A segunda versión do motor publicouse no 2002 con ''[[America's Army]]'', un ''shooter'' multixogador gratuíto crado polo [[Exército dos Estados Unidos de América|Exército dos Estados Unidos]] e financiado polo [[Goberno dos Estados Unidos de América|Goberno dos Estados Unidos]]. Nesta xeración tanto o código coma o motor de renderizado reescribíronse por completo. Incluía tamén o [[editor de niveis]] UnrealEd 2 e o [[SDK]] de físicas Karma, responsable das [[físicas de boneco]] en ''[[Unreal Tournament 2003]]'' e ''[[Unreal Championship]]''.
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UE2.5, an update to the original version of UE2, improved rendering performance and added vehicles physics, a particle system editor for UnrealEd, and 64-bit support in ''[[Unreal Tournament 2004]]''. A specialized version of UE2.5 called UE2X was used for ''[[Unreal Championship 2: The Liandri Conflict]]'' on the original Xbox platform. It features optimizations specific to that console. [[Environmental audio extensions#EAX 3.0|EAX 3.0]] is also supported for sound.
Unreal Engine 2.5 foi unha actualización para a versión orixinal de Unreal Engine 2, mellorando o rendemento de renderizado e engadindo físicas para vehículos, un editor de sistemas de partículas para UnrealEd e soporte de 64 [[bit]]s en ''[[Unreal Tournament 2004]]''. A maiores usouse unha versión especializada do 2.5 para ''[[Unreal Championship 2: The Liandri Conflict]]'' na plataforma orixinal de [[Xbox]].
In March 2011, [[Ubisoft]] Montreal revealed that UE2 was successfully running on the [[Nintendo 3DS]].<ref>{{cite web|url=http://www.tomsguide.com/us/Unreal-Engine-2-Splinter-Cell-3DS-Nitendo-3DS,news-10601.html|title=Ubisoft: 3DS Can Handle Unreal Engine 2. Ubisoft is reportedly using Epic's Unreal Engine 2 for Splinter Cell 3DS|publisher=[[Tom's Guide]]|date=25 March 2011|accessdate=28 January 2016|first=Kevin|last=Parrish}}</ref><ref>{{cite web|url=http://www.computerandvideogames.com/295096/ubisoft-we-have-unreal-engine-running-on-3ds/|title=Ubisoft: We have Unreal Engine running on 3DS. Splinter Cell publisher seemingly succeeds where Epic has failed|work=[[Computer and Video Games]]|publisher=[[Future plc]]|date=March 24, 2011|accessdate=February 9, 2015|first=Tom|last=Ivan|archiveurl=https://web.archive.org/web/20150209192943/http://www.computerandvideogames.com/295096/ubisoft-we-have-unreal-engine-running-on-3ds/|archivedate=February 9, 2015 |deadurl=yes}}</ref> -->
