You're discussing the whole issue of "acceptable losses". So how many millions have to die before it's unacceptable?
This may be true about the Western nations but not for the Communist ones. I think the likes of Stalin and Mao could probably care less if half of the world were to be destroyed if meant they would get to rule the other half.
I can't guarantee we won't do the "you loose" popup, that idea is still on the table.
I utterly despise those kind of pop-ups regardless of the type of game I am playing so I really hope that it won't make it into the final game. The player should be punished for mistakes with negative in-game effects and not simple scripts/events that basically say "Ops! You screwed up, better luck next time!"
Many people believe that the moment you have a nuclear "exchange" (multiple launches, both sides) there is no winner to the war.
Like I said earlier, the player should be able to avoid a lose-lose scenario if he holds his cards correctly prior to the war going hot (having advanced tech, having anti-nuke defenses, having already made most of the world join his faction prior to the outbreak of war etc). Like I already said earlier, there should be no way for the player to enter a nuclear confrontation and just walk away with only minor damage inflicted too him, but it should still be at least survivable so long as the player plays smart.
Also, don't forget that MAD wasn't really the reality of the cold war right away. While Stalin was still alive he was gearing the USSR towards a third world war (many believe that he was murdered because the Soviet leadership did not want to fight another world war so soon after the last one) because he believed that the Soviet Union could withstand a "first strike" from the allies and even went as far as trying to calculate how many A-bombs were needed to compare to the German Invasion. After all, ICBM'S had not been invented in 1947 yet, and the allies own documents from the era state that in the case of a war at the time they would not be able to cripple the Soviet army with nukes alone as their aircraft lacked the range to take out all Soviet targets.
That means that within the time frame of 1947-1953, it should still be very possible to wage a third world war that involves nukes without bringing about the end of the world.
This isn't Supreme Ruler - war of varying temperatures
I know, but I still think there should be a middle ground. But then again I suppose that if don't want to deal with the limitations of the main campaigns I could just play Sandbox mode (I am assuming that Sandbox mode fallows different rules then the campaigns. Speaking of which how will the AI behave in Sandbox?).
Also, how will Sandbox be different from the main campaign? How will the AI in the superpowers behave differently? Will the US and the USSR still be actively working against each other just like in the main campaign? Or will none of the nations have any real goals in the sandbox mode?
Also, how are nuclear weapons handled? Are they under the player's direct control, or is their usage limited to a simple big red launch button?
Also, historically the US and the USSR maintained thousands of nukes, how many nukes can be considered "a lot" in game terms? Ten? A hundred? A thousand?