diff --git a/hgext/narrow/narrowcommands.py b/hgext/narrow/narrowcommands.py
--- a/hgext/narrow/narrowcommands.py
+++ b/hgext/narrow/narrowcommands.py
@@ -146,7 +146,7 @@
         kwargs['excludepats'] = exclude
     # calculate known nodes only in ellipses cases because in non-ellipses cases
     # we have all the nodes
-    if wireprototypes.ELLIPSESCAP in pullop.remote.capabilities():
+    if wireprototypes.ELLIPSESCAP1 in pullop.remote.capabilities():
         kwargs['known'] = [node.hex(ctx.node()) for ctx in
                            repo.set('::%ln', pullop.common)
                            if ctx.node() != node.nullid]
@@ -253,7 +253,14 @@
     # then send that information to server whether we want ellipses or not.
     # Theoretically a non-ellipses repo should be able to use narrow
     # functionality from an ellipses enabled server
-    ellipsesremote = wireprototypes.ELLIPSESCAP in remote.capabilities()
+    remotecap = remote.capabilities()
+    ellipsesremote = any(True for cap in wireprototypes.SUPPORTED_ELLIPSESCAP
+                         if cap in remotecap)
+
+    # check whether we are talking to a server which supports old version of
+    # ellipses capabilities
+    isoldellipses = (ellipsesremote and wireprototypes.ELLIPSESCAP1 in
+                     remotecap and wireprototypes.ELLIPSESCAP not in remotecap)
 
     def pullbundle2extraprepare_widen(orig, pullop, kwargs):
         orig(pullop, kwargs)
@@ -279,8 +286,31 @@
             with ds.parentchange():
                 ds.setparents(node.nullid, node.nullid)
             with wrappedextraprepare:
-                with repo.ui.configoverride(overrides, 'widen'):
+                if isoldellipses:
                     exchange.pull(repo, remote, heads=common)
+                else:
+                    known = [node.hex(ctx.node()) for ctx in
+                                       repo.set('::%ln', common)
+                                       if ctx.node() != node.nullid]
+
+                    with remote.commandexecutor() as e:
+                        bundle = e.callcommand('narrow_widen', {
+                            'oldincludes': oldincludes,
+                            'oldexcludes': oldexcludes,
+                            'newincludes': newincludes,
+                            'newexcludes': newexcludes,
+                            'cgversion': '03',
+                            'commonheads': common,
+                            'known': known,
+                            'ellipses': True,
+                        }).result()
+                    trmanager = exchange.transactionmanager(repo, 'widen',
+                                                            remote.url())
+                    with trmanager:
+                        op = bundle2.bundleoperation(repo,
+                                trmanager.transaction, source='widen')
+                        bundle2.processbundle(repo, bundle, op=op)
+
             with ds.parentchange():
                 ds.setparents(p1, p2)
         else:
diff --git a/hgext/narrow/narrowwirepeer.py b/hgext/narrow/narrowwirepeer.py
--- a/hgext/narrow/narrowwirepeer.py
+++ b/hgext/narrow/narrowwirepeer.py
@@ -13,12 +13,15 @@
     extensions,
     hg,
     narrowspec,
+    node as nodemod,
     pycompat,
     wireprototypes,
     wireprotov1peer,
     wireprotov1server,
 )
 
+from . import narrowbundle2
+
 def uisetup():
     wireprotov1peer.wirepeer.narrow_widen = peernarrowwiden
 
@@ -69,21 +72,26 @@
         narrowspec.validatepatterns(set(newexcludes))
 
         common = wireprototypes.decodelist(commonheads)
-        known = None
-        if known:
-            known = wireprototypes.decodelist(known)
+        known = wireprototypes.decodelist(known)
+        known = {nodemod.bin(n) for n in known}
         if ellipses == '0':
             ellipses = False
         else:
             ellipses = bool(ellipses)
         cgversion = cgversion
-        newmatch = narrowspec.match(repo.root, include=newincludes,
-                                    exclude=newexcludes)
-        oldmatch = narrowspec.match(repo.root, include=oldincludes,
-                                    exclude=oldexcludes)
 
-        bundler = bundle2.widen_bundle(repo, oldmatch, newmatch, common, known,
-                                             cgversion, ellipses)
+        if not ellipses:
+            newmatch = narrowspec.match(repo.root, include=newincludes,
+                                        exclude=newexcludes)
+            oldmatch = narrowspec.match(repo.root, include=oldincludes,
+                                        exclude=oldexcludes)
+            bundler = bundle2.widen_bundle(repo, oldmatch, newmatch, common,
+                                           known, cgversion, ellipses)
+        else:
+            bundler = bundle2.bundle20(repo.ui)
+            narrowbundle2.generateellipsesbundle2(bundler, repo, oldincludes,
+                    oldexcludes, newincludes, newexcludes, cgversion, common,
+                    list(common), known, None)
     except error.Abort as exc:
         bundler = bundle2.bundle20(repo.ui)
         manargs = [('message', pycompat.bytestr(exc))]
diff --git a/mercurial/wireprototypes.py b/mercurial/wireprototypes.py
--- a/mercurial/wireprototypes.py
+++ b/mercurial/wireprototypes.py
@@ -30,7 +30,9 @@
 HTTP_WIREPROTO_V2 = 'exp-http-v2-0003'
 
 NARROWCAP = 'exp-narrow-1'
-ELLIPSESCAP = 'exp-ellipses-1'
+ELLIPSESCAP1 = 'exp-ellipses-1'
+ELLIPSESCAP = 'exp-ellipses-2'
+SUPPORTED_ELLIPSESCAP = (ELLIPSESCAP1, ELLIPSESCAP)
 
 # All available wire protocol transports.
 TRANSPORTS = {
diff --git a/tests/test-narrow-patterns.t b/tests/test-narrow-patterns.t
--- a/tests/test-narrow-patterns.t
+++ b/tests/test-narrow-patterns.t
@@ -135,13 +135,11 @@
   $ hg tracked --removeexclude dir1/dirA
   comparing with ssh://user@dummy/master
   searching for changes
-  no changes found
   saved backup bundle to $TESTTMP/narrow/.hg/strip-backup/*-widen.hg (glob)
   adding changesets
   adding manifests
   adding file changes
   added 9 changesets with 6 changes to 6 files
-  new changesets *:* (glob)
   $ hg tracked
   I path:dir1
   I path:dir2
@@ -195,13 +193,11 @@
   deleting data/dir1/dirA/bar.i (reporevlogstore !)
   deleting data/dir1/dirA/bar/0eca1d0cbdaea4651d1d04d71976a6d2d9bfaae5 (reposimplestore !)
   deleting data/dir1/dirA/bar/index (reposimplestore !)
-  no changes found
   saved backup bundle to $TESTTMP/narrow/.hg/strip-backup/*-widen.hg (glob)
   adding changesets
   adding manifests
   adding file changes
   added 11 changesets with 7 changes to 7 files
-  new changesets *:* (glob)
   $ hg tracked
   I path:dir1
   I path:dir2
@@ -253,13 +249,11 @@
   deleting data/dir1/dirA/foo.i (reporevlogstore !)
   deleting data/dir1/dirA/foo/162caeb3d55dceb1fee793aa631ac8c73fcb8b5e (reposimplestore !)
   deleting data/dir1/dirA/foo/index (reposimplestore !)
-  no changes found
   saved backup bundle to $TESTTMP/narrow/.hg/strip-backup/*-widen.hg (glob)
   adding changesets
   adding manifests
   adding file changes
   added 13 changesets with 8 changes to 8 files
-  new changesets *:* (glob)
   $ hg tracked
   I path:dir1
   I path:dir2
@@ -312,13 +306,11 @@
   $ hg tracked --removeexclude dir1/dirA
   comparing with ssh://user@dummy/master
   searching for changes
-  no changes found
   saved backup bundle to $TESTTMP/narrow/.hg/strip-backup/*-widen.hg (glob)
   adding changesets
   adding manifests
   adding file changes
   added 13 changesets with 9 changes to 9 files
-  new changesets *:* (glob)
   $ hg tracked
   I path:dir1
   I path:dir2
@@ -389,13 +381,11 @@
   $ hg tracked --addinclude dir1
   comparing with ssh://user@dummy/master
   searching for changes
-  no changes found
   saved backup bundle to $TESTTMP/narrow2/.hg/strip-backup/*-widen.hg (glob)
   adding changesets
   adding manifests
   adding file changes
   added 10 changesets with 6 changes to 6 files
-  new changesets *:* (glob)
   $ find * | sort
   dir1
   dir1/bar
diff --git a/tests/test-narrow-trackedcmd.t b/tests/test-narrow-trackedcmd.t
--- a/tests/test-narrow-trackedcmd.t
+++ b/tests/test-narrow-trackedcmd.t
@@ -145,13 +145,11 @@
   looking for local changes to affected paths
   deleting data/inside/f.i
   deleting meta/inside/00manifest.i (tree !)
-  no changes found
   saved backup bundle to $TESTTMP/narrow/.hg/strip-backup/*-widen.hg (glob)
   adding changesets
   adding manifests
   adding file changes
   added 2 changesets with 0 changes to 0 files
-  new changesets *:* (glob)
   $ hg tracked
   I path:outisde
   X path:inside
@@ -166,13 +164,11 @@
   $ hg tracked --import-rules specs --addinclude 'wider/'
   comparing with ssh://user@dummy/master
   searching for changes
-  no changes found
   saved backup bundle to $TESTTMP/narrow/.hg/strip-backup/*-widen.hg (glob)
   adding changesets
   adding manifests
   adding file changes
   added 3 changesets with 1 changes to 1 files
-  new changesets *:* (glob)
   $ hg tracked
   I path:outisde
   I path:wider
@@ -211,13 +207,11 @@
   $ hg tracked --import-rules ../nspecs
   comparing with ssh://user@dummy/master
   searching for changes
-  no changes found
   saved backup bundle to $TESTTMP/narrow/.hg/strip-backup/*-widen.hg (glob)
   adding changesets
   adding manifests
   adding file changes
   added 3 changesets with 0 changes to 0 files
-  new changesets *:* (glob)
 
   $ cd ..
 
diff --git a/tests/test-narrow-widen.t b/tests/test-narrow-widen.t
--- a/tests/test-narrow-widen.t
+++ b/tests/test-narrow-widen.t
@@ -95,13 +95,11 @@
   $ hg tracked --addinclude widest/f
   comparing with ssh://user@dummy/master
   searching for changes
-  no changes found
   saved backup bundle to $TESTTMP/narrow/.hg/strip-backup/*-widen.hg (glob)
   adding changesets
   adding manifests
   adding file changes
   added 3 changesets with 2 changes to 2 files
-  new changesets *:* (glob)
   $ hg tracked
   I path:inside
   I path:widest/f
@@ -154,13 +152,11 @@
   $ hg tracked --addinclude wider
   comparing with ssh://user@dummy/master
   searching for changes
-  no changes found
   saved backup bundle to $TESTTMP/narrow/.hg/strip-backup/*-widen.hg (glob)
   adding changesets
   adding manifests
   adding file changes
   added 8 changesets with 7 changes to 3 files
-  new changesets *:* (glob)
   $ hg tracked
   I path:inside
   I path:wider
@@ -261,13 +257,11 @@
   $ hg tracked --addinclude d1
   comparing with ssh://user@dummy/upstream
   searching for changes
-  no changes found
   saved backup bundle to $TESTTMP/narrow2/.hg/strip-backup/*-widen.hg (glob)
   adding changesets
   adding manifests
   adding file changes
   added 9 changesets with 5 changes to 5 files
-  new changesets *:* (glob)
   $ hg tracked
   I path:d0
   I path:d1
@@ -342,7 +336,6 @@
   $ hg --config hooks.pretxnchangegroup.bad=false tracked --addinclude d1
   comparing with ssh://user@dummy/upstream
   searching for changes
-  no changes found
   saved backup bundle to $TESTTMP/interrupted/.hg/strip-backup/*-widen.hg (glob)
   adding changesets
   adding manifests
diff --git a/tests/test-narrow.t b/tests/test-narrow.t
--- a/tests/test-narrow.t
+++ b/tests/test-narrow.t
@@ -290,13 +290,11 @@
   $ hg tracked --addinclude d0
   comparing with ssh://user@dummy/master
   searching for changes
-  no changes found
   saved backup bundle to $TESTTMP/narrow-empty/.hg/strip-backup/*-widen.hg (glob)
   adding changesets
   adding manifests
   adding file changes
   added 3 changesets with 1 changes to 1 files
-  new changesets *:* (glob)
   $ hg tracked
   I path:d0
   $ hg files