the following disclaimer.
+ * 2. Redistributions in binary form must reproduce the above copyright
+ *    notice, this list of conditions and the following disclaimer in the
+ *    documentation and/or other materials provided with the distribution.
+ * 3. Neither the name of the University nor the names of its contributors
+ *    may be used to endorse or promote products derived from this software
+ *    without specific prior written permission.
+ *
+ * THIS SOFTWARE IS PROVIDED BY THE REGENTS AND CONTRIBUTORS ``AS IS'' AND
+ * ANY EXPRESS OR IMPLIED WARRANTIES, INCLUDING, BUT NOT LIMITED TO, THE
+ * IMPLIED WARRANTIES OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE
+ * ARE DISCLAIMED.  IN NO EVENT SHALL THE REGENTS OR CONTRIBUTORS BE LIABLE
+ * FOR ANY DIRECT, INDIRECT, INCIDENTAL, SPECIAL, EXEMPLARY, OR CONSEQUENTIAL
+ * DAMAGES (INCLUDING, BUT NOT LIMITED TO, PROCUREMENT OF SUBSTITUTE GOODS
+ * OR SERVICES; LOSS OF USE, DATA, OR PROFITS; OR BUSINESS INTERRUPTION)
+ * HOWEVER CAUSED AND ON ANY THEORY OF LIABILITY, WHETHER IN CONTRACT, STRICT
+ * LIABILITY, OR TORT (INCLUDING NEGLIGENCE OR OTHERWISE) ARISING IN ANY WAY
+ * OUT OF THE USE OF THIS SOFTWARE, EVEN IF ADVISED OF THE POSSIBILITY OF
+ * SUCH DAMAGE.
+ */
+
+#include <string.h>
+#include "getopt.h"
+
+#include <logging/log.h>
+LOG_MODULE_REGISTER(getopt);
+
+#define	BADCH	((int)'?')
+#define	BADARG	((int)':')
+#define	EMSG	""
+
+void getopt_init(struct getopt_state *state)
+{
+	state->opterr = 1;
+	state->optind = 1;
+	state->optopt = 0;
+	state->optreset = 0;
+	state->optarg = NULL;
+
+	state->place = ""; /* EMSG */
+}
+
+/*
+ * getopt --
+ *	Parse argc/argv argument vector.
+ */
+int
+getopt(state, nargc, nargv, ostr)
+	struct getopt_state *state;
+	int nargc;
+	char *const nargv[];
+	const char *ostr;
+{
+	char *oli;		/* option letter list index */
+
+	if (state->optreset || *state->place == 0) { /* update scanning pointer */
+		state->optreset = 0;
+		state->place = nargv[state->optind];
+		if (state->optind >= nargc || *state->place++ != '-') {
+			/* Argument is absent or is not an option */
+			state->place = EMSG;
+			return -1;
+		}
+		state->optopt = *state->place++;
+		if (state->optopt == '-' && *state->place == 0) {
+			/* "--" => end of options */
+			++state->optind;
+			state->place = EMSG;
+			return -1;
+		}
+		if (state->optopt == 0) {
+			/* Solitary '-', treat as a '-' option
+			 * if the program (eg su) is looking for it.
+			 */
+			state->place = EMSG;
+			if (strchr(ostr, '-') == NULL) {
+				return -1;
+			}
+			state->optopt = '-';
+		}
+	} else {
+		state->optopt = *state->place++;
+	}
+
+	/* See if option letter is one the caller wanted... */
+	oli = strchr(ostr, state->optopt);
+	if (state->optopt == ':' || oli == NULL) {
+		if (*state->place == 0) {
+			++state->optind;
+		}
+		if (state->opterr && *ostr != ':') {
+			LOG_ERR("illegal option -- %c", state->optopt);
+		}
+		return BADCH;
+	}
+
+	/* Does this option need an argument? */
+	if (oli[1] != ':') {
+		/* don't need argument */
+		state->optarg = NULL;
+		if (*state->place == 0) {
+			++state->optind;
+		}
+	} else {
+		/* Option-argument is either the rest of this argument or the
+		 * entire next argument.
+		 */
+		if (*state->place) {
+			state->optarg = state->place;
+		} else if (nargc > ++state->optind) {
+			state->optarg = nargv[state->optind];
+		} else {
+			/* option-argument absent */
+			state->place = EMSG;
+			if (*ostr == ':') {
+				return BADARG;
+			}
+			if (state->opterr) {
+				LOG_ERR("option requires an argument -- %c",
+					state->optopt);
+			}
+			return BADCH;
+		}
+		state->place = EMSG;
+		++state->optind;
+	}
+	return state->optopt;	/* return option letter */
+}
diff --git a/lib/util/getopt/getopt.h b/lib/util/getopt/getopt.h
new file mode 100644
index 00000000000..c1fb22ab3bd
--- /dev/null
+++ b/lib/util/getopt/getopt.h
@@ -0,0 +1,41 @@
+/*
+ * Copyright (c) 2021 Nordic Semiconductor ASA
+ *
+ * SPDX-License-Identifier: Apache-2.0
+ */
+
+#ifndef _GETOPT_H__
+#define _GETOPT_H__
+
+#ifdef __cplusplus
+extern "C" {
+#endif
+
+#include <zephyr.h>
+
+struct getopt_state {
+	int opterr;	/* if error message should be printed */
+	int optind;	/* index into parent argv vector */
+	int optopt;	/* character checked for validity */
+	int optreset;	/* reset getopt */
+	char *optarg;	/* argument associated with option */
+
+	char *place;	/* option letter processing */
+};
+
+/* Function intializes getopt_state structure */
+void getopt_init(struct getopt_state *state);
+
+/*
+ * getopt --
+ *	Parse argc/argv argument vector.
+ */
+int getopt(struct getopt_state *const state, int nargc,
+	   char *const nargv[], const char *ostr);
+
+
+#ifdef __cplusplus
+}
+#endif
+
+#endif /* _GETOPT_H__ */