diff --git a/CHANGELOG.txt b/CHANGELOG.txt
index 61e152b..c04e840 100644
--- a/CHANGELOG.txt
+++ b/CHANGELOG.txt
@@ -13,6 +13,13 @@ FEATURES
 
 CHANGELOG
 ==========
+* 07/11/2023
+    * Updated submodules
+        * openthread commitid: 8bc2504
+        * ot-br-posix commitid: 790dc77
+        * ot-nrf528xx commitid: 982244f
+        * ot-commisioner commitid: acb3371
+    * Updated NCS to `4d1c577`
 * 05/26/2023
     * Updated submodules
         * openthread commitid: 6865b83d7
diff --git a/config/ncs/overlay-cli-1_1.conf b/config/ncs/overlay-cli-1_1.conf
index ecfd0d9..b9b550c 100644
--- a/config/ncs/overlay-cli-1_1.conf
+++ b/config/ncs/overlay-cli-1_1.conf
@@ -32,15 +32,5 @@ CONFIG_SHELL_DEFAULT_TERMINAL_WIDTH=640
 # Increase stack
 CONFIG_SYSTEM_WORKQUEUE_STACK_SIZE=2144
 
-# Enable USB transport
-CONFIG_USB_DEVICE_INITIALIZE_AT_BOOT=n
-CONFIG_SHELL_BACKEND_SERIAL_INIT_PRIORITY=51
-CONFIG_UART_LINE_CTRL=y
-CONFIG_SHELL_BACKEND_SERIAL_CHECK_DTR=y
-CONFIG_USB_CDC_ACM_LOG_LEVEL_OFF=y
-CONFIG_USB_DEVICE_STACK=y
-CONFIG_USB_DEVICE_REMOTE_WAKEUP=n
-CONFIG_USB_DEVICE_MANUFACTURER="Nordic Semiconductor ASA"
-CONFIG_USB_DEVICE_PRODUCT="Thread Reference Device"
-CONFIG_USB_DEVICE_VID=0x1915
+# Set USB device PID
 CONFIG_USB_DEVICE_PID=0xCAFF
diff --git a/config/ncs/overlay-cli-1_2.conf b/config/ncs/overlay-cli-1_2.conf
index adf159c..febe98d 100644
--- a/config/ncs/overlay-cli-1_2.conf
+++ b/config/ncs/overlay-cli-1_2.conf
@@ -35,17 +35,7 @@ CONFIG_OPENTHREAD_IP6_MAX_EXT_MCAST_ADDRS=4
 # Increase stack
 CONFIG_SYSTEM_WORKQUEUE_STACK_SIZE=2144
 
-# Enable USB transport
-CONFIG_USB_DEVICE_INITIALIZE_AT_BOOT=n
-CONFIG_SHELL_BACKEND_SERIAL_INIT_PRIORITY=51
-CONFIG_UART_LINE_CTRL=y
-CONFIG_SHELL_BACKEND_SERIAL_CHECK_DTR=y
-CONFIG_USB_CDC_ACM_LOG_LEVEL_OFF=y
-CONFIG_USB_DEVICE_STACK=y
-CONFIG_USB_DEVICE_REMOTE_WAKEUP=n
-CONFIG_USB_DEVICE_MANUFACTURER="Nordic Semiconductor ASA"
-CONFIG_USB_DEVICE_PRODUCT="Thread Reference Device"
-CONFIG_USB_DEVICE_VID=0x1915
+# Set USB device PID
 CONFIG_USB_DEVICE_PID=0xCAFF
 
 # Configure Thread 1.2 features
diff --git a/config/ncs/overlay-cli-1_3.conf b/config/ncs/overlay-cli-1_3.conf
index b891a50..c50f600 100644
--- a/config/ncs/overlay-cli-1_3.conf
+++ b/config/ncs/overlay-cli-1_3.conf
@@ -35,17 +35,7 @@ CONFIG_OPENTHREAD_IP6_MAX_EXT_MCAST_ADDRS=4
 # Increase stack
 CONFIG_SYSTEM_WORKQUEUE_STACK_SIZE=2144
 
-# Enable USB transport
-CONFIG_USB_DEVICE_INITIALIZE_AT_BOOT=n
-CONFIG_SHELL_BACKEND_SERIAL_INIT_PRIORITY=51
-CONFIG_UART_LINE_CTRL=y
-CONFIG_SHELL_BACKEND_SERIAL_CHECK_DTR=y
-CONFIG_USB_CDC_ACM_LOG_LEVEL_OFF=y
-CONFIG_USB_DEVICE_STACK=y
-CONFIG_USB_DEVICE_REMOTE_WAKEUP=n
-CONFIG_USB_DEVICE_MANUFACTURER="Nordic Semiconductor ASA"
-CONFIG_USB_DEVICE_PRODUCT="Thread Reference Device"
-CONFIG_USB_DEVICE_VID=0x1915
+# Set USB device PID
 CONFIG_USB_DEVICE_PID=0xCAFF
 
 # Configure Thread 1.2 features
diff --git a/config/ncs/overlay-rcp-1_2.conf b/config/ncs/overlay-rcp-1_2.conf
index 31e7525..09eb924 100644
--- a/config/ncs/overlay-rcp-1_2.conf
+++ b/config/ncs/overlay-rcp-1_2.conf
@@ -14,16 +14,10 @@ CONFIG_OPENTHREAD_NORDIC_LIBRARY_MASTER=y
 # Enable RCP coprocessor
 CONFIG_OPENTHREAD_COPROCESSOR_RCP=y
 
-# Use USB-CDC-ACM for Co-Processor
-CONFIG_USB_DEVICE_INITIALIZE_AT_BOOT=n
-CONFIG_USB_CDC_ACM=y
-CONFIG_USB_DEVICE_MANUFACTURER="Nordic Semiconductor ASA"
-CONFIG_USB_DEVICE_PRODUCT="Thread Co-Processor"
-CONFIG_USB_DEVICE_VID=0x1915
+# Set USB device PID
 CONFIG_USB_DEVICE_PID=0xCAFF
-CONFIG_UART_LINE_CTRL=y
-CONFIG_USB_DEVICE_STACK=y
-CONFIG_USB_DEVICE_REMOTE_WAKEUP=n
+
+# Configure logging
 CONFIG_LOG_BACKEND_SPINEL=y
 CONFIG_LOG=y
 
diff --git a/config/ncs/overlay-rcp-1_3.conf b/config/ncs/overlay-rcp-1_3.conf
index 358bd7f..f36815d 100644
--- a/config/ncs/overlay-rcp-1_3.conf
+++ b/config/ncs/overlay-rcp-1_3.conf
@@ -14,16 +14,10 @@ CONFIG_OPENTHREAD_NORDIC_LIBRARY_MASTER=y
 # Enable RCP coprocessor
 CONFIG_OPENTHREAD_COPROCESSOR_RCP=y
 
-# Use USB-CDC-ACM for Co-Processor
-CONFIG_USB_DEVICE_INITIALIZE_AT_BOOT=n
-CONFIG_USB_CDC_ACM=y
-CONFIG_USB_DEVICE_MANUFACTURER="Nordic Semiconductor ASA"
-CONFIG_USB_DEVICE_PRODUCT="Thread Co-Processor"
-CONFIG_USB_DEVICE_VID=0x1915
+# Set USB device PID
 CONFIG_USB_DEVICE_PID=0xCAFF
-CONFIG_UART_LINE_CTRL=y
-CONFIG_USB_DEVICE_STACK=y
-CONFIG_USB_DEVICE_REMOTE_WAKEUP=n
+
+# Configure logging
 CONFIG_LOG_BACKEND_SPINEL=y
 CONFIG_LOG=y
 
diff --git a/config/ncs/sdk-nrf-commit b/config/ncs/sdk-nrf-commit
index 2d6fb03..5aa604b 100644
--- a/config/ncs/sdk-nrf-commit
+++ b/config/ncs/sdk-nrf-commit
@@ -1 +1 @@
-e434ec2f11f2fed6bd24c2f0bc2c3e98486d2a90
+4d1c577ef2cadc7f9270c575ec3808cf892c9f34
diff --git a/openthread b/openthread
index 6865b83..8bc2504 160000
--- a/openthread
+++ b/openthread
@@ -1 +1 @@
-Subproject commit 6865b83d7fd045b1ea7ee3654b5553a29a967f46
+Subproject commit 8bc25042ba5cde20605eec2a329c0dff575303f4
diff --git a/ot-br-posix b/ot-br-posix
index d15b080..790dc77 160000
--- a/ot-br-posix
+++ b/ot-br-posix
@@ -1 +1 @@
-Subproject commit d15b080045e96f5515cab7badad3575fa38615a2
+Subproject commit 790dc775144e33995cd1cb2c15b348849cacf737
diff --git a/ot-commissioner b/ot-commissioner
index 8287429..acb3371 160000
--- a/ot-commissioner
+++ b/ot-commissioner
@@ -1 +1 @@
-Subproject commit 82874291a965a6a798dc1667618a6de86177d50c
+Subproject commit acb3371f6c5eb2c9b1f7fbaf34c5d8f49378871e
diff --git a/ot-nrf528xx b/ot-nrf528xx
index e801931..982244f 160000
--- a/ot-nrf528xx
+++ b/ot-nrf528xx
@@ -1 +1 @@
-Subproject commit e801931e10bbb76d5a095921c5861bf1a3830561
+Subproject commit 982244f4bad13c1137bf9c4065b8948b35ff6d6c
diff --git a/script/bootstrap.bash b/script/bootstrap.bash
index e8c827a..af4644d 100755
--- a/script/bootstrap.bash
+++ b/script/bootstrap.bash
@@ -124,7 +124,7 @@ IMAGE_NAME=$(basename "${IMAGE_URL}" .zip)
 IMAGE_FILE="$IMAGE_NAME".img
 [ -f "$TOOLS_HOME"/images/"$IMAGE_FILE" ] || {
     # unit MB
-    EXPAND_SIZE=4096
+    EXPAND_SIZE=6144
 
     [ -d "$TOOLS_HOME"/images ] || mkdir -p "$TOOLS_HOME"/images
 
diff --git a/script/make-firmware.bash b/script/make-firmware.bash
index e1724ac..96bacd5 100755
--- a/script/make-firmware.bash
+++ b/script/make-firmware.bash
@@ -356,7 +356,7 @@ build_ncs()
 
     cd nrf
     for variant in "${variants[@]}"; do
-        west build -d "${!variant:0:1}" -b nrf52840dongle_nrf52840 -p always "${!variant:1:1}" -- -DOVERLAY_CONFIG="${!variant:2:1}" -DDTC_OVERLAY_FILE=usb.overlay
+        west build -d "${!variant:0:1}" -b nrf52840dongle_nrf52840 -p always "${!variant:1:1}" -- -DOVERLAY_CONFIG="${!variant:2:1}"
     done
 
     package_ncs "ot-cli-ftd" "1.1"
diff --git a/script/otbr-setup.bash b/script/otbr-setup.bash
index 9696caa..820f554 100644
--- a/script/otbr-setup.bash
+++ b/script/otbr-setup.bash
@@ -210,7 +210,11 @@ if [ "${REFERENCE_PLATFORM?}" = "ncs" ]; then
     echo 'exit 0' >>/etc/rc.local
 
     # update testharness-discovery script to fix autodiscovery issue
-    sed -i 's/OpenThread_BR/OTNCS_BR/g' /usr/sbin/testharness-discovery
+    if [ "$REFERENCE_RELEASE_TYPE" = "1.2" ]; then
+        sed -i 's/OpenThread_BR/OTNCS_BR/g' /usr/sbin/testharness-discovery
+    else
+        sed -i 's/OpenThread_BR/OTNCS13_BR/g' /usr/sbin/testharness-discovery
+    fi
 
 elif [ "${REFERENCE_PLATFORM?}" = "efr32mg12" ]; then
     # update testharness-discovery script to fix autodiscovery issue