Morek could fit almost 5 other realms within it. The realms expanded to natural borders because of lack of pressure. Noble density gives pressure, so maybe now we'll see some realm capitals within marching distance of each other.
Before, a 10 region realm only had 10 or so players (cause most of Dwilight were lords). They were quiet backwaters because there was no manpower and the capital of the border realms were a weeks march. Everything grew too big in Dwilight, because we had so much excess.
Put opponents within distance of each other and natural borders won't matter near as much. Hell, even now people live in those desolate mountains. Swordfell has carved out a living there for some time now.