Hi,
as I have suggested earlier, I would prefer to start with three planets of good value. This will ensure that everybody has a decent industrial base to start with. It will probably also allow for earlier contacts in the game.
I would also prefer to start with a low tech level. It makes strategic decisions at the beginning of the game more important (and also more interesting).
Pro: It makes friendly relations more interesting and worthwhile, since you can split the cost for the "basic research" like astrophysics, construction, military science, etc., if you agree to trade them later. If you want a truly "warmonging only" type of game this could of course also be viewed as a Con. But I think it allows for more variety in the approach of the game.
Con: This is a newbie game. Some people could make some severe mistakes at the beginning of the game. Medium tech would ensure that they have at least the basic research done. This way they could react faster to "superior tech".
It really depends on the players that have joined the game. If everybody has some experience with the game in solo mode and is just new to the PBW variant (as I assume), I suggest that we start with a low tech level. If we have somebody who is completely new to the game, I'll say that we stick with medium tech.
With the rest of the game setup I agree all the way
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I would like to hear your comments/suggestions.
Rollo