badgersprite said:
The problem with having an endless world map is that it would be completely empty on the outside, with nothing there to see, and it's impossible to animate a limitless globe. You can have a really big world, sure, but it has to end eventually.
It is easily possible to populate an arbitrary space, at least in general.
For example, if we know that the given space the player can view at a moment is finite and the view can only change at a finite speed and the game will only be played for a finite amount of time, then we know that we are in fact not dealing with a limitless space, just a very large space.
One can easily handle dynamic generation of terrain based off any number of algorithms. Depending upon how clever this algorithm is and what base assets we have to use, we could even dynamically add NPC's. AI could be assigned according to a limited set of rules that govern everything from goals (what the AI is trying to do if left to it's own devices), to alliegance (is it friendly to the player, and/or other NPCs?) to probable response patterns (is it likey to fight the player, or will it perhaps run instead?). One could even generate missions dynamically by having lists of criteria for quests and arbitraily stringing them together.
The problem is, however, even with very slick top of the line AI and AAA art assets and control programming, this universe wouldn't be terribly entertaining. Being entirely procedurely generated, on would be left to wonder why exactly they should bother exploring in the first place. If all you do is hand a player a sandbox, what have you accomplished? Sandboxes aren't all that entertaining. At some point, you'll have to step in and hand craft something for the player to do, because shifting sand around in a bucket is going to get old fast.