Still seems more logical to me then Dagoth having god knows how many brothers... Seeing as everything we know seems to suggest elves don't reproduce or have never reproduced in great numbers. And even if Elves have human life spans then still going from many children to just two or three is illogical unless there were massive social changes that created such needs which there never have seem to be, especially not along all elves (seeing as Altmer have the same reproductive speed as Dunmer)
I am tempted to agree with you, but I have doubts because:
a, The ash Vampires could very well be Dagots brothers even if the Chimer didn't reproduce in such a huge number. How? Well, nobody said anything about having the same mother! Their father could have very well have many wives. We know that the orc chieftans do, and they were aldmer before their change - so this can be something they kept from the aldmeri culture. Or, based on what we know about Almalexia and her numerous husbands she kept to satisfy her "ever changing female needs", I think we can say that the Chimer knew what divorce is, and practiced it too, so Lord Dagoth yould have had many wives even if he didn't have them all at once.
b, We do know that, as War_Psyence said, that Nerevar had to be around 600 at the time of the battle of Red Mountain. We also know that the Dark Elves officially live only a little more than 100 years - altaugh some books seem to contradict this. Another thing we know, is in a book I found in Skyrim, in the temple of Mara, in Riften. (I am sorry but I don't remember it's title). It was about the Aedra and the Daedra, and how the different races believe that the world, Nirn was made. In that book they claimed that from the begining of the times the residents of Nirn get mored moved away from their Aedric spirit, and their blood is "thinning". This means that the elves now have shorter lives than they had before. Also, we Know that Hgh elves being obsessed with the protection of pure aldmeri blood live longer than the rest of the elves.
I would say based on all this, the Chimer, technically being Aldmers with a different religion, must have had longer lives - maybe 700-800 year long, but this thinning of blood shortened the Dark Elves lifespan.
Through 700 years of advlthood one can have 8 children. Nothing says the Ash Vampires were of similar age! Dagoth Uthol even says that he can hardly remember Nerevar at all, which might suggest that he was much younger than the rest. Or he REALLY didn't pay any attention to politics.
c, Elves reproduce based on the social and environmental stress they face. I think I read this too, in one of the interviews at TIL.
This basically means that when there are many elves, the birthrate is low. When their number is low, the birthrate jumps up. Nowhere, with the exception of Vivec's Sermons and the Five Songs of King Wulfhart do we see any suggestion of when did the fight between the nords and the chimer begin. Vivec says that it began after Nerevar began to rise, not too long before the Battle of Red Mountain. The Five Songs however suggest that they have been fighting since about the chimer arrived to Morrowind, only the fights stopped after the nords lost their king and became un-united. Basically that book says that there were 2 nord-chimer wars.
I would also like to point out that Vivec isn't exactly the most reliable of narrators in his Sermons. I am not saying that everyting in the Sermons are lies, but after Vivec claiming that he was born as a god from an egg, Dagoth Ur has been sitting under Red Mountain since the begining of times, and Vivec had a bunch of children from Molag Bal while his head was traveling with Nerevar, in his backpack...well... I have a difficult time to take him serious.
My point is: it seems fairly possible that the chimer had been in a constant state of war from the moment they arrived to their new home, and for years before Dagoth ur and the rest of his boys were born. Seeing where Kogoruhn is, I would say they were pretty much in the middle of the fights with the nords and the dwemer. This could have led to a dangerously low population in Great House Dagoth, and therefore to an extremely high birthrate at that time, which could explain this many children. But this is only my theory, of course.
Edit: my spelling really seems to svck today. Sorry about that! =_=;