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Guys this thread has been discussed a million times after the total pokemon amount was released. The absolute best reason for why game freak did this was to attract the older demographic that has long since stopped playing pokemon
They release an "Origins" anime as a marketing ploy to get older pokemon players interested again
They "reveal" in a trailer that you can get the kanto starters
So, The reason why there are only roughly 70 new pokemon is because you don't fit the demographic. GF isn't expecting someone who is picking up this game to have been playing since Gen II, and if you are then they figure, you're going to buy the game regardless (like I am, lol) These 70 new pokemon will be a drop in the bucket for someone who hasn't played pokemon for 3 generations.
We only see this game as 70 new pokemon but to a Genwunner suddenly interested in the series. They've got some 500+ new pokemon to find and collect