System is Win7 64.
3DSMax 2010
Photoshop CS6

Create a simple or complex object in MAX. Assign multi-sub materials to it, and edit UVs. Create tga image files for the _co/_ca, _as, _nohq, and especially for this malfunction: _smdi. For the _co file, either leave it solid or give it a noise layer. Assign the textures in Max, triangulate, and export a selection of desired textured objects into 3ds format.

Import the object into Object Builder with "no squarize" ticked or unticked, and set up the surfaces for whatever LODs you are going to use; in my case, LOD0, View Pilot, Shadow, Geometry, Memory, Land contact, and that's it (until later). Create rvmats as supershaders: use eliteness to copy the code from another supershader used on a similar object as yours, paste into a text editor, and correct the file paths to the files of your object. Assign the _co textures and rvmats to the corresponding faces in Object Builder.

Testing in buldozer reveals the same issues as in game. So this is probably not a packing issue. So, open in buldozer and observe the blocky highlights shift as you move around the object.

If testing in game, make sure you have all the other pertinent files as usual: config.cpp, model.cfg, etc. Observe the hideous blocky highlights on the object change as you move the angles of your player or the object in the sunlight.

Other things tested:

• Does not happen on ArmA3 objects or (most) others' addons; only on mine.

• For the diffuse (_co) textures, the problem can be mitigated by adding a slight "noise" layer to give every pixel a different color. This technique doesn't seem to work for the _smdi textures. I am using supershaders on self-made vehicles with self-made textures. My rvmats set ups are borrowed from game rvmats for similar vehicles. Examining the .paa files in texView2, the blocky artifacts are not present.

• I've tried saving the smdi file to a 256 color pallet, which didn't help at all.

• I've adjusted the rvmats to various levels of specular power and color, and imitated the rvmats of similar BIS objects. There was some success with this, but ONLY ON GLASS. Adjusting the Fresnel properties on the transparent portions of my model, borrowed from the Blackfoot glass rvmat, has taken away the blockiness on glass. The problem is not solved, because it still occurs on solid objects.

• For control purposes, I tried replacing my *_smdi.paa file with a BIS smdi file, and it did not look blocky. This leads me to believe the engine is having trouble reading custom textures.

• It's hard to fully understand how images are interpreted, but for experimentation I applied the face order filter in Object Builder. Nothing happened.