A system for NMs/HNMs doesn't need to be Copy>Pasted from XI though, which is what people always assume when they hear "XIV needs NMs". I mean you could technically have a GW2 type system where everyone who participates gets their own individual drop pools. FFXIV could easily add that, and thats frankly whats missing in their "F.A.T.E" System that GW2's Dynamic events do so much better.. actual reward. in GW2 the reward is not only Exp/Gold/Karma(One of their special currencies), but also enemies and bosses drop items, like crafting materials and even rare/exotic/etc tier equipment you can use or sell. in XIV you have a big epic boss fight for... Company seals?
GW2 also have "popped" Dynamic events that trigger only when someone finds the champion on the map, or they have roaming champion bosses that spawn in certain locations randomly... and no one just hordes the kill, almost always a /sh about "Champion at (X) Waypoint!". So GW2 is living proof of concept that adding NMs or items to open world that are useful and such isn't going to create a drama lama hell hole of competition if done right. Problem is most modern MMOs, like XIV and such, don't care to do it right, and instead vote to remove the system entirely, leaving the problem of bad open world design. FFXIV tried to do some nice with F.A.T.E's, but without actual rewards from them, they're little more than Random EXP dispensers. I mean, you have pretty much iconic FFXI bosses, ones that will give oldschool players the feels (Roc, Simurgh, Ose, so forth) who are all just boring FATE bosses.
Problem is, XIV armor system is very 1 dimensional and doesn't much lend itself to what GW2 offers and I know that, so they'd have to put some design thought into how to handle it since they've designed themselves into a corner to where adding open world NMs, even in the form of FATEs or GW2 Style battles where "Everyone wins" is almost impossible. Since building on a strictly I.lv scale means one way or the other its going to be either too powerful it ruins endgame dungeons, or too weak no one bothers to care about it, theres a problem in a NM/HNM system.
While GW2 works on an I.lv scale kinda, it has tiers with each level. For those who don't know about GW2 and its items. There are multiple types of each item at their level range, and multiple tiers of power. Kinda like Diablo 2 where you have Whites/Rares/Uniques, etc. can find the scaling stuff here: http://wiki.guildwars2.com/wiki/Item - and with each item, (Body, head, etc) aside from the tiers, theres also different types to fit different combat styles. One armor could have Power/Toughness/Vitality, another could have Power/Precision/Healing, or Toughness/Vitality/Healing, and so forth. (List of stats http://wiki.guildwars2.com/wiki/Attribute). Basically it lends itself to the kind of drop system it has, cause it has a little bit of "Diablo/Action RPG" feel to its drops, though in a more MMO way. Theres also Runes, which is what Materia could have been, but those are too complex and varied to even begin getting into.
Point being, GW2 is an amazing example of how open world can be done right, drops and all... Even though they don't have the "Open world NMs" as we might think in XI, finding these Champion/Dynamic events are still exciting cause they can all drop rare/exotic items, so you want to kill them, which is usually hard/impossible without teaming up. For anyone who hasn't played GW2, I wish I could describe how fun it is to do a 3-4 chain dynamic event where the end result is an insanely difficult boss... Its like Behemoth without the horrific lag/disappearing enemy/unrewarding garbage. I mean, in GW2 you can always get unsatisfying garbage, but its not guaranteed garbage like Odin/Behemoth drops.
Edit: In the end, SE already has the groundwork for the type of NM system GW2 has. They could just convert those "Boss" battle FATEs into a type of system GW2 has, where the bosses have actual drops, not just seals/gold. It wouldn't be hard to have a level 30 FATE boss drop level appropriate Materia/Crafting items with a chance at some unique level 30 (I.lv 35?) Rare gear thats useful for a few levels. Or a level 50 FATE boss drop I.lv70/80 gear rarely, could even have unique designs for vanity.
Edit2: also the one good thing i love about XIV is the music. GW2 has almost no music at all, makes epic battles feel so much less epic. I mean, tone/music is like 60% of the experience when it comes to feels/immersion. FFXIV FATE "boss" music just makes you feel like its going to be badass. Just wish it actually was.
This is also just a funny bit http://wiki.guildwars2.com/wiki/Ring_of_Red_Death
XI Wiki



