diff --git a/docs/migrate-v1-to-v2.md b/docs/migrate-v1-to-v2.md
index a869159..c8f2b35 100644
--- a/docs/migrate-v1-to-v2.md
+++ b/docs/migrate-v1-to-v2.md
@@ -255,6 +255,7 @@ If your setup still uses the legacy names, you can update them as follows:
 - Environment variables
   - `WEBPACK_DEV_SERVER_BASE_PORT` -> `RSPACK_DEV_SERVER_BASE_PORT`
   - `WEBPACK_DEV_SERVER_PORT_RETRY` -> `RSPACK_DEV_SERVER_PORT_RETRY`
+  - `WEBPACK_SERVE` -> `RSPACK_SERVE`
 - URL query flags
   - `webpack-dev-server-hot=false` -> `rspack-dev-server-hot=false`
   - `webpack-dev-server-live-reload=false` -> `rspack-dev-server-live-reload=false`
diff --git a/src/server.ts b/src/server.ts
index 573d730..b5b7ecd 100644
--- a/src/server.ts
+++ b/src/server.ts
@@ -125,8 +125,8 @@ export interface Configuration<
 
 // Define BasicApplication and Server as ambient, or import them
 
-if (!process.env.WEBPACK_SERVE) {
-  process.env.WEBPACK_SERVE = 'true';
+if (!process.env.RSPACK_SERVE) {
+  process.env.RSPACK_SERVE = 'true';
 }
 
 const getConnect = async () => {
diff --git a/tests/e2e/__snapshots__/api.test.js.snap b/tests/e2e/__snapshots__/api.test.js.snap
index 2b4d59e..6c3e314 100644
--- a/tests/e2e/__snapshots__/api.test.js.snap
+++ b/tests/e2e/__snapshots__/api.test.js.snap
@@ -24,6 +24,18 @@ exports[`API > Invalidate callback > should use the provided \`callback\` functi
 
 exports[`API > Invalidate callback > should use the provided \`callback\` function > response status 1`] = `200`;
 
+exports[`API > RSPACK_SERVE environment variable > should be present > console messages 1`] = `
+[
+  "[rspack-dev-server] Server started: Hot Module Replacement enabled, Live Reloading enabled, Progress disabled, Overlay enabled.",
+  "[HMR] Waiting for update signal from WDS...",
+  "Hey.",
+]
+`;
+
+exports[`API > RSPACK_SERVE environment variable > should be present > page errors 1`] = `[]`;
+
+exports[`API > RSPACK_SERVE environment variable > should be present > response status 1`] = `200`;
+
 exports[`API > Server.checkHostHeader > should allow URLs with scheme for checking origin when the "option.client.webSocketURL" is object > page errors 1`] = `[]`;
 
 exports[`API > Server.checkHostHeader > should allow URLs with scheme for checking origin when the "option.client.webSocketURL" is object > response status 1`] = `200`;
@@ -92,18 +104,6 @@ exports[`API > Server.getFreePort > should return the port when the port is unde
 
 exports[`API > Server.getFreePort > should throw the error when the port isn't found 1`] = `[Error: No available ports found]`;
 
-exports[`API > WEBPACK_SERVE environment variable > should be present > console messages 1`] = `
-[
-  "[rspack-dev-server] Server started: Hot Module Replacement enabled, Live Reloading enabled, Progress disabled, Overlay enabled.",
-  "[HMR] Waiting for update signal from WDS...",
-  "Hey.",
-]
-`;
-
-exports[`API > WEBPACK_SERVE environment variable > should be present > page errors 1`] = `[]`;
-
-exports[`API > WEBPACK_SERVE environment variable > should be present > response status 1`] = `200`;
-
 exports[`API > latest async API > should work and allow to rerun dev server multiple times > console messages 1`] = `
 [
   "[rspack-dev-server] Server started: Hot Module Replacement enabled, Live Reloading enabled, Progress disabled, Overlay enabled.",
diff --git a/tests/e2e/api.test.js b/tests/e2e/api.test.js
index 8b9961c..92f6abe 100644
--- a/tests/e2e/api.test.js
+++ b/tests/e2e/api.test.js
@@ -7,7 +7,7 @@ const sessionSubscribe = require('../helpers/session-subscribe');
 const port = require('../helpers/ports-map').api;
 
 describe('API', () => {
-  describe('WEBPACK_SERVE environment variable', () => {
+  describe('RSPACK_SERVE environment variable', () => {
     const OLD_ENV = process.env;
     let server;
     let page;
@@ -46,7 +46,7 @@ describe('API', () => {
 
       await server.start();
 
-      expect(process.env.WEBPACK_SERVE).toBe('true');
+      expect(process.env.RSPACK_SERVE).toBe('true');
 
       const response = await page.goto(`http://127.0.0.1:${port}/`, {
         waitUntil: 'networkidle0',