The obvious question then is why do game-designers feel the need to hide aspects of the game in the data-files? I can't really answer that because I am not much of a programmer, but I do suspect that processing speed is one reason. After all, if it's not in the engine itself the program has to look for it and then translate it into something the computer will understand. This wouldn't make much of a difference if just one factor was outside the program files, but if you want many things to be moddable it may seriously slow a program down. Also, it is not as if there is an instruction in the program that says "if faction number exceeds 31, then CTD". M2:TW has been made with 31 factions in mind, so you'd probably need to change many parts of the code to allow for more. This may also result in memory uptake for these faction, whether they are used or not.
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