Originally Posted By: Kartoffel
(I think Nils has to answer the second question (no offense :P))

Actually, Sid gave you a perfectly good answer.... We use SAO, which is short for Scalable Ambient Obscurance: http://graphics.cs.williams.edu/papers/SAOHPG12/
It is pretty much plug and play and comes with an amazing quality but on the other hand my mobile graphics card doesn´t like it too much tongue

Lite-C Tut. 1 Lite-C Tut. 2 Lite-C Tut. 3 (en)
Shader Tutorial (ger)

http://www.slindev.com