First, like previous posters said, a good AI is still years away. Believe it or not, even the dumbest players are smarter then the AI. That includes even a november 2001 newbie 
Second, also like others, I don't like the fact that AI cheats. Somehow I consider it unfair : you have to fight with the same weapons. But even though I don't like it, I accept it because the alternative would be booooooring because too easy.
Thirth, I think the AI does a pretty good job as it is : sure he needs to cheat, but his tactical decisions are pretty nifty. I think he only trades too cheap sometimes. Yes that's right : too cheap. I'd never, ever, ever trade luxuries away !

Second, also like others, I don't like the fact that AI cheats. Somehow I consider it unfair : you have to fight with the same weapons. But even though I don't like it, I accept it because the alternative would be booooooring because too easy.
Thirth, I think the AI does a pretty good job as it is : sure he needs to cheat, but his tactical decisions are pretty nifty. I think he only trades too cheap sometimes. Yes that's right : too cheap. I'd never, ever, ever trade luxuries away !
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