I had exactly the same issue. I disabled “Texture Streaming” in the “Rendering” Settings in “Project Settings”. When disabled , it seems to match the functionality of “Texture Groups” the Texture content and I get the same output as in “PIE” when in shipping. And mipmaps work correctly, so I’m assuming the “Streaming” part of that setting is meant for loading not Mip streaming, or maybe a different texture streaming algorithm than the mip magnafication process
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