Also, I want to clear up what I mean about "High Fantasy". I'm not talking about how much magic is in the fantasy, I'm talking about what concepts the fantasy are built around.
High Fantasy is partially defined by the notion of a cosmic clash between two (maybe three) opposing cosmic concepts.
In The Lord of the Rings, the individuals are not nearly as important as they are in Heroic Fantasy for their own individual traits (the way that The Hobbit was, for example) as they are defined by their black-and-white demarcation of which cosmic force they belonged to.
Orcs are evil because they are
on the side of "evil", and their entire race is evil because they have been declared on that side. They cannot be reasoned with or negotiated with, they will commit genocide against humans and dwarves and elves unless stopped, and the only way to stop them is to commit genocide against the orcs first.
Anyone who tries to negotiate with the orcish side is automatically evil, and will be shown as just doing it for personal gain, and become described in
less-than-human terms for daring to think that the enemy could be negotiated with.
There are no innocent orcs - women and children (if they existed) would be fair game for genocide, since they are just "supporting troops" in the Total War of Cosmic Warfare. You must commit genocide against the entire race if you are to be "good", because "good" is defined as committing genocide against "evil", and "evil" is defined as the things trying to commit genocide against "good", even if
the only real difference between them is the color of their skin after a certain point of eternal mutual genocide.
This is something you really get to see more when you are talking about something that better explores the role of the orcs, such as the ripoff-of-a-ripoff-of-a-ripoff-of-LOTR, Warcraft, where they've essentially come down to just making the two sides mirror images of each other, and just made them pretty much only aesthetically different and used different accents. The more you explore the dualism, as long as it becomes nothing but a protracted genocide, and you actually start to understand the other side, the differences between "good" and "evil" fade away. It just becomes genocide for genocide's own sake.
It is this aspect of "good versus evil" that I don't want in DF. It is the moral ambiguity of Low Fantasy that I prefer, not its specific level of magicality.
Moral ambiguity is a core feature of Dwarf Fortress as we know it. We have ethics that prevent some things, like cannibalism or slavery, but for the most part, the player can get away with almost anything the physics engine allows.
Dwarf Fortress is guided by pragmatism, not ideology.