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For a sound to be spatialized, you must ensure that sounds are set to use the bus to which you added OSP:

Ensure that your sound positioning is set to 3D:

Upon setting the sound to the OSP bus, a Mixer plug-in tab will show up on the sounds Sound Property Editor:

The following properties are applied per sound source.
Bypass Spatializer | Disables spatialization. Individual voices / actor-mixer channels may skip spatialization processing and go directly to native Wwise panning. |
Treat Sound As Ambisonic | Enable to treat sound as ambisonic instead of applying spatialization. Recommended for ambient or environmental sounds, i.e., any sound not produced by a visible actor in the scene. Note: attached sound must be in Ambix format. Please see Ambisonics in Supported Features for more information. |
Reflections Enabled | Enables early reflections. This greatly enhances the spatialization effect, but incurs a CPU hit. |
Oculus Attenuation Enabled | If selected, the audio source will use an internal amplitude attenuation falloff curve controlled by the Range Min/Max parameters. |
Attenuation Range Min | Sets the distance at which the audio source amplitude starts attenuating, in meters. It also influences the reflection/reverb system, even if Oculus attenuation is disabled. |
Attenuation Range Max | Sets the distance at which the audio source amplitude reaches full volume attenuation, in meters. It also influences the reflection/reverb system, even if Oculus attenuation is disabled. |
Currently, only mono (1-channel) and stereo (2-channel) sounds will spatialize. Any sounds with a higher channel count will not be spatialized.
A stereo sound will be collapsed down to a monophonic sound by having both channels mixed into a single channel and attenuated. Keep in mind that by collapsing the stereo sound to a mono sound, phasing anomalies with the audio spectrum may occur. It is highly recommended that the input sound is authored as a mono sound.
Spatialized sounds will not be able to use stereo spread to make a sound encompass the listener as it gets closer (this a common practice for current spatialization techniques).