Balder supports the image formats that the underlying platform supports. For Silverlight this is JPEG and PNG in different depths. All images are handled internally as 32 bits per pixel.
ASE (3DSMAX ASCII Scene Export) is the only supported format. There are limitations to the support as well, it only supports one object per file. Material support is limited to diffuse texturemapping. Not defining a texture will result in a single colored object
and its color is decided by the lighting in the 3D scene at the moment.
Sprites support alpha channel blending during rendering, this is not supported for texturemapping yet. Any transparent pixels will therefor be set to the color of the pixel totally ignoring the alpha value.
Windows Phone 7
For now, the 3D rendering in Windows Phone 7 does not support the advanced lighting. It uses the build in shaders, which has a different lighting than Balder uses for Silverlight. The reason for this is that it is not possible to write your own shaders for
Windows Phone 7.