I just purchased Rockstars table tennis on the XBOX and was blown away by its graphics, as I have only had the console since christmas. What I was really wondering is how do they make such believable fabric work like that in realtime, as well as getting the Normal Maps to look right when the shirt is deformed. How many polygons do these shirts have? I am assuming that the actual animations are done with the physics engine. Any insight into this, as I am very interested in how it is done.
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Taron did some interesting work blending displacements together, worth a look. http://www.taron.de/