In the video linked below is a showcase of what i'm going to attempt to write up. The reason i recorded it is because (1) it gives proof that the issue is real and (2) it explains the issue much better than i probably can in writing.

The bug involves instancing/phasing. Quite a few of my clan mates and myself have commented that despite the game running on a 'Mega server' how poorly populated it is. We should surely be seeing hundreds of fellow Aldmeri Dominion players running around? It seems too quiet, especially compared to the beta.

Well, unbeknownst to me last night, although i had a suspicion, the game is now Phasing and/or Instancing players. I'd created my character and set off adventuring in Khenarthi's Roost around the Temple of the Mourning Spring and was partied up with one of my fellow clan mates who was on the other side. He'd made his way to me and i could only see the chevron but not the player. But then in certain other areas of the Temple, like the Serpent and Scorpion wards i could see him. In most other area's i could not.

This happened to me for quite a while with this clan mate so i used the 'Travel to Player' function available in the Group, Guild, and i believe also the Friend's Menus as a way of not only traveling to a Wayshrine nearby but also to the same 'Instance'. It seemed to have worked as we could now see each other. We then carried on on our merry little way. Some members were saying it was because we were at different parts of the quest, but that would be a horrible design decision of it was.

Much later on, the video below was recorded at around 07:30am and we had visible proof of the issue i'd suffered from earlier actually manifesting. Which is what is in the video below.

http://youtu.be/TTZ5ALZ-c3U

Now, i can understand possibly the reasons as to why such mechanisms would be put into place.

1: To stop zerg'ing and steam rolling through content.
2: To give players a chance to actually loot items because of the Global Loot System (which i REALLY like, please don't remove the global loot! Its so old school its refreshing!).
3: To ease load on the servers and prevent excessive lag.

These are perfectly understandable reasons for having such a system. However, as you can see in the video above. It is ruining peoples experience within the game. Only once have i actually been able to play with a clan mate / friend and his client was constantly crashing on him, he was also playing from the United States on the EU Servers.

I'm hoping this is just a bug and gets fixed. Otherwise Zenimax... things need to change.