Originally released for the Arcades in 2002, then released for the consoles in 2003 such as Xbox, Gamecube, and PS2. This was the first game to present guest characters. Link from Legend of Zelda in the Gamecube, Heihachi from Tekken in the PS2, and comic book superhero Spawn.
Plot. Four years have passed since the events in Soulcalibur. The wave of slaughters that has covered all of Europe have come to an end. Nightmare, a knight in azure armor, and his followers have gathered enough souls for the ceremony to restore the once proud Ostreinsburg Castle. But as the ceremony was about to start, three warriors assaulted the castle and defeated Nightmare after an intense battle. As a result of Soul Edge's evil aura, Krita-Yuga revealed its true form: that of the Holy Sword, Soul Calibur. The intense battle ended with the victory of the holy sword, but at the collapse of the vortex of Inferno, both swords along with the azure Nightmare were sucked in a void and expelled in another place. Siegfried, recognizing his sins, set out on a journey of atonement. Still the blade held a strong bond, and every night it took control of the body and took souls of those nearby. The efforts made by the young knight were fruitless, and four years later the Azure Knight Nightmare returned.
A group of warriors from different lands and times have come into contact with the blade's remaining fragments, revealing the survival of Soul Edge after it's defeat. Driven either to possess or destroy it, they join a new journey, while Nightmare begins his rampage, seeking souls to restore Soul Edge once again.