It will certainly be more complex, not less:
http://www.gamespot.com/pc/strategy/...ml?sid=6144512In Medieval 2, players will have the option to develop each of their settlements as either a castle or city. They both have particular benefits, with castles placing greater emphasis on military expansion, while cities will have a much greater benefit to your faction's economy. This will call for a good deal more strategic thought when it comes to expanding your empire across the map--the number and location of your cities and castles will be vital. Build too many cities, and you may have to rely on mercenaries to bolster your forces. Opt for too many castles, and you may not have the funds in the coffers to maintain your war effort. It becomes a fine balance.
This new article os very telling.
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