Doubt gree will do anything to reduce their players base,
more people in factions will soon mean less factions during WD and FL events which would result in less ussage of gold
on the other hand, increasing faction size will mainly help the little factions that have a few players in a "smaller" shell
but full factions will need to merge or recruit, and recruiting as it is now if very hard and difficult, while mergin means ideally you will need 4 x 60 players faction merging into 3 80 player factions
it will be a mess for sure