From what I understood the problems with the AI relations and the diplomatic victory were supposed to be addresed in a patch to be released before Rebellion.
What both systems need are a few fixes and then an extensive beta test to tweak them out. I've written about the problems before and I'd be quite happy to beta the patched versions until they were done.
Finally Sins seems to be moving in the right direction, with the most glaring issues getting some attention. I had given up on multiplayer because even after the balance patch that dealt with the Skirantra, too much lag had been introduced and the game was unplayable. However, I've had a couple of games recently and I'm happy to say that they were lag-free, so I can play multiplayer again. Singleplayer isn't viable without locking teams, as the OP has observed.
Unfortunately we might have to wait for Rebellion for a proper online multiplayer game. When I began playing online it was before the 5s PUG plague and most games were 2s and 3s, which are a great way to play. The very best Sins games I've had have been best-of-three 2s and 3s between balanced teams who know each other. I doubt that there has ever been a best-of-three 5s.
The matchmaking aspect of Rebellion could be another huge step forward for Sins. I hope that it can be set up right from the beginning, with one set and balanced map for each of 1s, 2s, 3s, 4s and 5s, enough of the random map nonsense that also plagues multiplayer. Telescopes not 'scouts'! Premade teams not PUGs!