Nope, that wouldn't work. As the ship becomes larger, it is more likely to be 1-shotted without defense.

Not if they spent most of their points on crew and use all their existing space for weapons.

Well, maybe folks will start putting points into crew now.

Perhaps, but then it actually does spoil the game, no modules, super crew
50 decks with 500 helms + 500 tactical.
Some people could get screwed as they found out that although this config is suitable for combat (just add one piece of super HULL + small weapons from NPC), it will be a big problem when they need decks for like scanning. (assuming they found out about the importance of scanning way late into the game, rank ~50)
All they can do is reset, or quit.
Perhaps it should be explained in-game about the damage cap due to decks and decks needed for certain actions, like scanning. Tons people who neglect decks initially only find out about their importance after they start scan blitz with more than 1 sensor.

But now with the cap damage issue going around, some players may think decks now make them vulnerable, neglecting decks completely. Hope this doesn't happen to anyone.

Shouldn't the higher level platings reduce the amount of damage you receive? Yes they provide more hit points, but if they're stronger, they should be more resistant to damage too. That would help to balance the new system better.

Perhaps there could also be the chance for damage to ship modules as well, or even crew death. More crew or more modules would then result in greater loss risks from combat.

If you raid Kaos's ship, over 50% of the crew are androids (could you imagine trying to take a ship full of Data's?) so it would stand to reason that your crew no matter how big would get Mubared by the raid (lots of injuries/deaths); whereas Kaos would just have to 'patch up and repair' his crew.