It's still a weight problem. Gas engines and generators are heavy. You also have to add a capacitor system to handle spikes in demand for sudden maneuvers or stabilization jumps in electric demands.
Increasing the weight increases the engine & prop size, which increases your energy needs.
EDIT: From the few multirotors with a gas engine that I've seen, the right combination of weight - maneuverability sweet spot appears to be around the 750mm size - around 2 feet in diameter. They also tend to have good flight times, but still in the sub-one hour range. Again due to weight.