[Kana]

This would seem unbalancing, in that especially the smaller ships will not be able to compete with a bigger ship with more or 'bigger' armor and weapons. Which means we go back to the whole build your biggest ship only problem.

Yet historically this is was very similar to the whole development of cruisers, battlecruisers, dreadnoughts, and battleships in the 19th, and early 20th century. One country would field a ship with X gun, another would counter with a ship with X armor. Then to counter they would have to build a ship with Y gun, and so on...

It might be interesting if done right...yet historically as well...Battleships where basically fodder for subs, and carrier based bombers/torpedo plans in the 1930's and 40's.