Yeah the AI is amazingly stupid at times. (Sometimes it impresses me though. But rarely)
To joncnunn: The AI makes stupid calculations even based on nominal military strength. That's what I have noticed. In my latest game, I was Babylon, massively out-teched everyone but Rome was the second best in tech and the largest military bully around. In between the two of us was China. So Rome DoW on China, and because I didn't want to have Rome at my footstep, I signed an Open Border agreement with China, entered 5-6 ultra modern units in China's territory and gifted them to China. And then I sat back and watched for 10-15 turns, gifting a couple more units on the way. China did some stupid attacks with my gifted units, but overall it was OK and managed to repel the Romans. After the Romans retreated to their territory, I bribed the Romans to make peace with China.
Now, here's the catch. As soon as the peace agreement expired, it's not Rome, but China (?!) that DoW on Rome!! Either the AI is *so* intelligent that it could understand that China could rely on a steady supply of edge-tech units (which I doubt), or the AI is sometimes just so stupid in its calculations. According to InfoAddict, China's nominal (total) military strength was half of Rome's, even after my gifted units. And they had Frigates vs. Roman Battleships and Cho-konus vs. Roman Infantry and SAM batteries. The decision to DoW Rome didn't make sense neither statistically nor strategically.........