so I saw in other horror games on how real people are shown and how they are recorded like its in the 80’s. can I please get an answer whether this is recorded or if they are hyper-realistic animations with video effects.
You’d need to list a specific video for anyone to be able to answer this. Some games to feature actual recordings of people. Remedy games like Alan Wake are known for doing this. But lots of games use mostly or only 3d renders.
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I can say something like the beginning of poppy playtime chapter 1 where it seemed like they were recording the scene with real people I would say.