LED2 lights only half the time compared to LED1 due to the behavior of the transistor in the circuit. When the Base voltage is high, the transistor allows current to flow between the Emitter and Collector, effectively acting as a switch. This results in one LED receiving current while the other does not, depending on the Base voltage state. When the Base voltage is low, the circuit becomes open, stopping current flow and affecting the LEDs' operation. Understanding the transistor's function clarifies the differing light times of the two LEDs.