OK, after watching the Cowboys win I made the change to the .falconbms.cfg file. To give anyone else who wants to change this an easy copy (this line does not exist by default and needs to be added)

set g_bNewChallengeRatingCode 0

I put it under the Misc section for what it's worth, though it may not matter where it is? Works like a charm. I don't know yet what long term repercussions it will have of course, but as mentioned, this helps puts the challenge back in challenge rating.

With this change, Strength ratios are modified according to your challenge rating. This is how F4 has traditionally been. Ace setting will result in 12 fighters per Blue squadron. I had a look and Red is at 18 for fighter squadrons 14 attack. At the opposite end of the scale (Recruit), Blue have 24 fighters per squadron, Red just 10. So in Rolling Fire fox example, Ace versus Recruit results in a complete reversal of aircraft strength ratio. At Ace Red will have roughly twice as many airframes as Blue at the start. At recruit, Blue will have double.

Also traditionally in F4, challenge rating affected the strength ratio of ground units as well, and after playing for a bit I will know more about that. But if you played Ace in Allied Force for example, you'll know that this makes Blue ground units extremely brittle. It only takes a few losses to go broken.

I felt that in BMS campaigns,winning was a forgone conclusion, classic Iron Fortress the only exception. It's too easy to win air superiority. Playing with the old style challenge rating, a player will need to be much more careful with his aircraft, and if it also affects ground units, even more careful with them. Every campaign requires Blue to eventually advance and capture objectives. If the ground units are part of this change, then ensuring you have the ground strength to actually advance becomes a primary concern. Much more attention needs to be paid to clearing the way and to protecting the grunts. Two full strength armor battalions meeting at Ace would see the Blue unit heading for the rear in minutes.

In the air, a few losses means that squadron is down to a half dozen aircraft. Suddenly you find yourself having the strength to do nothing other than fly CAP, leaving important Red target unscathed. You also find yourself monitoring the next resupply of your fighter squadrons