How weak is the AI... really?

[Raiel]

I've been playing Dominions for about 4 years, now... and my preferred settings have always been:

Orania
Very Difficult Research
Maximum Number of AIs (Defensive)
All AIs Impossible

Now, I've been lurking for a few months and I understand that performance against the AI is not a good measure of multi-player skill. I consistently win against the above set-up with the following races:

EA:
Ulm
Sauromatia
Abysia
Caelum
Pangea
Agartha
Tir
Fomoria
Vans
Kailasa
Yomi

MA:
Pythium
Marignon
Pangea
Vans
Bandar Log
R'lyeh

And a couple from LA...

I am frequently beaten with any other race, though. Are these setting insane, or do I really have that much more to learn?