What is the graphics device? If NVidia, are you using the proprietary drivers?
The graphics card is from intel: VGA compatible controller: Intel Corporation UHD Graphics 620 (rev 07)
Is this a recent problem? Did it used to work? Have you tried booting an earlier kernel version or trying a live boot with a different kernel?
No, the problem persists for some months now. It used to work with Fedora 31, not sure which kernel. I tried the last couple of 5.7 kernels from Fedora 32 as well as the new 5.8, to no avail. I had some issues of trying to lock the screen in live images, will try that again.
Try running "systemctl suspend". Does that work and resume?
It seems to suspend (fan stopped), but I can never resume.
in Gnome settings, under Power, turn off the screen blanking and under Privacy->Screen Lock, disable screen lock. Does closing the lid work now?
Closing the lid is fixed with @Ed Greshko's help of setting HandleLidSwitch=ignore in etc/systemd/logind.conf. But that means the computer is running when the lid is closed -> not good to put in my bag and transport somewhere.