(((interference)))
Veteran
Well that's what LOD is. The problem is making it look good and seamless, though I'd draw the line and 2D billboards
I mean as opposed to traditional LOD techniques where you swap between a series of existing models depending on distance from the camera.
i.e. are they doing something novel in the space.
And I think 2D billboards generated on the fly would work great for distant landscape and foliage elements.
Something like this: http://www.gamasutra.com/view/feature/130911/dynamic_2d_imposters_a_simple_.php?print=1