It doesn't stop you from getting closer and observing the NPCs, but it breaks immersion (spatial!) while you're observing them from a farther perspective. I think that's pretty obvious. One of the things I've mentioned is while you're riding Roach, your POV is so high/disconnected from the world that you don't get to see all those interesting little detailsWhat?
No seriously, what?
How does a camera that's slightly further away stop you from doing any of those things? We're not talking about a max zoomed out World of Warcraft Camera, or an Isometric View camera.
When exploring you'll have control over the "angle" of the camera, like up/down/left/right, but you just won't have control over the zoom. I really think you're highly exaggerating the amount further it's zoomed out, and what effect that has on being able to "interact" with the world and its inhabitants.
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