I'm finding a couple problems with the concept of Galactic Events working specifically to "upset the balance of power."
The main issue here seems to be that the computer races can't win, so they don't seem to work to win.
I've won through Tech, Influence, Diplomacy, and Conquest, yet it is always the build up to Conquest that causes the most destructive events to occur (like uber pirates and Dread Lords to come kick your butt). It seems that these events are skewed to prevent the conquest victory, or at least to make it more of an improbable option. In addition, most of the Dark Avatar games I've played have had a few wars early on to thin the heard, so to speak, but then have many of the AI races playing nice with each other, mostly being friendly towards all. Which, in contrast to the Galactic Events circumstances making the Conquest Victory so much harder, it seems that Diplomatic Victory has become too simplistic.
In conversations with a friend, we were discussing that possibly that maybe the AI needs to work at Conquest Victory a little harder (which makes a direct opposition to the player), or that maybe it works towards Diplomatic Victory conditions too often (which doesn't hinder the player at all, and actually helps him). Obviously, the AI races can't 'win' the game based on Victory Conditions, but I was wonder what exactly is their purpose in the game... how variable is their 'victory' intent? (That was one of the concerns, at least.)
All in all, I'm wondering if as a result of these issues, it isn't necessary to tweak the AI a little bit more to work harder towards all victory conditions simultaneously, each to a certain degree, and each depending on the circumstances of the Galaxy and their position in it at that time (that is, if it doesn't already). It doesn't seem to do that currently, at least with the Dark Avatar expansion, or maybe it is just always determining that the Diplomatic Victory is the best/easiest route to success for each race.
In any event, it seems that Diplomatic Victory has become far too easy and Conquest Victory has become significantly (and even possibly inversely proportionately) more difficult with the advent of the Galactic Events AI intent on "upsetting the balance of power."
Of coarse the easy option is for the player to just turn off the Galactic Events, but that diminishes the fun of the game, and it is hard to imagine that it is the intent of the developers to unbalance the victory conditions like this as seems to have occurred.