Using GPU tessellation on characters and terrain allows superior detail and high-quality animation. The GPU tessellation is used to subdivide and displace the characters so that they never look “low-poly” or triangulated and flat. Displacement mapping captures the fine scale details of the character. The difference in the amount of high fidelity details such as the bumps on the skin is instantly noticeable. The tessellation level is dynamically calculated per-frame as a function of the number of tessellated characters in the view for a stable frame rate in dense crowd situations. At the highest level of tessellation, a single froblin character can be rendered with as many as 1.6 million triangles! Froblins that are far off in the distance are drawn using a simplified, non-tessellated, mesh. Animated character rendering performance is improved with a multi-pass approach augmented with vertex compression and decompression on the fly to reduce memory footprint and bandwidth utilization.