Here are two issues I’ve been having with normal maps. I’ve been having trouble finding other people with these issues, so I’m starting to think they might be caused by some sort of user error. I’ve been having these issues while baking in Blender internal, cycles and even Xnormal.
Problem 1: In many lighting conditions my normal maps are causing my mesh’s faces to be lit in such a way that individual faces are easily visible. Removing the normal map on my material fixes this issue and smoothing goes back to normal. Off-hand I don’t have any other rendering engines to test this issue with, but I assume it’s cycles-specific.
Problem 2: Normal map coloring is almost always inconsistent across UV seams. This problem is usually easy enough to paint over to fix, but that’s a short-term solution.