Network Sales and Services Handbook (Cisco Press Networking Technology)
RIPv2 is a more modern, updated version of RIP. RIPv2 was designed as an update to RIP, allowing RIP legacy internetworking devices a smooth transition to RIPv2. Both RIP and RIPv2 are better suited for the SOHO (Small Office / Home Office) market than mid-size or larger enterprise networks.
Customers implementing RIPv2 can make more efficient use of their allocated address space by implementing Variable Length Subnet Masks (VLSM) within their networks. This route summarization, through the use of VLSM, is a key method to managing the growth and scaling of the Internet routing system as a whole.