I recently discovered this not so new software called geoControl which has just come out with version 2.. and has added a bunch of new features. I have seen everything in the software yet. especially the new isolines features, but for the general aspect of terrain generation was quite strong,

Below is an examples that i rendered of the output of geoControl, very basic stuff.. made from a DEM map which i converted to terragen TER file , and then got into geocontrol2 to render, after tweaking various options inside the software i managed to get a lot of different variations.. i wish the software was more interactive on render, but right now its like u do a bunch of slider changes and then hit render, even u rotate the model. i tried 1024 resolution and was very in satified with the results, maybe its made for some other purpose.  All the below images are with a 2048 texture/displacement  resolution. which takes about 10-15 mins to render.

Somehow the thumbnails look blur.  Click on the images for bigger sharper preview.

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MORE LINKS
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GeoControl 2 Offical Website – http://www.geocontrol2.com/
GeoControl 2 Features -  http://www.geocontrol2.com/e_geocontrol_geocontrol2.htm