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its a bit of a copout, the hitbox data (force/location/angle) is sent to the server which runs debris calculation on a simplified mesh, the result is then delivered to the client , geometry isnt dissapearing in the video, its simply the switch between local physics calculation and the server based debris data with the simplified meshes.

put simply, the initial destructions handled by the xbox one, the server just calculates debris based on a low poly instance of the game world.

still, better than the glorified shared savedata shit they call driveatar.