There has been quite a bit of talk in the past about the game having a 'living world' to some degree. This has always been one of the great dreams of many games, and almost always falls short. I haven't heard much talk about it lately, and I worry that the concept is dying off.
Majesty 1 and 2 are good games, but their aspiration to 'Fantasy Kingdom Sim' has never sat well with me. Those games have always been 'Hero Management Sims' at best. Elemental strikes me as having the potential to truly be a Fantasy World Sim. I remember some dev journals and forum threads where we shared ideas about trying to make the game feel like one of the fantasy worlds that we have seen in RPGs and books. Right now, the game doesn't convey that, and I'm unsure of the plans to develop it later.
Here are the things I think we need to help the game feel more alive, and more like one of those great fantasy worlds we have often seen:
1) Lore. There is quite a bit of debate on this subject right now. I feel that including solid, interesting, fun lore is really important for this kind of game, and should not be minimized, especially for the initial release. As many people have said, Gal Civ started out somewhat generic, but was fleshed out nicely over the expansions. I would like the game to START fleshed out. However, it is important for a 4X style game to allow the lore to be somewhat flexible so that players are free to grow their empires and worlds without being constrained by what the Lore says SHOULD happen. Thus, there needs to be great backstory, but the Lore should not force the 'future' of the gameworld on anyone. Instead, make it more dynamic. So, if a player builds a huge city full of slums and crime, have some Lore generated that will describe the city as such and will then drive actual gameplay, which I will talk about below...
2) NPCs. In order to give personality to the world, the NPCs need to be interesting and active. I love, love, LOVE the idea of founding a Kingdom and then having parties of NPC adventurer's wandering through my territory engaging in quests, using my cities for resupply, and interacting with my government and Heroes. The NPCs need to have personality and priorities and their activities need to be visible and important to the Player. Let us issue quests that the NPCs can accomplish. Let the NPCs create situations that we will have to resolve, such as NPCs coming in and meddling with our affairs. Have some NPCs become major antagonists against us. For example, I am ruling as an evil despot. Let some NPCs vow to take me down, and have them start out engaging in small quests that are annoying, leading up to them working their way up to attacking me directly! Think of an RPG situation where you are the Hero trying to take down (or help) a Kingdom. Now flip it around, Dungeon Keeper style, and make the Player see things from the vantage point of the ruler.
3) Cities. Make cities more organic and lively. Don't allow them to all be the same, feel the same, and play the same. Make our decisions matter. The cities need more flavor and things to manage. We should need to worry about happiness, health, etc. If we build a big, unhappy slum, let the city look that way, play that way, and generate situations and quests that reflect the city's conditions. If we build an Inn, have it draw in or generate NPC adventurers who will then go to the Markets to buy equipment to go and raid nearby dungeons.
4) I really like how the quest system adds new places to explore, but make these places more dynamic and important. Raiding Bandit Camp #4 isn't much fun. Instead, have the quests tied to the gameworld. If I establish a trade route between myself and a friendly neighbor, have a bandit camp generated that will start raiding the route.
Just some ideas...not all original, but I would like to see where people feel we stand on the whole 'living world' concept at this point and for the future.