All that extra data is filler..... Once you take an iso and extract the actual files out of it that becomes apparent. The iso has 000's written to it for copyright protection and to make it a perfect 4.5 gig disc, thus making it easier for the wii to handle.
I've extracted the ENTIRE partition of wii play via trucha and I can confirm that it's only 88.2 megs in size. So it's roughly the size of two neogeo games... should fit fine.
I'm not getting any straight answers so I'm probably going to have to try it if I can figure out a wad packer.
About the hacking the path (from the dvd to the channel)....
I don't know ANYTHING about coding for the wii, but when you code for the pc, even if it's going to be on a disc, you NEVER use full path names to files, rather you use relative paths. This is for a very common sense reason.... you don't know what drive letter the game will be inserted to! I would guess wii game programmers do the same thing because while I'm sure they know the drive mount point now, when wii 2 comes out or what have you, it might change and thus they try to keep things future proofed.
I could very well be wrong though.... I wish someone coudl give me some info on this, which is one of the key issues that would be faced.
Anyway, i'm seeing a ticket, a tmd, ect... just like a normal channel wad.. it's just the dol is in a subdir instead out out with the rest of the stuff. I'll keep you all posted.