Q: What about server hosting?
One of the reasons I think DayZ mod works is because responsibility (and reward) is divided, and "survival of the fittest" is alive and well.
We aren't in the business of managing servers. We don't have the skills or the background in the studio for that. We don't feel we need to own the revenue stream for everything, it is in the best interest for us - for there to be competition for hosting and providing the best, most economic, responsive, and active server's out there.
Q: Does the MMO architecture of the improved ArmA2 engine for standalone decrease the need for so much bandwidth when hosting a server? Hive and Player communication requires at least 2TB of bandwidth a month, from what I have seen?
The servers have been greatly optimized with an entirely new executable that runs on a light version of the game data (reduced up to 99% in some cases, drops all kinds of data the server doesn't need like textures). This means the server file is much smaller, reducing reading times for pbos, the optimization benefits are too numerous to detail here. This work is already done, and working, in the standalone.
Q: Will configuration of server settings be more simple?
There will be more options, and enforcing many settings will be done from servers. In some ways, it will be more simpler because there is no mission file. Also, you don't need a special mission file to support 50 or 150 or 200 players - just change the config value and go.