There is really no new news on this project. There is an updated Deformer Project Viewer. But the update is just blending all the other viewer changes into the Deformer Project. The Deformer has not changed, as best I can tell.
In the Metareality podcast this week Karl talked about lag from the Deformer and mesh clothes. Yes, there is lag caused by both. How much depends on how the mesh is made. Just as with other mesh objects we are finding out they can reduce lag compared to prims or increase it.
Mesh clothes are always going to increase an avatars polygon count. So, they will always add some lag. How much is dependent on how well the mesh is designed. Since there is little cost difference between poorly made and well made mesh clothes there is little incentive to make well made clothes, at least from a cost perspective.
