Advance lighting does a good job by its own on calculating the shadows on the object, but its with the use of normal maps, difuse maps and specular maps that the models really shine as the light bounces realistically from the object and textures start looking more realistic and less flat.
Little things as the hair and skin really becomes alive and the use of specular maps really gives the skin that porcelain and delicate look you expect from real babies.
It´s also possible to use this process on the design studio, but because generating and understanding normal maps and specular maps isn´t easy, I don´t expect many builders could really take good use of this feature.
Anyway expect soon an big update on the 3.0 babies to incorporate this new feature that will make the babies much more life like, at least for the users who can handle advance lighting.
And don´t forget we are in the final days of the promotion to upgrade to 3.0 with 75% discount