I'm interested in those notes! I'm looking at the latest project 8 screenshots and I don't see any ao, bounce or direction soft shadows, also a lot of the environment appears to be vertex lit? I'm a wrong? http://media.xbox360.gamespy.com/media/803/803274/img_3876001.html
well I would bake shadows and blend between them, but do lighting still dynamic (per vertex). I can pack up to 4 time of day shadows into one lightmap (one in each color channel). question is how good it will look when the shadows fade from one step to another, as it is not very accurate, but given I let not the sun move…