Unless they retaliate with their private group shock troops.
Big groups are gonna have to up their game - start recruiting in all modes.
It's the future of gaming!
This was always the intent, for the side with the most players supporting to win. Go look at old posts and dev diaries if you doubt.
So, that isn't really news.
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SC will have instancing similar to E: D...32 players per instance, however, instances are supposed to 'see into' and 'shoot across' each other (think bubbles close to each other that you can see into and shoot into). It will also be server based and not Peer to Peer. They will have a PvP slider that will not prevent all PvP, but set your matchmaking to very low possibilities. There is no PvE.
There's more to that (or at least it did so at the start).
The game is supposed to have two kinds of instances, the fixed ones (think stations) and the temporary ones (think supercruise). The fixed ones will really work the way you described, apart from the fact the PvP slider won't work on them; on the other hand, in places where PvP is supposed to be rare, the idea is to have brutally efficient police forces that will atomize any attacker with the power of a small sun.
For the temporary ones, they are supposed to have effective matchmaking, based on a number of variables: the PvP slider, the system the player is in (which might override the PvP slider), the latency the player is experiencing, the number of players and the ships they are in, the skill of the players, etc. The idea is that one-sided encounters should be fairly rare, with most encounters being evenly balanced.
Of course, that bit about PvP always being possible, with no way to opt out, is exactly why I disregard the very existence of official servers in SC. One way or another, no one will ever be able to attack me unless I'm actually looking for a fight; if the way to do that is by not playing multiplayer, so be it.
I swear someone was telling me they were aiming for more than 32 per instance. I take it as you've put 32, the idea of more wasn't workable?
The original number was 64, with more tests to determine if they could bump that to a cool hundred, but I stopped following the development a long time ago. Sincerely, with no way to completely opt out of PvP, I couldn't care less for how SC's official servers will work.
One caveat, though: limiting the number of players in most encounters isn't just for performance reasons, but also because a too large furball becomes too confusing and frustrating. Dogfights tend to be more fun with a relatively small number of players; this, after all, is not EVE, where combat is slow and you pick your target by clicking on it.
Unfortunately for the hawks, the trend since (and even during) Ultima Online has been to favour the doves, and I don't see this changing. The reason is pretty simple - in an RPG (and what all of these games have in common is that they are RPGs to some degree), no-one's idea of the role they want to play is another player's helpless victim.
And another reason: contrary to the early days of UO, players now have options. If a game forces the sheep to play with the wolves, the sheep will instead leave and find another game to play. Which is why so many games that attempted it crashed and burned, they underestimate how much many players hate having PvP forced on them.
To keep in tone with the rest of the post, I actually expect most Star Citizen players to
not play in the official servers exactly due to that. And because mods will not be available on official servers. But I could be wrong, of course.