I voted other like hcornea.
I make FSX GPs. I use calibrated 1014 or 2032 pixel squares to mark my polys out, then cut up the image and ad the border out to 1024 or 2048 (can be done in PS but I use Globalmapper).
I then use fixed sizes of GMAX polygons that correspond to the real world size of my PS layer squares and build up the full GP out of fixed sized polys or 1/2, 1/4, or 1/8th divisons of the full tile size if I am going to put multiple polys on one texture sheet.
Then raise that Poly off the ground 0.03m, clone another 2 of the full scene and place them 1m and 3m off the ground as LODs, and curve the lower layer to match the earths curvature using the softselect in GMAX.
Something that you could cut up a PSD/PSB/Tiff/BigTIFF/Geotiff based on markings in a layer in PS or a KML and then build up a poly/mesh based on that and apply the cut-up tiles and create materials with the appropriate settings. Then make the LOD closest to the ground match the earth's curvature, auto add the borders to the tile diffuse and tile alpha source, set the material settings, and generate a GMAX scene for further tweaking of the LODs. That is what I'd be looking for the way I do them. Some way to handle the line creaton would be ince too, but that would be a bit harder to implement.
cheers
Bungo