This will cover how to use the Normal From Height Texture Tool, Which has the ability to create normal maps on the fly.

This Tool is similar to the function that exists within the material graph already, but with the ability to have it actually create a texture is extremely powerful for shader optimization.

You can choose which texture channel to pull the height from, set the Position Offset, Normal strength (this controls the overall normal intensity. 0-2, past 1 will invert the normal green channel).

This tool can also be used to pull the light color from diffuse maps to create faked normals.

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