Like in the original Red Alert, factions are split into countries (5 Allied countries, 4 Soviet ones) in skirmish and multiplayer, but instead of having hidden production bonuses, each country has a unique unit, structure or support power that the others do not have access to. oil derricks bring a small but frequent flow of income, airports allow deployment of paratroopers.). Both factions are completely distinct both functionally and visually, civilian structures can be garrisoned by each faction's basic infantry unit for increased firepower and rate of fire, the Allied IFV is included as the first customizable unit in the series (which can change its weapon and function based on the carried infantry unit), and there are neutral 'tech' structures which bring bonuses to the players who capture them (e.g. The game uses a modified and optimized engine from Tiberian Sun and expands the gameplay in multiple ways.

However, the storyline's tone is considerably more light-hearted than that in previous Command & Conquer games, and following in the footsteps of Tiberian Sun, more known actors were brought to act in the full-motion video cutscenes. Whereas the technology level in the original Red Alert had World War II and Cold War-era weapons mixed with a few technologies inspired by failed real-world experiments, the arsenals of both sides in Red Alert 2 predominantly include technologically advanced units and structures such as teleporting Chrono Legionnaires, chain-connecting Prism towers, cloning vats, weather control devices, etc. As is usual, the player joins the Allied or Soviet side in the singleplayer campaign (with 12 missions for each faction) as of that point in the storyline. Soon afterwards, the Soviet Union launches an overwhelming invasion on North America and Europe on land, air, and sea.

Although the Western Allies have installed a lackey as the Premier of the Soviet Union, their spies and relevant contacts suddenly go silent with the appearance of a powerful Soviet psychic named Yuri, who turns out to be Premier Romanov's advisor.

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