diff --git a/cmake/FindRakNet.cmake b/cmake/FindRakNet.cmake
index de95a1fcf..308236caa 100644
--- a/cmake/FindRakNet.cmake
+++ b/cmake/FindRakNet.cmake
@@ -32,51 +32,68 @@ FIND_LIBRARY (RakNet_LIBRARY_DEBUG NAMES RakNetLibStaticd
     $ENV{RAKNET_ROOT}/lib
     $ENV{RAKNET_ROOT}/build/lib/Debug
     ${RAKNET_ROOT}/build/lib/Debug
-    )	
-	
+    ${CMAKE_SOURCE_DIR}/extern/raknet/lib/
+    ${CMAKE_SOURCE_DIR}/extern/raknet/build/lib
+    ${CMAKE_SOURCE_DIR}/extern/raknet/Debug/lib/
+    ${CMAKE_SOURCE_DIR}/extern/raknet/build/Debug/lib/
+    )
+
+
+set(RakNet_LIBRARY_DEBUG ${CMAKE_SOURCE_DIR}/extern/raknet/lib/libRakNetLibStaticd.a)
+set(RakNet_LIBRARY_RELEASE ${CMAKE_SOURCE_DIR}/extern/raknet/lib/libRakNetLibStatic.a)
+
 	
 
-FIND_PATH (RakNet_INCLUDES raknet/RakPeer.h
-    ENV CPATH
-    /usr/include
-    /usr/local/include
-    /opt/local/include
-	  $ENV{RAKNET_ROOT}/include
-    ${RAKNET_ROOT}/include
-    )
+FIND_PATH (RakNet_INCLUDES raknet/RakPeer.h ${CMAKE_SOURCE_DIR}/extern/raknet/include)
  
 MESSAGE(STATUS ${RakNet_INCLUDES})
 MESSAGE(STATUS ${RakNet_LIBRARY_RELEASE})
- 
-IF(RakNet_INCLUDES AND RakNet_LIBRARY_RELEASE)
+MESSAGE(STATUS ${RakNet_LIBRARY_DEBUG})
+
+IF(RakNet_INCLUDES)
     SET(RakNet_FOUND TRUE)
-ENDIF(RakNet_INCLUDES AND RakNet_LIBRARY_RELEASE)
+ENDIF(RakNet_INCLUDES)
 
-IF(RakNet_FOUND)
-  SET(RakNet_INCLUDES ${RakNet_INCLUDES}/raknet)
-  
-  
-   IF (CMAKE_CONFIGURATION_TYPES OR CMAKE_BUILD_TYPE)
-        SET(RakNet_LIBRARY optimized ${RakNet_LIBRARY_RELEASE} debug ${RakNet_LIBRARY_DEBUG})
-		IF(WIN32)
-			SET(RakNet_LIBRARY optimized ${RakNet_LIBRARY_RELEASE} debug ${RakNet_LIBRARY_DEBUG} ws2_32.lib)
-		ENDIF(WIN32)
-   ELSE()
-        # if there are no configuration types and CMAKE_BUILD_TYPE has no value
-        # then just use the release libraries
-        SET(RakNet_LIBRARY ${RakNet_LIBRARY_RELEASE} )
-		IF(WIN32)
-			SET(RakNet_LIBRARY ${RakNet_LIBRARY_RELEASE} ws2_32.lib)
-		ENDIF(WIN32)
-   ENDIF()
-   
-  IF(NOT RakNet_FIND_QUIETLY)
-    MESSAGE(STATUS "Found RakNet_LIBRARY_RELEASE: ${RakNet_LIBRARY_RELEASE}")
-    MESSAGE(STATUS "Found RakNet_INCLUDES: ${RakNet_INCLUDES}")
-  ENDIF(NOT RakNet_FIND_QUIETLY)
-ELSE(RakNet_FOUND)
+IF(NOT RakNet_FOUND)
   IF(RakNet_FIND_REQUIRED)
-    MESSAGE(FATAL_ERROR "Could not find RakNet")
-  ENDIF(RakNet_FIND_REQUIRED)
-ENDIF(RakNet_FOUND)
+    MESSAGE(STATUS "Could not find RakNet, building from local copy")
 
+    find_package(Git QUIET)
+
+    if(GIT_FOUND AND EXISTS "${PROJECT_SOURCE_DIR}/.git")
+      # Update submodules as needed
+      option(GIT_SUBMODULE "Check submodules during build" ON)
+      if(GIT_SUBMODULE)
+        message(STATUS "Submodule update")
+        execute_process(COMMAND ${GIT_EXECUTABLE} submodule update --init --recursive
+                        WORKING_DIRECTORY ${CMAKE_CURRENT_SOURCE_DIR}/extern/raknet
+                        RESULT_VARIABLE GIT_SUBMOD_RESULT)
+        if(NOT GIT_SUBMOD_RESULT EQUAL "0")
+            message(FATAL_ERROR "git submodule update --init --recursive failed with ${GIT_SUBMOD_RESULT}, please checkout submodules")
+        endif()
+      endif()
+    endif()
+
+    if(NOT EXISTS "${PROJECT_SOURCE_DIR}/extern/raknet/CMakeLists.txt")
+      message(FATAL_ERROR "The submodules were not downloaded! GIT_SUBMODULE was turned off or failed. Please update submodules and try again.")
+    endif()
+  ENDIF(RakNet_FIND_REQUIRED)
+ENDIF(NOT RakNet_FOUND)
+
+add_subdirectory(extern/raknet)
+
+SET(RakNet_INCLUDES ${RakNet_INCLUDES}/raknet)
+  
+IF (CMAKE_CONFIGURATION_TYPES OR CMAKE_BUILD_TYPE)
+   SET(RakNet_LIBRARY optimized ${RakNet_LIBRARY_RELEASE} debug ${RakNet_LIBRARY_DEBUG})
+   IF(WIN32)
+    SET(RakNet_LIBRARY optimized ${RakNet_LIBRARY_RELEASE} debug ${RakNet_LIBRARY_DEBUG} ws2_32.lib)
+   ENDIF(WIN32)
+ELSE()
+  # if there are no configuration types and CMAKE_BUILD_TYPE has no value
+  # then just use the release libraries
+  SET(RakNet_LIBRARY ${RakNet_LIBRARY_RELEASE} )
+  IF(WIN32)
+    SET(RakNet_LIBRARY ${RakNet_LIBRARY_RELEASE} ws2_32.lib)
+  ENDIF(WIN32)
+ENDIF()
\ No newline at end of file