Ok I'll try to help here.

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OK played a game versus the AMTL for the first time with my Tau. Decided if shooting was required, the Tau should be best at it.
Hehe, conventionally, yes Tau are a shooty army, but at least fluff wise we are comparing two different beast once you bring giant walking robots into the mix. In the Taros campaign the Imperial forces didn't really see Tau conventional ground forces as much of a threat to the Warhounds and initially only thought that the Manta was capable of taking one out.. at least until the tigersharks managed to take a warhound down. Yes, I know fluff and all, but in a lot of ways AMTL and Tau is comparing apples to oranges. The problem we face is making the apples look like oranges without losing what makes them apples. My point is, don't get locked into thinking that Tau have to be the shootiest, there's other factors in what circumstances they ARE the shootiest.
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Does it truly need to be 6x MW 2+...? How about 3x instead? That's still practically 3 auto kills on most formations and 75 points might even be too cheap for that.
Just a note, but the 3x MW2+ already is in the list. it's the 25 point Plasma cannon that doesn't seem to be used that much.
I did try doing a few lists with it. Usually 2x PC and a GB and I didn't really find it any better than other combinations when playing against IG or Marines.
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Surely this weapon is not a Scout Titan weapon...? In an already - some would say, over powered unit - putting a 60cm weapon on a Warhound is a bit, mmm well, whiffy. Double up 60 and fire 60cm to boot.
IIRC the TLD was originally 45cm but it got a boost in the core rules to 60cm at some point. It's traditionally been an option for Scout titans and the TLD is still an option for the FW model and in 40k. Short answer, yep it's a scout weapon.
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Hypaspists - AMTL got a good deal with these guys. 8 units with CC/FF5+, Armour 5+, 30cm AP5+ shooting and two "you-beaut!" Secutor units with Leader, Commander, CC3+and base contact MWEA +1, FF 3+ (with MW no less) 4+ RA saves. All transported in a Titan and all for a nifty 200 points?
I have zero issues with upping the cost of the Hypaspists to 250 points sames as in the Skitarii list if we need to. The point of the cost drop was to subsidize the lost hardpoint on the titan when using the corvus.
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I would like to see more of the infantry formations as there's a bunch of cool options but I think with the weapons on the titans they might take a back seat.
Well this is the TITAN list so, yes, infantry does take a back seat. Just sayin'...

We do have the skitarii list for a more infantry centered take on the AdMech forces if you're interested.
I don't want to clutter this thread with thoughts on your battle report so I'll move the rest of my post there.
@matt:
Thanks, yes that does help but if you can get the actual list used that would be even more useful. Hard to glean much detailed information without it considering the absolute bloodbath you guys are seeing. I really can't figure out a list that fields just 4 models and can shred absolutely everything in it's path especially using reavers. Reavers really aren't that tough of units to kill.
Again, having detailed information is essential here. Eldar and Tau are two of the lists I haven't had any personal experience against though in theory since things are pretty evenly matched against Marines, they should be the same against Eldar and Tau. As I said earlier, the bloodbaths are very concerning but at this point I just need more to go on since there's such a huge disparity between all of our playest data and what you and Dobbsy are saying.