Photon 2d game multiplayer lags

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1

I have a 2D multiplayer game using Photon where all the movements are made by RigidBody 2d. When both players are connected I can see my opponent movements but they are not smooth. Last Update Time variable is set to 0.1.

using UnityEngine;
using System.Collections;

public class NetworkCharacter : Photon.MonoBehaviour {
   
    Vector3 realPosition = Vector3.zero;
    Quaternion realRotation = Quaternion.identity;
    public float lastUpdateTime = 0.1f;
    // Use this for initialization
    void Start () {
       
    }
   
    // Update is called once per frame
    void FixedUpdate () {
        if(photonView.isMine){
            //Do nothing -- we are moving
        }
        else {
            transform.position = Vector3.Lerp(transform.position, realPosition, lastUpdateTime);
            transform.rotation = Quaternion.Lerp(transform.rotation, realRotation, lastUpdateTime);
        }
    }
   
    public void OnPhotonSerializeView(PhotonStream stream, PhotonMessageInfo info){
        if(stream.isWriting){
            //This is OUR player.We need to send our actual position to the network
            stream.SendNext(transform.position);
            stream.SendNext(transform.rotation);
        }else{
            //This is someone else's player.We need to receive their positin (as of a few millisecond ago, and update our version of that player.
            realPosition = (Vector3)stream.ReceiveNext();
            realRotation = (Quaternion)stream.ReceiveNext();
        }
       
    }
}
2

You are using FixedUpdate()
Try Update(). You want that to happen every frame.

3

You are just using very simple interpolation, at a set time ( 0,1). You should use the time between packages received.
Also at what rate are you sending your packages? And did you disable physics on the network characters?

Here is some inspiration: Source Multiplayer Networking - Valve Developer Community