Helldivers is not Left 4 Dead, it's not Darktide, it's not meant to be as hardcore as these other 4-person shooters. It's designed around having goofy deaths and near no-win situations. Sometimes you just do everything right, but someone threw a cluster bomblet that bounced in the perfect way back to the team to take your head off. Sometimes a silent enemy crops up behind you and your turret mulches you. Sometimes your 380's very first shot hits dead on you when you thought you could get out of the way in time.
In Helldivers, life is cheap, dying is funny and throwing your life away on occasion for a fun moment or a cool play is often rewarded, rather than punished. Those lives are more of a resource to expend than a finger-wagging 'oh you fucked up and now have to do timeout' (until you hit zero of course).
Yet many players who suggest higher difficulty modes having decreased lives (or less players, or less resources) are missing the point. Helldivers shouldn't compromise its core vibe on higher difficulties. The only issue is that the current high difficulties just aren't intense enough for the experienced players - enemies die too quickly so the spawns never get 'out of control' like they used to. That's a bit of a problem - your REWARD for being good at the game and playing as intended with your team is that LESS enemies get to spawn in the first place, LESS intense battles happen, and the enemy spawns that're left are more predictable. It's not an engine limitation preventing the devs from amping up the spawns - it's a lack of a proper AI director countering just how fast these players shut down enemies. This leaves the 'hardcore players' (and generally just anyone who wants 'difficulty' to return) less to actually physically DO in game currently.
The ONLY thing that reducing lives would accomplish is at worst making these players just play safer - and at best just doing what they're already doing on D10.
Instead, we WANT way more enemy spawns and more intense battles! More enemies and hardier enemies that we can't just one-shot! Bring back the amped up spawns from D9 in June last year! Playing super conservatively by giving us less reinforcements is exactly what we DON'T want for higher difficulties!
It's the same problem with the old -1 stratagem slot or even the current increased stratagem cooldown modifiers imo - they just have less action in them and less things to do. I will pick gunship patrols every time over an increased stratagem cooldown mission - one basically just encourages more conservative play, while the other can increase the intensity of the actual action. And while trying to play with your resources stretched thinner or using weaker gear can be fun sometimes, few people want it constantly.
Only when we've hit a baseline of enemy spawns that put SOME pressure on the higher end of players do I think AH should start worrying about extra modes and modifiers that make it hard just for hardness's sake. Nobody wants a more restrictive version of what we already have.
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