Well, I've been asked by some guys to check custom terrain importation feature for a game they work on. The thing is this topo feature, for some reason, currently works only with 8-bit .bmp images. When I checked RGB-formatted files or .pngs, the terrain representation was indeed flawed.
It's no biggie, because the anticipated terrain size is small. So you can probably produce a terrain in one go, with a coffee break in between.
It's not the game's problem however! It's the problem of Photoshop and automatic conversion of GS image to indexed format!
In PS, you can freely edit grayscale images. BUT once it gets converted to index after save, you can't use filters, smudge, sponge or sharpen tools. FOR WHAT F### REASON may I ask?!