diff --git a/drivers/net/ethernet/ti/tlan.c b/drivers/net/ethernet/ti/tlan.c
index 1f21764fea53..6078342fe3f2 100644
--- a/drivers/net/ethernet/ti/tlan.c
+++ b/drivers/net/ethernet/ti/tlan.c
@@ -2528,9 +2528,10 @@ static void tlan_phy_power_down(struct net_device *dev)
 	value = MII_GC_PDOWN | MII_GC_LOOPBK | MII_GC_ISOLATE;
 	tlan_mii_sync(dev->base_addr);
 	tlan_mii_write_reg(dev, priv->phy[priv->phy_num], MII_GEN_CTL, value);
-	if ((priv->phy_num == 0) &&
-	    (priv->phy[1] != TLAN_PHY_NONE) &&
-	    (!(priv->adapter->flags & TLAN_ADAPTER_USE_INTERN_10))) {
+	if ((priv->phy_num == 0) && (priv->phy[1] != TLAN_PHY_NONE)) {
+		/* if using internal PHY, the external PHY must be powered on */
+		if (priv->adapter->flags & TLAN_ADAPTER_USE_INTERN_10)
+			value = MII_GC_ISOLATE; /* just isolate it from MII */
 		tlan_mii_sync(dev->base_addr);
 		tlan_mii_write_reg(dev, priv->phy[1], MII_GEN_CTL, value);
 	}