Hi svv3dUDN, thanks a lot for taking the time to reply to my question and apologies for getting back to you so late.
In the mean time, I have done more testing and have reached the conclusion below.
As I am new here, I don’t know if this is a known issue - or whether I am doing something wrong…
32-bit textures are too bright and exhibit alpha artifacts when used in translucent materials whereas a 24-bit + an 8-bit texture look correct (see the attached screenshots).
HOW TO REPLICATE THE PROBLEM
- Download AlphaTest.zip via this link: Copy.com
- Load AlphaTestLevel.umap
- Observe the difference between the two sprites, and compare the two materials.
- The material with the 32-bit texture exhibits alpha artifacts and is brighter than the material with the 24 + 8-bit textures.
- PNG textures with transparency are affected the same way as 32-bit textures.
- Turning *sRGB *off in the texture settings only seems to make the 24+8-bit textures brighter (despite the fact that the tooltip says that it should be turned off when using “alpha channels individually as masks”).
- The texture sample type in the 24+8-bit material needs to be set to ‘Color’ as opposed to ‘Linear Color’ in order to look correct.