diff --git a/assets/core/networking/NetworkManager.gd b/assets/core/networking/NetworkManager.gd
index 6a39f7c..7697f21 100644
--- a/assets/core/networking/NetworkManager.gd
+++ b/assets/core/networking/NetworkManager.gd
@@ -1,10 +1,17 @@
 class_name NetworkManager
 extends Node
 
-var steamId: int
+const PACKET_READ_LIMIT: int = 32
+
+var steam_id: int
 var username: String
 var avatar_texture: ImageTexture
 
+var is_host: bool = false
+var lobby_id: int = 0
+var lobby_members: Array = []
+var lobby_members_max: int = 4
+
 func _ready() -> void:
 	var init_result = Steam.steamInit(true, 480)
 	if init_result["status"] <= 1:
@@ -14,14 +21,24 @@ func _ready() -> void:
 	
 
 func _initialize() -> void:
-	steamId = Steam.getSteamID()
-	username = Steam.getFriendPersonaName(steamId)
+	steam_id = Steam.getSteamID()
+	username = Steam.getFriendPersonaName(steam_id)
 	GameConsole.print_line("Steam ID: " + username)
 	
 	Steam.getPlayerAvatar()
 	Steam.avatar_loaded.connect(_on_avatar_loaded)
 	
+	Steam.lobby_created.connect(_on_lobby_created)
+	Steam.lobby_joined.connect(_on_lobby_joined)
+	Steam.p2p_session_request.connect(_on_p2p_session_request)
 	
+	
+func _process(_delta: float) -> void:
+	Steam.run_callbacks()
+	if lobby_id > 0:
+		read_all_p2p_packets()
+
+
 func _on_avatar_loaded(_user_id: int, avatar_size: int, avatar_buffer: PackedByteArray) -> void:
 	var avatar_image: Image = Image.create_from_data(avatar_size, avatar_size, false, Image.FORMAT_RGBA8, avatar_buffer)
 	if avatar_size > 128:
@@ -30,5 +47,98 @@ func _on_avatar_loaded(_user_id: int, avatar_size: int, avatar_buffer: PackedByt
 		
 	if avatar_image != null:
 		avatar_texture = ImageTexture.create_from_image(avatar_image)
+		GameConsole.print_line("Avatar loaded!")
 	else:
 		GameConsole.log_error("Failed to create avatar image!")
+		
+	
+func _on_lobby_created(connection_status: int, this_lobby_id: int) -> void:
+	if connection_status == 1:
+		lobby_id = this_lobby_id
+		Steam.setLobbyJoinable(lobby_id, true)
+		Steam.setLobbyData(lobby_id, "host", str(steam_id))
+		var set_relay: bool = Steam.allowP2PPacketRelay(true)
+		
+		GameConsole.print_line("Lobby created: " + str(lobby_id))
+
+
+func _on_lobby_joined(this_lobby_id: int, _permissions: int, _locked: bool, response: int) -> void:
+	if response == Steam.CHAT_ROOM_ENTER_RESPONSE_SUCCESS:
+		lobby_id = this_lobby_id
+		get_lobby_members()
+		make_p2p_handshake()
+
+
+func read_all_p2p_packets(read_count: int = 0) -> void:
+	if read_count >= PACKET_READ_LIMIT:
+		return
+		
+	if Steam.getAvailableP2PPacketSize(0) > 0:
+		read_p2p_packet()
+		read_all_p2p_packets(read_count + 1)
+		
+
+func _on_p2p_session_request(remote_id: int) -> void:
+	var this_requester: String = Steam.getFriendPersonaName(remote_id)
+	Steam.acceptP2PSessionWithUser(remote_id)
+
+	
+func make_p2p_handshake() -> void:
+	send_p2p_packet(0, {"message"  : "handshake", "steam_id" : steam_id, "username" : username})
+
+
+func create_lobby() -> void:
+	if lobby_id == 0:
+		is_host = true
+		Steam.createLobby(Steam.LOBBY_TYPE_PUBLIC, lobby_members_max)
+		
+		
+func join_lobby(this_lobby_id: int) -> void:
+	Steam.joinLobby(lobby_id)
+	
+	
+func get_lobby_members():
+	lobby_members.clear()
+	var member_count: int = Steam.getNumLobbyMembers(lobby_id)
+	
+	for member in range(0,member_count):
+		var member_id: int = Steam.getLobbyMemberByIndex(lobby_id, member)
+		var member_username: String = Steam.getFriendPersonaName(member_id)
+		lobby_members.append({"steam_id": member_id, "username": member_username})
+		
+		
+	
+func send_p2p_packet(this_target: int, packet_data: Dictionary, send_type: int = 0) -> void:
+	var channel: int = 0
+	
+	var this_data: PackedByteArray
+	this_data.append_array(var_to_bytes(packet_data))
+	
+	if this_target == 0:
+		if lobby_members.size() > 1:
+			for member in lobby_members:
+				if member["steam_id"] != steam_id:
+					Steam.sendP2PPacket(member["steam_id"], this_data, send_type, channel)
+	else:
+		Steam.sendP2PPacket(this_target, this_data, send_type, channel)
+		
+		
+func read_p2p_packet() -> void:
+	var packet_size: int = Steam.getAvailableP2PPacketSize()
+	
+	if packet_size > 0:
+		var this_packet: Dictionary = Steam.readP2PPacket(packet_size, 0)
+		var packet_sender: int = this_packet["remote_steam_id"]
+		var packet_code: PackedByteArray = this_packet["data"]
+		
+		var read_data: Dictionary = bytes_to_var(packet_code)
+		
+		if read_data.has("message"):
+			match read_data["message"]:
+				"handshake":
+					GameConsole.print_line("Handshake from: " + read_data["username"])
+					get_lobby_members()
+				"chat":
+					GameConsole.print_line(read_data["username"] + ": " + read_data["message"])
+				_:
+					GameConsole.print_line("Unknown message: " + read_data["message"])
\ No newline at end of file
diff --git a/assets/core/networking/network_manager.tscn b/assets/core/networking/network_manager.tscn
new file mode 100644
index 0000000..79e8d8b
--- /dev/null
+++ b/assets/core/networking/network_manager.tscn
@@ -0,0 +1,6 @@
+[gd_scene load_steps=2 format=3 uid="uid://bpmn7t87tfk7f"]
+
+[ext_resource type="Script" path="res://assets/core/networking/NetworkManager.gd" id="1_6essl"]
+
+[node name="NetworkManager" type="Node"]
+script = ExtResource("1_6essl")
diff --git a/assets/core/networking/network_test_ui.gd b/assets/core/networking/network_test_ui.gd
new file mode 100644
index 0000000..b3f39f0
--- /dev/null
+++ b/assets/core/networking/network_test_ui.gd
@@ -0,0 +1,41 @@
+extends Control
+
+@export var network_manager: NetworkManager
+
+@export var host_button: Button
+@export var join_button: Button
+@export var lobby_id: LineEdit
+@export var pfp: TextureRect
+@export var username: Label
+@export var hosted_lobby_id: Label
+
+# Called when the node enters the scene tree for the first time.
+func _ready() -> void:
+	host_button.button_down.connect(_on_host_button_pressed)
+	join_button.button_down.connect(_on_join_button_pressed)
+	
+	
+	username.text = network_manager.username
+
+	if network_manager.avatar_texture == null:
+		GameConsole.log_error("Avatar texture is null!")
+		get_tree().create_timer(0.005).timeout.connect(
+		func():
+			pfp.texture = network_manager.avatar_texture
+		)
+	else:
+		pfp.texture = network_manager.avatar_texture
+
+
+func _on_host_button_pressed() -> void:
+	network_manager.create_lobby()
+	get_tree().create_timer(0.5).timeout.connect(
+		func():
+			hosted_lobby_id.text = ("Lobby hosted: " + str(network_manager.lobby_id))
+	)
+	
+	hosted_lobby_id.visible = true
+	
+	
+func _on_join_button_pressed() -> void:
+	network_manager.join_lobby(int(lobby_id.text))
diff --git a/assets/core/networking/test-lobby.tscn b/assets/core/networking/test-lobby.tscn
new file mode 100644
index 0000000..f8626f5
--- /dev/null
+++ b/assets/core/networking/test-lobby.tscn
@@ -0,0 +1,81 @@
+[gd_scene load_steps=4 format=3 uid="uid://dfa8n5rw2qpfd"]
+
+[ext_resource type="PackedScene" uid="uid://bpmn7t87tfk7f" path="res://assets/core/networking/network_manager.tscn" id="1_i1w5w"]
+[ext_resource type="Script" path="res://assets/core/networking/network_test_ui.gd" id="2_rbs4r"]
+[ext_resource type="Texture2D" uid="uid://fwub8fvl2u4i" path="res://addons/ingameconsole/ps1hagrid.png" id="3_co2ix"]
+
+[node name="Test-lobby" type="CanvasLayer"]
+
+[node name="NetworkManager" parent="." instance=ExtResource("1_i1w5w")]
+
+[node name="UiRoot" type="Control" parent="." node_paths=PackedStringArray("network_manager", "host_button", "join_button", "lobby_id", "pfp", "username", "hosted_lobby_id")]
+layout_mode = 3
+anchors_preset = 15
+anchor_right = 1.0
+anchor_bottom = 1.0
+grow_horizontal = 2
+grow_vertical = 2
+script = ExtResource("2_rbs4r")
+network_manager = NodePath("../NetworkManager")
+host_button = NodePath("Panel/HBoxContainer/VBoxContainer/Host")
+join_button = NodePath("Panel/HBoxContainer/VBoxContainer/Join")
+lobby_id = NodePath("Panel/HBoxContainer/VBoxContainer/LobbyID")
+pfp = NodePath("Panel/HBoxContainer/VBoxContainer2/HBoxContainer/PFP")
+username = NodePath("Panel/HBoxContainer/VBoxContainer2/HBoxContainer/Username")
+hosted_lobby_id = NodePath("Panel/HBoxContainer/VBoxContainer/HostedLobbyID")
+
+[node name="Panel" type="Panel" parent="UiRoot"]
+layout_mode = 1
+anchors_preset = 15
+anchor_right = 1.0
+anchor_bottom = 1.0
+grow_horizontal = 2
+grow_vertical = 2
+
+[node name="HBoxContainer" type="HBoxContainer" parent="UiRoot/Panel"]
+layout_mode = 1
+anchors_preset = 15
+anchor_right = 1.0
+anchor_bottom = 1.0
+grow_horizontal = 2
+grow_vertical = 2
+
+[node name="VBoxContainer" type="VBoxContainer" parent="UiRoot/Panel/HBoxContainer"]
+layout_mode = 2
+size_flags_horizontal = 3
+
+[node name="Host" type="Button" parent="UiRoot/Panel/HBoxContainer/VBoxContainer"]
+layout_mode = 2
+text = "Host"
+
+[node name="Join" type="Button" parent="UiRoot/Panel/HBoxContainer/VBoxContainer"]
+layout_mode = 2
+text = "Join"
+
+[node name="LobbyID" type="LineEdit" parent="UiRoot/Panel/HBoxContainer/VBoxContainer"]
+layout_mode = 2
+placeholder_text = "Lobby ID"
+
+[node name="HostedLobbyID" type="Label" parent="UiRoot/Panel/HBoxContainer/VBoxContainer"]
+visible = false
+layout_mode = 2
+text = "Lobby hosted: "
+
+[node name="VBoxContainer2" type="VBoxContainer" parent="UiRoot/Panel/HBoxContainer"]
+layout_mode = 2
+size_flags_horizontal = 3
+
+[node name="HBoxContainer" type="HBoxContainer" parent="UiRoot/Panel/HBoxContainer/VBoxContainer2"]
+layout_mode = 2
+
+[node name="PFP" type="TextureRect" parent="UiRoot/Panel/HBoxContainer/VBoxContainer2/HBoxContainer"]
+custom_minimum_size = Vector2(128, 128)
+layout_mode = 2
+size_flags_horizontal = 4
+texture = ExtResource("3_co2ix")
+expand_mode = 1
+
+[node name="Username" type="Label" parent="UiRoot/Panel/HBoxContainer/VBoxContainer2/HBoxContainer"]
+layout_mode = 2
+size_flags_horizontal = 8
+text = "username"