Final Fantasy XII is pretty high up there for me.

Bestiary entries are vast, almost a book in game format, and most add to lot of worldbuilding even if not needed for the main plot itself.

Also bosses, sidequests, enviromental cues seldom aren’t at least hinted by a few NPCs often dozens of hours before they’re relevant.

Overall details are often explained when you look in the right corners of the game. Even some weird weather cycles seem to have some logic applied. And in a single case, it felt inspired by a real-world element, one even Mad Max 4 used a cut in the beginning.

And I wonder if the sky-gazing kid in one of the airships that says she saw something in the sky was referring to Deathgaze or the continent from Revenant Wings…

Stalker trilogy, stalker 2

I want to answer Xenogears because of all of its story and storytelling, but the worldbuilding itself is kinda standard, if not for the scope of it. You do end up learning about pretty much everything there is to learn - the world and its history, the characters and what moves them, the politics, the conflicts, the geography, the physics, the religions, the supernatural, the origins of mankind - not to mention a full class on philosophy. And then whatever question you still have left, there’s a book about it in addition to the game.

And you start with a classic amnesiac character in a small village.

Horizon Zero Dawn is to this day the only game I have ever taken the time to listen to/read all the optional little lore drops in the world as I encountered it. Really well done IMO, even if the game is not overall that good, best world building I’ve experienced

Ace Combat. Seems rather dull on the face of it but goddamn are the geopolitics compelling.

Definitely Kenshi. Rather old title where the world feels somewhat desolated, but so well thought out at the same time. Every place has a story behind it

Little Nightmares 1 & 2. Cosmic horror very well executed. No real lore is ever given to you besides what you are shown through your travels and what little environmental storytelling exists.

Everything is vaguely familiar but off. Distorted, but in a way that you’re never quite sure whether everything in the world is supposed to be like that, or if something happened to make it that way. In fact, it’s not even officially cosmic horror. There is no Cthulhu-esque big bad revealed to be behind it all. The visuals of the games could even just be interpreted as on -the-nose allegory and metaphor, with a fairytale like quality, if not for the subtle hints at a prior normality in the background.

Another game with interesting worldbuilding is White or Black (by ZeroCreation).

In that one, humanity nearly destroyed itself after an incredibly devastating WW3. Therefore, to avoid the constant Cycling of Empires, a band of philosophers and religious people tried to make one final civilization that lasts forever, which completed its rise to world domination in the late 21st century. Some interesting tidbits about this final civilization:

• The final civilization restricts learning and innovation to things it deems safe to consume. It considers certain works to have a destabilizing effect on people, so it only allows trusted individuals to use them to achieve the civilization’s goals.
• The human species in the far future now engages with symbiosis with another species. As far as I can tell, these future humans mainly photosynthesize.
• Emotion is considered to be an outright SCP. The final civilization allows some of it, but too much can make areas uninhabitable.

Clair Obscur: Expedition 33 has one of the most interesting world in stories inside and outside of gaming. I hope we will see many more stories set in that world.

The hook alone is great.

So the people started sending out expeditions to find out wtf is going on.

The Pegasus Expedition

The worldbuilding is mostly based around the Pegasus Galaxy and how humanity wants to exploit it. The premise is this: Humanity is getting torn apart by an aggressive alien race called the Colossals, so they sent three fleets to the Pegasus Galaxy to get some resources and reinforcements. These fleets consist of the Middle East, the US, and the EU (the EU is playable); the Chinese fleets are instead holding the line by Earth.

When humanity enters the Pegasus Galaxy, they get a very frosty reception. They appear in an organization’s territory who immediate try to push the humans back to their portal. The organization is instead wiped out by the humans, and the organization’s bosses - resembling the Roman Empire - tells humanity to back off or the Empire will kick them out.

There’s some politics stuff that happens in the Middle Eastern and US fleets later on, as well as a Flood/Thing-esque crisis that shows up. In the end, the EU gathers up all of its new friends in the Pegasus Galaxy to push through Flood/Thing turf and rescue the humans on Earth.

The gameplay is a bit dodgy but I think the worldbuilding and story are rock solid.

I don’t know about favorite, but I did get lost once on the Dragon Age Wiki. Just reading and reading. There was way more lore than I realized. And I think this was before the third one even came out.

Trails in the Sky

I got sick about dystopian chaotic worlds that don’t work - where the hero’s journey is about saving the world from some impending ruin, or about preventing a starving dystopian city from being blown up.

In Trails, the conversations you have with NPCs remind you that while you’re on the trail of some bandits or suspicious people, other people are not evacuating, sheltering in fear, etc; they’re living their lives, keeping up to date on modern trends, making travel plans to other countries.

So, so many worlds just don’t have space for characters to have those thoughts. It’s always fear around impending disasters, or how to respond to a fight, or grim poetry about how much the world has fallen into darkness.

It especially hurts that some people live so much of their lives in these fictional worlds that they start to believe people would be like that when they go outside. Worlds like the one in Trails, even if they spend a lot of time being boringly polite, are a nice call back to reality.

Anything Warhammer 40k. The universe and the lore are amazing because they absorbed a lot of SciFi elements from literature. The games have often been underwhelming but when they’re good they’re really good.

The Portal games, but mostly Portal 2.

Apart from Mass Effect, Pillars of Eternity, and Deus Ex as others have already mentioned, I’d like to also add:

Grim Dawn.

The conflicts in its Universe feels reasonable, all the factions have their history and reasons of existence, there are beneficial and selfish, but no clear black and white, and everything interacts. The Lore is very good for an ARPG that focuses on combat, loots and built.