Lasing properties of active media in sputtered hollow cathode discharge (HCD) He-Cu lasers operating on 780.8 nm transition have been investigated for several HC configurations. Direct measurements of small-signal gain and its spatial distribution have proved that a segmented hollow cathode discharge (SHCD) is the most efficient in achieving laser action on metal ions excited by thermal energy charge-transfer reaction. Results obtained for He-Cu lasers indicate that the observed linear dependency of gain on discharge current can be explained by limited flow of metal atoms into the region of laser generation and probably are valid for all kind of sputtered metal ion lasers oscillating on UV and IR transitions. The possibility of obtaining continuous or long-pulse laser operation in far UV range is also discussed. A new method of measuring diffusion coefficients of metal atoms in noble gases in sputtered HCD lasers is presented.