When I think of interactive dialogue, I think of Mass Effect. This actually disappoints me, because obviously interactive dialogue has been around far longer than the Mass Effect franchise, longer even than BioWare’s other projects like Knights of the Old Republic or Neverwinter Nights, and maybe even Baldur’s Gate.
But I think Mass Effect probably did interactive dialogue the best.
I love dialogue options that affect the story, and I love dialogue options that affect not only the story but your character even more. KotOR did this very well too, of course. Other games have as well. But none of them have as done interactive dialogue as well as Mass Effect.
A theme of my design decision list has been innovations that pull players further into the game, making the games more of an interactive experience. Passive dialogue can be tiresome, particularly after multiple playthroughs. Interactive dialogue makes reading text part of the gameplay process, which results in less tedium. Less tedium means better games. Better games mean world peace.
Thank you, BioWare, for your doing your part for the world.