The combat operations of the early 2000s with Operation Iraqi Freedom showcased that the M1A2 System Enhancement Package (SEP) still had room for improvements. Combat-oriented upgrades such as the Tank Urban Survival Kit (TUSK) I and II were first fitted to the M1A2 SEP. However, following the cancellation of the US Army Future Combat System program, it became clear the M1A2 Abrams would remain the workhorse of the US Army for the foreseeable future, and work began on the next upgrade for the M1A2 Abrams with SEP V2. SEP V2 incorporated many internal changes to the sights, computers, and electronics, as well as a new auxiliary power unit. The most notable exterior change was the addition of a CROWS (Common Remotely Operated Weapon Station) to allow the commander to remotely operate the heavy machine gun atop the tank. The M1A2 SEP V2 was accepted into service for the US Army in 2008, equipping all Armor Brigade Combat Teams by 2013.

The M1A2 SEP V2 was introduced in Update "Air Superiority". The primary differences on the M1A2 SEP V2 compared to the preceding M1A2 SEP are the elevated CROWS for the M2 Browning machine gun and the ARAT II explosive reactive armor that can be attached. The extra weight from these non-removable additions puts the M1A2 SEP V2 at around 66 tons, reducing the tank's overall mobility compared to the M1A2 SEP. The only characteristic that remained unchanged is firepower, firing the same shells through the same M256 cannon. The biggest plus of the M1A2 SEP V2 is that players have the opportunity to bring two M1A2 SEPs into battle without having to use a backup, which can be an advantage for team composition in its own way.