Yes this is the aspect I'm quite fascinated by.
I'm not sold on the narrative that this was a clever game of brinkmanship by Harry team.
The major costs come from the in depth work pre-trial rather than the trial itself.
As such, as the costs increased this put more pressure on H to settle rather than NGN.
My guess is that when the costs were tallied up they were getting dangerously close to the offer previously made by NGN.
In the context of the VF article, postponing of M's show (and ARO) and indications the Netflix deal won't be renewed I would hope that someone pointed out to Harry that his social justice crusade was writing cheques his income couldn't afford to cash.
If it's true he blinked first, then he also was not in the best negotiating position.
NGN were ready for court, even if they didn't want to go down that route. They can absorb the costs comparatively easily.
So, I'd agree with your assessment. I'm sure the settlement was a huge sum but I'm not convinced it would have been significantly higher than previously offered and in the period before agreement was reached Harry's costs would have escalated significantly.
To be clear (for others) I don't begrudge his payout and I'm happy to see NGN pay for what they did. Neither do I want to see Harry bankrupt.
But I'm also not going gloss over his hypocrisy (which we see time and time again) about how he calls out other people's behaviours whilst engaging in similar practices (or turning a blind eye) himself, whether that be settling cases, bulling, climate change or f'ing people over for $$$.