They do scale single large monsters and heroes. Only the HP though. They... don't really need to change anything else about them I think. Seems a bit strange. I don't think AOE damage can be scaled and there's no point increasing the AP / regular damage of the monsters as they one hit everything except other monsters and heroes anyway. So if you buff their damage, all you get is them.... one hitting the same things?
They only mentioned they're reworking magic, but unsure if it's coming this patch or in game 2. I honestly doubt they'll change too much.
I'm not as particularly worried about it now as I was at launch. They've made the newer magic lores like Shadows and Life WAY WAY WAY better than the original ones. And mods fix all the original ones no biggie.
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Besides, I think it's futile to balance for all unit sizes and expecting it to be the same. It can't. It's like expecting the tactics for a 10 man skirmish to be the same as a 2000 man battle. It's exactly the same in all the other Total War games too, especially in MP. If you saw your opponent was forcing a small or tiny unit setting, you knew to bring only elite units as everyone only had a tiny handful of men anyway.
Hell, I had some amusing games in Fall of the Samurai where the enemy forced tiny unit counts so I brought a gatling gun. Sure, I only get 1 gun instead of 4, but I killed their whole army of like... 100 men with it. Or you run into the guys in the same scenario, but they brought a cannon. Like... why would you do this? There's so few units. Your cannon won't even hit anything. Or an army of just cavalry, in which case it's amazing as the unit sizes are so small so infantry can't even properly form defensive lines against them. You can't really balance this, unless you ban these "super" units from the game.
It's the same here. You just have to change your tactics as unit sizes change.
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Incidentally, they added a Chinese localization. Interesting move. The Chinese translation mod was one of the top mods (I think..., I remember seeing it every once in awhile) in the Steam Workshop. I guess they noticed a lot of Chinese players want to play this game. Localization is always a good thing anyway.
Also apparently there was some kind of drama in the past over how Chinese players were misled that there would be a Chinese version?