I reject the assumption that XBall is either "impractical" or not cost effective.
There are two ways to look at the cost of playing tournaments, based on what kind of team you have:
If you have a SELF-FUNDED team, where the costs are mostly carried by the players themselves, then XBall is definitely not expensive. It costs about the same for one guy to travel to and play a 7-man tournament as it does for one guy to travel to and play a X-Ball tournament. While there may be SLIGHTLY more cost for the XBall tournament (more paint), that cost is small when compared to paint+travel+food+lodging+beer, and also makes XBall much LESS expensive on a dollar/time basis.
If a team is being funded by a single sponsor, then XBall is definitely more expensive - but that's got nothing to do with the WAY it's played - it's just the number of players. So one way to make XBall "cheaper" is just cut the roster down to 12 players. Or maybe even 10. If basketball can get by with 12 guys, that shouldn't be a problem for XBall, as long as there's the same restriction for everybody.
There's also an investment perspective - XBall is going to be better on TV that 7-man, so even if it is more expensive now, you're going to want it later so you can get more non-paintball money. I talked to one of the college kids at Cup, and they've apparently moved to xball for college. I asked how they could afford it, and the answer was kinda surprising: The school pays for it. Maybe paintball teams just need to do a better job of getting money from places other than paintball companies.