diff --git a/CHANGES.md b/CHANGES.md
index ddfc6d8b6fc..eecd5163c20 100644
--- a/CHANGES.md
+++ b/CHANGES.md
@@ -9,6 +9,7 @@
 - Billboards using `imageSubRegion` now render as expected. [#12585](https://github.com/CesiumGS/cesium/issues/12585)
 - Improved scaling of SVGs in billboards [#13020](https://github.com/CesiumGS/cesium/issues/13020)
 - Fixed unexpected outline artifacts around billboards [#13038](https://github.com/CesiumGS/cesium/issues/13038)
+- Fixed image alignment in large billboard collections [#13042](https://github.com/CesiumGS/cesium/issues/13042)
 
 #### Additions :tada:
 
diff --git a/packages/engine/Source/Renderer/TextureAtlas.js b/packages/engine/Source/Renderer/TextureAtlas.js
index ba3575b57e9..f61822f826a 100644
--- a/packages/engine/Source/Renderer/TextureAtlas.js
+++ b/packages/engine/Source/Renderer/TextureAtlas.js
@@ -364,26 +364,17 @@ TextureAtlas.prototype._resize = function (context, queueOffset = 0) {
     toPack.push(queue[i]);
   }
 
-  // At minimum, the texture will need to scale to accommodate the largest width and height
-  width = Math.max(maxWidth, width);
-  height = Math.max(maxHeight, height);
+  // At minimum, atlas must fit its largest input images. Texture coordinates are
+  // compressed to 0–1 with 12-bit precision, so use power-of-two size to align pixels.
+  width = CesiumMath.nextPowerOfTwo(Math.max(maxWidth, width));
+  height = CesiumMath.nextPowerOfTwo(Math.max(maxHeight, height));
 
-  if (!context.webgl2) {
-    width = CesiumMath.nextPowerOfTwo(width);
-    height = CesiumMath.nextPowerOfTwo(height);
-  }
-
-  // Determine by what factor the texture need to be scaled by at minimum
-  const areaDifference = areaQueued;
-  let scalingFactor = 1.0;
-  while (areaDifference / width / height >= 1.0) {
-    scalingFactor *= 2.0;
-
-    // Resize by one dimension
+  // Iteratively double the smallest dimension until atlas area is (approximately) sufficient.
+  while (areaQueued >= width * height) {
     if (width > height) {
-      height *= scalingFactor;
+      height *= 2;
     } else {
-      width *= scalingFactor;
+      width *= 2;
     }
   }
 
diff --git a/packages/engine/Source/Scene/BillboardCollection.js b/packages/engine/Source/Scene/BillboardCollection.js
index 23d28da8bf9..a2ab50ea202 100644
--- a/packages/engine/Source/Scene/BillboardCollection.js
+++ b/packages/engine/Source/Scene/BillboardCollection.js
@@ -57,25 +57,7 @@ const SDF_INDEX = Billboard.SDF_INDEX;
 const SPLIT_DIRECTION_INDEX = Billboard.SPLIT_DIRECTION_INDEX;
 const NUMBER_OF_PROPERTIES = Billboard.NUMBER_OF_PROPERTIES;
 
-let attributeLocations;
-
-const attributeLocationsBatched = {
-  positionHighAndScale: 0,
-  positionLowAndRotation: 1,
-  compressedAttribute0: 2, // pixel offset, translate, horizontal origin, vertical origin, show, direction, texture coordinates
-  compressedAttribute1: 3, // aligned axis, translucency by distance, image width
-  compressedAttribute2: 4, // image height, color, pick color, size in meters, valid aligned axis, 13 bits free
-  eyeOffset: 5, // 4 bytes free
-  scaleByDistance: 6,
-  pixelOffsetScaleByDistance: 7,
-  compressedAttribute3: 8,
-  textureCoordinateBoundsOrLabelTranslate: 9,
-  a_batchId: 10,
-  sdf: 11,
-  splitDirection: 12,
-};
-
-const attributeLocationsInstanced = {
+const attributeLocations = {
   direction: 0,
   positionHighAndScale: 1,
   positionLowAndRotation: 2, // texture offset in w
@@ -674,44 +656,7 @@ BillboardCollection.prototype.get = function (index) {
   return this._billboards[index];
 };
 
-let getIndexBuffer;
-
-function getIndexBufferBatched(context) {
-  const sixteenK = 16 * 1024;
-
-  let indexBuffer = context.cache.billboardCollection_indexBufferBatched;
-  if (defined(indexBuffer)) {
-    return indexBuffer;
-  }
-
-  // Subtract 6 because the last index is reserverd for primitive restart.
-  // https://www.khronos.org/registry/webgl/specs/latest/2.0/#5.18
-  const length = sixteenK * 6 - 6;
-  const indices = new Uint16Array(length);
-  for (let i = 0, j = 0; i < length; i += 6, j += 4) {
-    indices[i] = j;
-    indices[i + 1] = j + 1;
-    indices[i + 2] = j + 2;
-
-    indices[i + 3] = j + 0;
-    indices[i + 4] = j + 2;
-    indices[i + 5] = j + 3;
-  }
-
-  // PERFORMANCE_IDEA:  Should we reference count billboard collections, and eventually delete this?
-  // Is this too much memory to allocate up front?  Should we dynamically grow it?
-  indexBuffer = Buffer.createIndexBuffer({
-    context: context,
-    typedArray: indices,
-    usage: BufferUsage.STATIC_DRAW,
-    indexDatatype: IndexDatatype.UNSIGNED_SHORT,
-  });
-  indexBuffer.vertexArrayDestroyable = false;
-  context.cache.billboardCollection_indexBufferBatched = indexBuffer;
-  return indexBuffer;
-}
-
-function getIndexBufferInstanced(context) {
+function getIndexBuffer(context) {
   let indexBuffer = context.cache.billboardCollection_indexBufferInstanced;
   if (defined(indexBuffer)) {
     return indexBuffer;
@@ -761,14 +706,7 @@ BillboardCollection.prototype.computeNewBuffersUsage = function () {
   return usageChanged;
 };
 
-function createVAF(
-  context,
-  numberOfBillboards,
-  buffersUsage,
-  instanced,
-  batchTable,
-  sdf,
-) {
+function createVAF(context, numberOfBillboards, buffersUsage, batchTable, sdf) {
   const attributes = [
     {
       index: attributeLocations.positionHighAndScale,
@@ -839,14 +777,12 @@ function createVAF(
   ];
 
   // Instancing requires one non-instanced attribute.
-  if (instanced) {
-    attributes.push({
-      index: attributeLocations.direction,
-      componentsPerAttribute: 2,
-      componentDatatype: ComponentDatatype.FLOAT,
-      vertexBuffer: getVertexBufferInstanced(context),
-    });
-  }
+  attributes.push({
+    index: attributeLocations.direction,
+    componentsPerAttribute: 2,
+    componentDatatype: ComponentDatatype.FLOAT,
+    vertexBuffer: getVertexBufferInstanced(context),
+  });
 
   if (defined(batchTable)) {
     attributes.push({
@@ -867,10 +803,8 @@ function createVAF(
   }
 
   // When instancing is enabled, only one vertex is needed for each billboard.
-  const sizeInVertices = instanced
-    ? numberOfBillboards
-    : 4 * numberOfBillboards;
-  return new VertexArrayFacade(context, attributes, sizeInVertices, instanced);
+  const sizeInVertices = numberOfBillboards;
+  return new VertexArrayFacade(context, attributes, sizeInVertices, true);
 }
 
 ///////////////////////////////////////////////////////////////////////////
@@ -888,7 +822,6 @@ function writePositionScaleAndRotation(
   vafWriters,
   billboard,
 ) {
-  let i;
   const positionHighWriter =
     vafWriters[attributeLocations.positionHighAndScale];
   const positionLowWriter =
@@ -920,22 +853,9 @@ function writePositionScaleAndRotation(
   const high = writePositionScratch.high;
   const low = writePositionScratch.low;
 
-  if (billboardCollection._instanced) {
-    i = billboard._index;
-    positionHighWriter(i, high.x, high.y, high.z, scale);
-    positionLowWriter(i, low.x, low.y, low.z, rotation);
-  } else {
-    i = billboard._index * 4;
-    positionHighWriter(i + 0, high.x, high.y, high.z, scale);
-    positionHighWriter(i + 1, high.x, high.y, high.z, scale);
-    positionHighWriter(i + 2, high.x, high.y, high.z, scale);
-    positionHighWriter(i + 3, high.x, high.y, high.z, scale);
-
-    positionLowWriter(i + 0, low.x, low.y, low.z, rotation);
-    positionLowWriter(i + 1, low.x, low.y, low.z, rotation);
-    positionLowWriter(i + 2, low.x, low.y, low.z, rotation);
-    positionLowWriter(i + 3, low.x, low.y, low.z, rotation);
-  }
+  const i = billboard._index;
+  positionHighWriter(i, high.x, high.y, high.z, scale);
+  positionLowWriter(i, low.x, low.y, low.z, rotation);
 }
 
 const scratchCartesian2 = new Cartesian2();
@@ -952,11 +872,6 @@ const LEFT_SHIFT2 = 4.0;
 
 const RIGHT_SHIFT8 = 1.0 / 256.0;
 
-const LOWER_LEFT = 0.0;
-const LOWER_RIGHT = 2.0;
-const UPPER_RIGHT = 3.0;
-const UPPER_LEFT = 1.0;
-
 const scratchBoundingRectangle = new BoundingRectangle();
 
 function writeCompressedAttrib0(
@@ -965,7 +880,6 @@ function writeCompressedAttrib0(
   vafWriters,
   billboard,
 ) {
-  let i;
   const writer = vafWriters[attributeLocations.compressedAttribute0];
   const pixelOffset = billboard.pixelOffset;
   const pixelOffsetX = pixelOffset.x;
@@ -1005,8 +919,6 @@ function writeCompressedAttrib0(
 
   let bottomLeftX = 0;
   let bottomLeftY = 0;
-  let width = 0;
-  let height = 0;
   if (billboard.ready) {
     const imageRectangle = billboard.computeTextureCoordinates(
       scratchBoundingRectangle,
@@ -1014,11 +926,7 @@ function writeCompressedAttrib0(
 
     bottomLeftX = imageRectangle.x;
     bottomLeftY = imageRectangle.y;
-    width = imageRectangle.width;
-    height = imageRectangle.height;
   }
-  const topRightX = bottomLeftX + width;
-  const topRightY = bottomLeftY + height;
 
   let compressed0 =
     Math.floor(
@@ -1059,50 +967,9 @@ function writeCompressedAttrib0(
   scratchCartesian2.y = bottomLeftY;
   const compressedTexCoordsLL =
     AttributeCompression.compressTextureCoordinates(scratchCartesian2);
-  scratchCartesian2.x = topRightX;
-  const compressedTexCoordsLR =
-    AttributeCompression.compressTextureCoordinates(scratchCartesian2);
-  scratchCartesian2.y = topRightY;
-  const compressedTexCoordsUR =
-    AttributeCompression.compressTextureCoordinates(scratchCartesian2);
-  scratchCartesian2.x = bottomLeftX;
-  const compressedTexCoordsUL =
-    AttributeCompression.compressTextureCoordinates(scratchCartesian2);
 
-  if (billboardCollection._instanced) {
-    i = billboard._index;
-    writer(i, compressed0, compressed1, compressed2, compressedTexCoordsLL);
-  } else {
-    i = billboard._index * 4;
-    writer(
-      i + 0,
-      compressed0 + LOWER_LEFT,
-      compressed1,
-      compressed2,
-      compressedTexCoordsLL,
-    );
-    writer(
-      i + 1,
-      compressed0 + LOWER_RIGHT,
-      compressed1,
-      compressed2,
-      compressedTexCoordsLR,
-    );
-    writer(
-      i + 2,
-      compressed0 + UPPER_RIGHT,
-      compressed1,
-      compressed2,
-      compressedTexCoordsUR,
-    );
-    writer(
-      i + 3,
-      compressed0 + UPPER_LEFT,
-      compressed1,
-      compressed2,
-      compressedTexCoordsUL,
-    );
-  }
+  const i = billboard._index;
+  writer(i, compressed0, compressed1, compressed2, compressedTexCoordsLL);
 }
 
 function writeCompressedAttrib1(
@@ -1111,7 +978,6 @@ function writeCompressedAttrib1(
   vafWriters,
   billboard,
 ) {
-  let i;
   const writer = vafWriters[attributeLocations.compressedAttribute1];
   const alignedAxis = billboard.alignedAxis;
   if (!Cartesian3.equals(alignedAxis, Cartesian3.ZERO)) {
@@ -1161,16 +1027,8 @@ function writeCompressedAttrib1(
   farValue = farValue === 1.0 ? 255.0 : (farValue * 255.0) | 0;
   compressed1 = compressed1 * LEFT_SHIFT8 + farValue;
 
-  if (billboardCollection._instanced) {
-    i = billboard._index;
-    writer(i, compressed0, compressed1, near, far);
-  } else {
-    i = billboard._index * 4;
-    writer(i + 0, compressed0, compressed1, near, far);
-    writer(i + 1, compressed0, compressed1, near, far);
-    writer(i + 2, compressed0, compressed1, near, far);
-    writer(i + 3, compressed0, compressed1, near, far);
-  }
+  const i = billboard._index;
+  writer(i, compressed0, compressed1, near, far);
 }
 
 function writeCompressedAttrib2(
@@ -1179,7 +1037,6 @@ function writeCompressedAttrib2(
   vafWriters,
   billboard,
 ) {
-  let i;
   const writer = vafWriters[attributeLocations.compressedAttribute2];
   const color = billboard.color;
   const pickColor = !defined(billboardCollection._batchTable)
@@ -1219,16 +1076,8 @@ function writeCompressedAttrib2(
     Color.floatToByte(pickColor.alpha) * LEFT_SHIFT8;
   compressed2 += sizeInMeters * 2.0 + validAlignedAxis;
 
-  if (billboardCollection._instanced) {
-    i = billboard._index;
-    writer(i, compressed0, compressed1, compressed2, compressed3);
-  } else {
-    i = billboard._index * 4;
-    writer(i + 0, compressed0, compressed1, compressed2, compressed3);
-    writer(i + 1, compressed0, compressed1, compressed2, compressed3);
-    writer(i + 2, compressed0, compressed1, compressed2, compressed3);
-    writer(i + 3, compressed0, compressed1, compressed2, compressed3);
-  }
+  const i = billboard._index;
+  writer(i, compressed0, compressed1, compressed2, compressed3);
 }
 
 function writeEyeOffset(
@@ -1237,7 +1086,6 @@ function writeEyeOffset(
   vafWriters,
   billboard,
 ) {
-  let i;
   const writer = vafWriters[attributeLocations.eyeOffset];
   const eyeOffset = billboard.eyeOffset;
 
@@ -1253,31 +1101,23 @@ function writeEyeOffset(
     Math.abs(eyeOffsetZ),
   );
 
-  if (billboardCollection._instanced) {
-    scratchCartesian2.x = 0;
-    scratchCartesian2.y = 0;
+  scratchCartesian2.x = 0;
+  scratchCartesian2.y = 0;
 
-    if (billboard.ready) {
-      const imageRectangle = billboard.computeTextureCoordinates(
-        scratchBoundingRectangle,
-      );
+  if (billboard.ready) {
+    const imageRectangle = billboard.computeTextureCoordinates(
+      scratchBoundingRectangle,
+    );
 
-      scratchCartesian2.x = imageRectangle.width;
-      scratchCartesian2.y = imageRectangle.height;
-    }
+    scratchCartesian2.x = imageRectangle.width;
+    scratchCartesian2.y = imageRectangle.height;
+  }
 
-    const compressedTexCoordsRange =
-      AttributeCompression.compressTextureCoordinates(scratchCartesian2);
+  const compressedTexCoordsRange =
+    AttributeCompression.compressTextureCoordinates(scratchCartesian2);
 
-    i = billboard._index;
-    writer(i, eyeOffset.x, eyeOffset.y, eyeOffsetZ, compressedTexCoordsRange);
-  } else {
-    i = billboard._index * 4;
-    writer(i + 0, eyeOffset.x, eyeOffset.y, eyeOffsetZ, 0.0);
-    writer(i + 1, eyeOffset.x, eyeOffset.y, eyeOffsetZ, 0.0);
-    writer(i + 2, eyeOffset.x, eyeOffset.y, eyeOffsetZ, 0.0);
-    writer(i + 3, eyeOffset.x, eyeOffset.y, eyeOffsetZ, 0.0);
-  }
+  const i = billboard._index;
+  writer(i, eyeOffset.x, eyeOffset.y, eyeOffsetZ, compressedTexCoordsRange);
 }
 
 function writeScaleByDistance(
@@ -1286,7 +1126,6 @@ function writeScaleByDistance(
   vafWriters,
   billboard,
 ) {
-  let i;
   const writer = vafWriters[attributeLocations.scaleByDistance];
   let near = 0.0;
   let nearValue = 1.0;
@@ -1307,16 +1146,8 @@ function writeScaleByDistance(
     }
   }
 
-  if (billboardCollection._instanced) {
-    i = billboard._index;
-    writer(i, near, nearValue, far, farValue);
-  } else {
-    i = billboard._index * 4;
-    writer(i + 0, near, nearValue, far, farValue);
-    writer(i + 1, near, nearValue, far, farValue);
-    writer(i + 2, near, nearValue, far, farValue);
-    writer(i + 3, near, nearValue, far, farValue);
-  }
+  const i = billboard._index;
+  writer(i, near, nearValue, far, farValue);
 }
 
 function writePixelOffsetScaleByDistance(
@@ -1325,7 +1156,6 @@ function writePixelOffsetScaleByDistance(
   vafWriters,
   billboard,
 ) {
-  let i;
   const writer = vafWriters[attributeLocations.pixelOffsetScaleByDistance];
   let near = 0.0;
   let nearValue = 1.0;
@@ -1346,16 +1176,8 @@ function writePixelOffsetScaleByDistance(
     }
   }
 
-  if (billboardCollection._instanced) {
-    i = billboard._index;
-    writer(i, near, nearValue, far, farValue);
-  } else {
-    i = billboard._index * 4;
-    writer(i + 0, near, nearValue, far, farValue);
-    writer(i + 1, near, nearValue, far, farValue);
-    writer(i + 2, near, nearValue, far, farValue);
-    writer(i + 3, near, nearValue, far, farValue);
-  }
+  const i = billboard._index;
+  writer(i, near, nearValue, far, farValue);
 }
 
 function writeCompressedAttribute3(
@@ -1364,7 +1186,6 @@ function writeCompressedAttribute3(
   vafWriters,
   billboard,
 ) {
-  let i;
   const writer = vafWriters[attributeLocations.compressedAttribute3];
   let near = 0.0;
   let far = Number.MAX_VALUE;
@@ -1408,16 +1229,8 @@ function writeCompressedAttribute3(
   const h = Math.floor(CesiumMath.clamp(imageHeight, 0.0, LEFT_SHIFT12));
   const dimensions = w * LEFT_SHIFT12 + h;
 
-  if (billboardCollection._instanced) {
-    i = billboard._index;
-    writer(i, near, far, disableDepthTestDistance, dimensions);
-  } else {
-    i = billboard._index * 4;
-    writer(i + 0, near, far, disableDepthTestDistance, dimensions);
-    writer(i + 1, near, far, disableDepthTestDistance, dimensions);
-    writer(i + 2, near, far, disableDepthTestDistance, dimensions);
-    writer(i + 3, near, far, disableDepthTestDistance, dimensions);
-  }
+  const i = billboard._index;
+  writer(i, near, far, disableDepthTestDistance, dimensions);
 }
 
 function writeTextureCoordinateBoundsOrLabelTranslate(
@@ -1449,16 +1262,9 @@ function writeTextureCoordinateBoundsOrLabelTranslate(
       translateX = billboard._labelTranslate.x;
       translateY = billboard._labelTranslate.y;
     }
-    if (billboardCollection._instanced) {
-      i = billboard._index;
-      writer(i, translateX, translateY, 0.0, 0.0);
-    } else {
-      i = billboard._index * 4;
-      writer(i + 0, translateX, translateY, 0.0, 0.0);
-      writer(i + 1, translateX, translateY, 0.0, 0.0);
-      writer(i + 2, translateX, translateY, 0.0, 0.0);
-      writer(i + 3, translateX, translateY, 0.0, 0.0);
-    }
+
+    i = billboard._index;
+    writer(i, translateX, translateY, 0.0, 0.0);
     return;
   }
 
@@ -1480,16 +1286,8 @@ function writeTextureCoordinateBoundsOrLabelTranslate(
   const maxX = minX + width;
   const maxY = minY + height;
 
-  if (billboardCollection._instanced) {
-    i = billboard._index;
-    writer(i, minX, minY, maxX, maxY);
-  } else {
-    i = billboard._index * 4;
-    writer(i + 0, minX, minY, maxX, maxY);
-    writer(i + 1, minX, minY, maxX, maxY);
-    writer(i + 2, minX, minY, maxX, maxY);
-    writer(i + 3, minX, minY, maxX, maxY);
-  }
+  i = billboard._index;
+  writer(i, minX, minY, maxX, maxY);
 }
 
 function writeBatchId(billboardCollection, frameState, vafWriters, billboard) {
@@ -1500,17 +1298,8 @@ function writeBatchId(billboardCollection, frameState, vafWriters, billboard) {
   const writer = vafWriters[attributeLocations.a_batchId];
   const id = billboard._batchIndex;
 
-  let i;
-  if (billboardCollection._instanced) {
-    i = billboard._index;
-    writer(i, id);
-  } else {
-    i = billboard._index * 4;
-    writer(i + 0, id);
-    writer(i + 1, id);
-    writer(i + 2, id);
-    writer(i + 3, id);
-  }
+  const i = billboard._index;
+  writer(i, id);
 }
 
 function writeSDF(billboardCollection, frameState, vafWriters, billboard) {
@@ -1518,7 +1307,6 @@ function writeSDF(billboardCollection, frameState, vafWriters, billboard) {
     return;
   }
 
-  let i;
   const writer = vafWriters[attributeLocations.sdf];
 
   const outlineColor = billboard.outlineColor;
@@ -1535,16 +1323,8 @@ function writeSDF(billboardCollection, frameState, vafWriters, billboard) {
     Color.floatToByte(outlineColor.alpha) * LEFT_SHIFT16 +
     Color.floatToByte(outlineDistance) * LEFT_SHIFT8;
 
-  if (billboardCollection._instanced) {
-    i = billboard._index;
-    writer(i, compressed0, compressed1);
-  } else {
-    i = billboard._index * 4;
-    writer(i + 0, compressed0 + LOWER_LEFT, compressed1);
-    writer(i + 1, compressed0 + LOWER_RIGHT, compressed1);
-    writer(i + 2, compressed0 + UPPER_RIGHT, compressed1);
-    writer(i + 3, compressed0 + UPPER_LEFT, compressed1);
-  }
+  const i = billboard._index;
+  writer(i, compressed0, compressed1);
 }
 
 function writeSplitDirection(
@@ -1561,17 +1341,8 @@ function writeSplitDirection(
     direction = split;
   }
 
-  let i;
-  if (billboardCollection._instanced) {
-    i = billboard._index;
-    writer(i, direction);
-  } else {
-    i = billboard._index * 4;
-    writer(i + 0, direction);
-    writer(i + 1, direction);
-    writer(i + 2, direction);
-    writer(i + 3, direction);
-  }
+  const i = billboard._index;
+  writer(i, direction);
 }
 
 function writeBillboard(
@@ -1783,13 +1554,6 @@ BillboardCollection.prototype.update = function (frameState) {
   }
 
   const context = frameState.context;
-  this._instanced = context.instancedArrays;
-  attributeLocations = this._instanced
-    ? attributeLocationsInstanced
-    : attributeLocationsBatched;
-  getIndexBuffer = this._instanced
-    ? getIndexBufferInstanced
-    : getIndexBufferBatched;
 
   let billboards = this._billboards;
   let billboardsLength = billboards.length;
@@ -1862,7 +1626,6 @@ BillboardCollection.prototype.update = function (frameState) {
         context,
         billboardsLength,
         this._buffersUsage,
-        this._instanced,
         this._batchTable,
         this._sdf,
       );
@@ -1902,9 +1665,7 @@ BillboardCollection.prototype.update = function (frameState) {
       properties[SHOW_INDEX]
     ) {
       writers.push(writeCompressedAttrib0);
-      if (this._instanced) {
-        writers.push(writeEyeOffset);
-      }
+      writers.push(writeEyeOffset);
     }
 
     if (
@@ -1981,11 +1742,7 @@ BillboardCollection.prototype.update = function (frameState) {
           writers[o](this, frameState, vafWriters, bb);
         }
 
-        if (this._instanced) {
-          this._vaf.subCommit(bb._index, 1);
-        } else {
-          this._vaf.subCommit(bb._index * 4, 4);
-        }
+        this._vaf.subCommit(bb._index, 1);
       }
       this._vaf.endSubCommits();
     }
@@ -2119,9 +1876,6 @@ BillboardCollection.prototype.update = function (frameState) {
       defines: vertDefines,
       sources: [vsSource],
     });
-    if (this._instanced) {
-      vs.defines.push("INSTANCED");
-    }
     if (this._shaderRotation) {
       vs.defines.push("ROTATION");
     }
@@ -2321,10 +2075,8 @@ BillboardCollection.prototype.update = function (frameState) {
       command.debugShowBoundingVolume = this.debugShowBoundingVolume;
       command.pickId = pickId;
 
-      if (this._instanced) {
-        command.count = 6;
-        command.instanceCount = billboardsLength;
-      }
+      command.count = 6;
+      command.instanceCount = billboardsLength;
 
       commandList.push(command);
     }
diff --git a/packages/engine/Source/Shaders/BillboardCollectionVS.glsl b/packages/engine/Source/Shaders/BillboardCollectionVS.glsl
index c258b09bb10..c4c61c3bdd2 100644
--- a/packages/engine/Source/Shaders/BillboardCollectionVS.glsl
+++ b/packages/engine/Source/Shaders/BillboardCollectionVS.glsl
@@ -1,7 +1,5 @@
 uniform float u_threePointDepthTestDistance;
-#ifdef INSTANCED
 in vec2 direction;
-#endif
 in vec4 positionHighAndScale;
 in vec4 positionLowAndRotation;
 in vec4 compressedAttribute0;                       // pixel offset, translate, horizontal origin, vertical origin, show, direction, texture coordinates (texture offset)
@@ -146,17 +144,9 @@ void main()
     float show = floor(compressed * SHIFT_RIGHT2);
     compressed -= show * SHIFT_LEFT2;
 
-#ifdef INSTANCED
     vec2 textureCoordinatesBottomLeft = czm_decompressTextureCoordinates(compressedAttribute0.w);
     vec2 textureCoordinatesRange = czm_decompressTextureCoordinates(eyeOffset.w);
     vec2 textureCoordinates = textureCoordinatesBottomLeft + direction * textureCoordinatesRange;
-#else
-    vec2 direction;
-    direction.x = floor(compressed * SHIFT_RIGHT1);
-    direction.y = compressed - direction.x * SHIFT_LEFT1;
-
-    vec2 textureCoordinates = czm_decompressTextureCoordinates(compressedAttribute0.w);
-#endif
 
     float temp = compressedAttribute0.y  * SHIFT_RIGHT8;
     pixelOffset.y = -(floor(temp) - UPPER_BOUND);
@@ -328,7 +318,7 @@ void main()
 if (lengthSq < (u_threePointDepthTestDistance * u_threePointDepthTestDistance) && (enableDepthCheck == 1.0)) {
     float depthsilon = 10.0;
     vec2 depthOrigin;
-    // Horizontal origin for labels comes from a special attribute. If that value is 0, this is a billboard - use the regular origin. 
+    // Horizontal origin for labels comes from a special attribute. If that value is 0, this is a billboard - use the regular origin.
     // Otherwise, transform the label origin to -1, 0, 1 (right, center, left).
     depthOrigin.x = floor(compressedAttribute2.w - (temp2 * SHIFT_LEFT2));
     depthOrigin.x = czm_branchFreeTernary(depthOrigin.x == 0.0, origin.x, depthOrigin.x - 2.0);
diff --git a/packages/engine/Specs/Renderer/TextureAtlasSpec.js b/packages/engine/Specs/Renderer/TextureAtlasSpec.js
index a5026921a73..4faeeb02130 100644
--- a/packages/engine/Specs/Renderer/TextureAtlasSpec.js
+++ b/packages/engine/Specs/Renderer/TextureAtlasSpec.js
@@ -704,56 +704,16 @@ describe("Scene/TextureAtlas", function () {
         expect(index2).toEqual(2);
         expect(index3).toEqual(3);
 
-        // Webgl1 textures should only be powers of 2
-        const isWebGL2 = scene.frameState.context.webgl2;
-        const textureWidth = isWebGL2 ? 20 : 32;
-        const textureHeight = isWebGL2 ? 32 : 16;
+        const textureWidth = 32;
+        const textureHeight = 16;
 
         const texture = atlas.texture;
         expect(texture.pixelFormat).toEqual(PixelFormat.RGBA);
         expect(texture.width).toEqual(textureWidth);
         expect(texture.height).toEqual(textureHeight);
 
-        if (isWebGL2) {
-          expect(drawAtlas(atlas, [index0, index1, index2, index3])).toBe(
-            `
-....................
-....................
-....................
-....................
-....................
-....................
-2222222222..........
-2222222222..........
-2222222222..........
-2222222222..........
-2222222222..........
-2222222222..........
-2222222222..........
-2222222222..........
-2222222222..........
-2222222222..........
-3333333333333333....
-3333333333333333....
-3333333333333333....
-3333333333333333....
-3333333333333333....
-3333333333333333....
-3333333333333333....
-3333333333333333....
-3333333333333333....
-3333333333333333....
-3333333333333333....
-3333333333333333....
-33333333333333330...
-33333333333333330...
-33333333333333330...
-333333333333333301..
-          `.trim(),
-          );
-        } else {
-          expect(drawAtlas(atlas, [index0, index1, index2, index3])).toBe(
-            `
+        expect(drawAtlas(atlas, [index0, index1, index2, index3])).toBe(
+          `
 3333333333333333................
 3333333333333333................
 3333333333333333................
@@ -771,8 +731,7 @@ describe("Scene/TextureAtlas", function () {
 333333333333333322222222220.....
 3333333333333333222222222201....
           `.trim(),
-          );
-        }
+        );
 
         let textureCoordinates = atlas.computeTextureCoordinates(index0);
         expect(
@@ -1456,6 +1415,71 @@ describe("Scene/TextureAtlas", function () {
         expect(guid1).not.toEqual(guid2);
       });
 
+      it("allocates appropriate space on resize", async function () {
+        const imageWidth = 128;
+        const imageHeight = 64;
+
+        await addImages(25);
+        let inputPixels = 25 * imageWidth * imageHeight;
+        let atlasWidth = atlas.texture.width;
+        let atlasHeight = atlas.texture.height;
+
+        // Allocate enough space, but not >>2x more. Aspect ratio should be 1:1, 1:2, or 2:1.
+        expect(atlasWidth * atlasHeight).toBeGreaterThan(inputPixels);
+        expect(atlasWidth * atlasHeight).toBeLessThanOrEqual(inputPixels * 3);
+        expect(atlasWidth / atlasHeight).toBeGreaterThanOrEqual(0.5);
+        expect(atlasWidth / atlasHeight).toBeLessThanOrEqual(2.0);
+
+        await addImages(75);
+        inputPixels = 75 * imageWidth * imageHeight;
+        atlasWidth = atlas.texture.width;
+        atlasHeight = atlas.texture.height;
+
+        expect(atlasWidth * atlasHeight).toBeGreaterThan(inputPixels);
+        expect(atlasWidth * atlasHeight).toBeLessThanOrEqual(inputPixels * 3);
+        expect(atlasWidth / atlasHeight).toBeGreaterThanOrEqual(0.5);
+        expect(atlasWidth / atlasHeight).toBeLessThanOrEqual(2.0);
+
+        await addImages(256);
+        inputPixels = 256 * imageWidth * imageHeight;
+        atlasWidth = atlas.texture.width;
+        atlasHeight = atlas.texture.height;
+
+        expect(atlasWidth * atlasHeight).toBeGreaterThan(inputPixels);
+        expect(atlasWidth * atlasHeight).toBeLessThanOrEqual(inputPixels * 3);
+        expect(atlasWidth / atlasHeight).toBeGreaterThanOrEqual(0.5);
+        expect(atlasWidth / atlasHeight).toBeLessThanOrEqual(2.0);
+
+        async function addImages(count) {
+          atlas = new TextureAtlas();
+
+          const imageUrl = createImageDataURL(imageWidth, imageHeight);
+
+          const promises = [];
+          for (let i = 0; i < count; i++) {
+            promises.push(atlas.addImage(i.toString(), imageUrl));
+          }
+
+          await pollWhilePromise(Promise.all(promises), () => {
+            atlas.update(scene.frameState.context);
+          });
+
+          return count * imageWidth * imageHeight;
+        }
+
+        function createImageDataURL(width, height) {
+          const canvas = document.createElement("canvas");
+          canvas.width = width;
+          canvas.height = height;
+
+          const ctx = canvas.getContext("2d");
+          ctx.fillStyle = "green";
+          ctx.fillRect(0, 0, width, height);
+
+          return canvas.toDataURL();
+        }
+      });
+
       it("destroys successfully while image is queued", async function () {
         atlas = new TextureAtlas();