[Playing Gigiantic/Masochist]
In my last 2 games, the Arcean AI is visibly better in "pseudo-fleet" management. I've seen a "fleet" of 4 Combat transports escorted by 1 dread many time. But it does not mean it was more successfull in invading planets.
On the "AI can't win topic"
It is too true.
The AI can win if:
- you have a VERY bad starting position (each CTRL-N should be counted as an AI victory
- Human fails to build up his Military might level soon enough and the AI declares war VERY early. Battle ship + Combat transport when you are not up to par in tech can let the AI win by sheer numbers rather than by a good strategy. (Also at that point many human just quit the game and that should be also counted as an AI victory

)
But if you survive that stage your biggest threats are... events !
The most dangerous being IMO a long recession where your beautiful empire can fall apart very rapidly.
It is not even a matter of poor AI invading strategy. As long as you have a military might roughtly equal to 2/3 of the military leader, even if out-teched, the AI will never declare war on you (providing you have enough espionnage enough to prevent the accidentally kill/insult x event) and will never react to Culture bombing (providing that you don't build Culture SB in THEIR sectors but rather on adjacent sectors) or to Tech victory.
In the late game, the AI actually help you by constantly attacking the minors, destroying their defense but failling to invade them, giving you an undefended target to invade with a few Comabt transports and becoming a faraway base for Cultural absorbtion.
And because the AI is not attacking you, it "has to" attack the other AI letting you play the puppet master and being friendly/close with anybody by providing them ships/techs/trade goods.
But have you ever play a 3/4 X game that does not behave like that? The real challenge/fun is the early game until you reach a point where you "cannot possibly loose". It takes only a few months before players find a reproducible way of achieving victory beyond that point.
I am, however, very confident that Stardock will provide replayability better than any other software company. Maybe it will take time for them to improve the AI as fast as players find a way to counter them but, at least THEY TRY ! And read some mail in this forum complaining about how fast the game is changing.
In the mean time, I will either try somothing different (like tiny galaxies) or use some personal rules (no CTRL-N, no Culture palace) or force myself to play against my natural inclination (haevily Militaristic). I actually enforce the "No CTRL N" policy in my current game ...and ended up with one of the best starting position I've ever had... may be I should quit....)
and thanks to the very few that had the courage to read such a long post
~SDC~