» Tue Mar 15, 2011 2:47 am
Yes, you can, in general principle. However, there's a limit on both the BSA system and the file system, and the number of resources Morrowind can reference.
In this case (and this is an educated guess, not definite), I think your problem is that they're in BSAs. When Morrowind loads a BSA, it has to store a reference to every resource in that file. By having your resources in archives, you're forcing 25,000 unnecessary entries into the list. It's not going to use all the resources at once, obviously, but it still needs to store names and offsets, which is going to take memory and fill the list (max size depends on the internal implementation).
By using a file system and directories, you allow for two major benefits and one easily-avoidable drawback. That many files in a single folder will slow it down, but splitting them into many folder (I'd start with 8 subfolders with another 8 in each, 500 or so resources per sub-sub-dir) will fix that easily.
The first benefit is that the NTFS filesystem can handle that many files without blinking and arrange them nicely, to fill disk space and the allocation table in the best possible way. In addition, when files are in the file system, Morrowind doesn't need to know about them ahead of time. If a file is missing, it will give you an error, but it doesn't have to know where the file is until it's needed, then it goes looking. A bit slower than pulling it from a BSA, but it neatly avoids the size limitation BSAs have.
The second benefit is in compression. BSAs are a very simple binary format, linear. Files come one after another, no thought in their order. This forces any archive program to compress one massive file and since the format is unknown and a mixture of text, binary and image, it's harder to apply special algorithms. By having many small files, the archive program can choose the order to minimize final size, as well as applying delta compression to text and multimedia compression to images. It all depends on your data, but I'd imagine many files will provide a significantly smaller archive.