No problem. You should definitely ask such questions. If you want to dive into the technicalities, see what people are already doing with SpatialOS and ask your own questions I really recommend having a look at the forums (https://forums.improbable.io).

That said, my previous response was actually targeting your example as being a use-case that falls into the 'realistic' category that we want to address with SpatialOS.

Again, I am not suggesting that you can and should pile-up 1000 players onto 10 square meters, but if you take care when defining your world's characteristics (SpatialOS's entity & components) you will be able to scale up your player density in your battle scenario to a level that significantly exceeds anything that you could achieve with any existing monolithic game server and for a fraction of the trouble as you do not really have to deal with any of the usual networking issues because SpatialOS takes care of that.