the shaders will use MipMaps if they are available, when creating your DDS files ensure your software allows for mips they usually go down to 8 0-7 the shader will pick which layer to use depending on distance, I don't use LOD or Mips all the time it depends on the asset.
Each bitmap image of the mipmap set is a downsized duplicate of the main texture, but at a certain reduced level of detail. Although the main texture would still be used when the view is sufficient to render it in full detail, the renderer will switch to a suitable mipmap image (or in fact, interpolate between the two nearest, if trilinear filtering is activated) when the texture is viewed from a distance or at a small size. Rendering speed increases since the number of texture pixels (texels) being processed per display pixel can be much lower for similar results with the simpler mipmap textures. If using a limited number of texture samples per display pixel (as is the case with bilinear filtering) then artifacts are reduced since the mipmap images are effectively already anti-aliased. Scaling down and up is made more efficient with mipmaps as well.
If the texture has a basic size of 256 by 256 pixels, then the associated mipmap set may contain a series of 8 images, each one-fourth the total area of the previous one: 128×128 pixels, 64×64, 32×32, 16×16, 8×8, 4×4, 2×2, 1×1 (a single pixel). If, for example, a scene is rendering this texture in a space of 40×40 pixels, then either a scaled-up version of the 32×32 (without trilinear interpolation) or an interpolation of the 64×64 and the 32×32 mipmaps (with trilinear interpolation) would be used. The simplest way to generate these textures is by successive averaging; however, more sophisticated algorithms (perhaps based on signal processing and Fourier transforms) can also be used.
The original RGB image:
In the case of an RGB image with three channels stored as separate planes, the total mipmap can be visualized as fitting neatly into a square area twice as large as the dimensions of the original image on each side. It also shows visually how using mipmaps requires 33% more memory.
The increase in storage space required for all of these mipmaps is a third of the original texture, because the sum of the areas 1/4 + 1/16 + 1/64 + 1/256 + ⋯ converges to 1/3. In the case of an RGB image with three channels stored as separate planes, the total mipmap can be visualized as fitting neatly into a square area twice as large as the dimensions of the original image on each side (twice as large on each side is four times the original area - one plane of the original size for each of red, green and blue makes three times the original area, and then since the smaller textures take 1/3 of the original, 1/3 of three is one, so they will take the same total space as just one of the original red, green, or blue planes). This is the inspiration for the tag multum in parvo.
Anisotropic filtering:
When a texture is viewed at a steep angle, the filtering should not be uniform in each direction (it should be anisotropic rather than isotropic), and a compromise resolution is required. If a higher resolution is used, the cache coherence goes down, and the aliasing is increased in one direction, but the image tends to be clearer. If a lower resolution is used, the cache coherence is improved, but the image is overly blurry. This would be a tradeoff of MIP level of detail (LOD) for aliasing vs blurriness. However anisotropic filtering attempts to resolve this trade-off by sampling a non isotropic texture footprint for each pixel rather than merely adjusting the MIP LOD. This non isotropic texture sampling requires either a more sophisticated storage scheme or a summation of more texture fetches at higher frequencies.
MIPS in a basic dds file:
creating MIPS in paint.net:
I hope this helps
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