This is not the engine code, this is the game code that was released even prior to Quake 2 being GPLd.
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John Carmack's .plan for Dec 11, 1997
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The Quake 2 public code release is up at:
ftp://ftp.idsoftware.com/idstuff/quake2/source/q2source_12_11.zip
This source code distribution is only for hard-core people that are
going to spend a lot of time pouring over it. This is NOT a
how-to-make-levels-for-q2 type dsitribution!
This should keep a bunch of you busy for a while. :)