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This guide explains the easy part: creating the site.
Honestly, a monkey can do it. The tricky part with this kind of scaling is marketing and backlinking each site. There is plenty you can automate, but at one point, the economics of scaling make profit margins much much tighter.
As with most things, if you have a 50 site network or a 1000 site network, the 80/20 rule still applies. 20% of your sites will generate 80% of the income. However, in most cases, the cost of backlinking/promoting each site stays the same. So the more you scale, the more the profit margins diminish.
Its not a direct correlation of more sites == more money
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