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I think Wing Commander was vaguely like this, and Air Force Delta Strike had goofy VN-style cutscenes between missions. I haven't played either of those games, but I've convinced myself that's what they were like.
Art in OP by @Heartbreak_Juan
This a bit more "period correct" in terms of how clouds and fog were done for these kinds of games, and the combination of both using dithering always made me worry about overdoing it. At some point dithering becomes noise across the entire screen, and TCA was riding that line.