diff --git a/features/cellular/framework/AT/AT_CellularContext.cpp b/features/cellular/framework/AT/AT_CellularContext.cpp
index ec3b93d993..d947c1950e 100644
--- a/features/cellular/framework/AT/AT_CellularContext.cpp
+++ b/features/cellular/framework/AT/AT_CellularContext.cpp
@@ -984,14 +984,14 @@ void AT_CellularContext::cellular_callback(nsapi_event_t ev, intptr_t ptr)
             } else if (ev == NSAPI_EVENT_CONNECTION_STATUS_CHANGE && ptr == NSAPI_STATUS_DISCONNECTED) {
                 tr_info("cellular_callback: PPP mode and NSAPI_STATUS_DISCONNECTED");
                 _cb_data.error = NSAPI_ERROR_NO_CONNECTION;
+                _is_connected = false;
             }
         }
 #else
-#if MBED_CONF_MBED_TRACE_ENABLE
         if (ev == NSAPI_EVENT_CONNECTION_STATUS_CHANGE && ptr == NSAPI_STATUS_DISCONNECTED) {
             tr_info("cb: CellularContext disconnected");
+            _is_connected = false;
         }
-#endif // MBED_CONF_MBED_TRACE_ENABLE
 #endif // NSAPI_PPP_AVAILABLE
         // forward status change events to application, call_network_cb will make sure that only changed event are forwarded
         call_network_cb((nsapi_connection_status_t)ptr);
diff --git a/features/cellular/framework/AT/AT_CellularDevice.cpp b/features/cellular/framework/AT/AT_CellularDevice.cpp
index 52cccfaae4..bd79de0583 100644
--- a/features/cellular/framework/AT/AT_CellularDevice.cpp
+++ b/features/cellular/framework/AT/AT_CellularDevice.cpp
@@ -437,9 +437,6 @@ nsapi_error_t AT_CellularDevice::init()
 
 nsapi_error_t AT_CellularDevice::shutdown()
 {
-    if (_state_machine) {
-        _state_machine->reset();
-    }
     CellularDevice::shutdown();
 
     return _at->at_cmd_discard("+CFUN", "=0");
diff --git a/features/cellular/framework/device/CellularDevice.cpp b/features/cellular/framework/device/CellularDevice.cpp
index 8326864cdb..5115245996 100644
--- a/features/cellular/framework/device/CellularDevice.cpp
+++ b/features/cellular/framework/device/CellularDevice.cpp
@@ -229,6 +229,9 @@ void CellularDevice::cellular_callback(nsapi_event_t ev, intptr_t ptr, CellularC
 
 nsapi_error_t CellularDevice::shutdown()
 {
+    if (_state_machine) {
+        _state_machine->stop();
+    }
     CellularContext *curr = get_context_list();
     while (curr) {
         curr->cellular_callback(NSAPI_EVENT_CONNECTION_STATUS_CHANGE, NSAPI_STATUS_DISCONNECTED);