yeah, the sizes are hardcore, i neither like it.
AFAIK it is not possible to make the exesize smaller, except you remove the runtime packages and ship them seperately (then you have almost the same effect like you know from visual basic programs) or you don't use the forms unit and work with dialogs which are compiled as a resource, not to mention the posibility to write 32 bit console applications.
well d3 and d5 are the most used apps of the delphi series.
there are many enhancements.
e.g dynamic arrays (as only known from visual basic before) (d4), method overloading (d4), anchors (d4), database enhancements (d4), actixe x data objects (d5), further vcl and ide enhancements and many many more i can't put here
it's your choice.