After I created terrain LOD for a new worldspace I have a map that is completely square which gives a bad visual effect:
this is the normal map (of skyrim), outside the playable area there is fog: [img]http://s1295.beta.photobucket.com/user/PelinalWhitestrake/media/2013-01-03_00002_zps97a25b98.jpg.html?#/user/PelinalWhitestrake/media/2013-01-03_00002_zps97a25b98.jpg.html?&_suid=1357235013135030431289485113605[/img]
and this is the map of the worldspace I created, there is nothing outside the playable area: [img]http://s1295.beta.photobucket.com/user/PelinalWhitestrake/media/2013-01-03_00001_zps41aa4a46.jpg.html?#/user/PelinalWhitestrake/media/2013-01-03_00001_zps41aa4a46.jpg.html?&_suid=135723486586408153686971562035[/img]

You have two options here;

1. Create a cloud mesh like the one in Skyrim. You'll need to figure out exactly how to do that, or get someone else too. Once you have the cloud mesh, you go to World > Worldspaces, and under your worldspace direct the 'Cloud Model' section to your mesh.

2. Create excess LOD outside of your worldspace. This involves creating a second world, larger than your actual world and making LOD for it, then overwriting the center area with your actual world's LOD. This results in a ring of 'fake' worldspace around your world, so it goes off into the distance instead of ending abruptly. This is a more complex process, that I hope to make a tutorial on eventually... :/