Lots of icon suggestions have been made in the past.
I suggest these for reasons of development simplicity, and limited game performance hit.
First:
Add a system parameter that allows the arena administrator to force all icons to the same color (like light grey for example?).
This would give the players who cannot handle "no icons" the ability to better see planes at a distance, but not instantly identify friend or foe by the red and green billboards. You'd still have to read the plane type. A single icon color would get tricky and interesting in a furball of any size.
Those who prefer "no icons" would at least not have to bear the blazing red and green.
Check sixes for friendlies could still be made as well (I'd guess).
Second:
Use one of the following four identifiers for "plane type" at 6K when the icon first displays:
inline
radial
twin
multi
This general level of identification more closely corresponds to the identification process, though again, not perfect by any means.
When the distance closes to ? 3K ? the basic plane type is displayed.
There's already code in place to change the "plane type" information from an initial display of, say, SPIT, to SPIT 8, so this would probably be a simple implementation
Best.