In my opinion the simulation and rendering of water waves near the shoreline is one of the biggest challenges in real-time water rendering. Afaik no game engines or middlewares on the market support it. Offline renderers are well capable of producing convincing results, as demonstrated by the many animated movies in recent years with water scenes (e.g Surf's Up). Naturally they do not have the tight constraints that games have and can afford the cost of highly sophisticated physical models and continuos artistic refinement.
Games traditionally have employed cheap effects such as foam near the shoreline, modulated by the distance from it, as seen in FarCry, Assassins Creed etc. Outerra uses procedural waves for the shoreline whose parameters (amplitude and phase) depend on the distance to the shoreline. That's a step forward in the right direction.
In general, the proper simulation of shallow waves, characterized by a change of propagation speed, direction and shape profile among other phenomena, would require a complete new technology and a significant investment in R&D that studios can hardly justify.
Myself I have ideas that I intend to prototype at some point in the future. In rough terms, I would calculate local wave solutions near the shoreline, characterized by functions that approximate locally the curvature and distance from the shoreline. For LOD, waves would have a variable granularity based on the distance from a reference point (e.g. the main camera position). For rendering, the local wave solutions would be splatted on offscreen accumulation buffers encoding the final waves displacement, gradients, foam level, variance etc. Physics would be handled entirely on the CPU side.
I'd be happy to go to into more details if there's enough interest, and also share ideas about other approaches.