AI
The AI are unfortunately pretty slow and stupid. They back out of moves easily and generally lack pace. I did my first race in myteam earlier on 106, with a car that was bottom of the barrel, only ha...
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The problem is not AI being less aggressive, even though I've already seen a post that says sometimes they can back off way too easy and other times they will divebomb you like F1 22 AI.
The problem is that the difficulty is not well optimized. You mentioned that you had a battle with Piastri, he was fully ahead and braked way too early. That did not happen because he's not aggressive. That happened because 106 difficulty seems like 80.
Less difficulty means they brake earlier, that's why they seem less aggressive. This problem is confusing because F1 24 had an update where they increased the difficulty from 101 up to 110. Now it seems they forgot about it, or coded something wrong with them.
I'm pretty sure F1 23 has the exact same issue too. It reminds me of FIFA/EA FC with certain bugs that return year on year after being patched. I really don't get how it happens but I'm not a coder.
Good point on the AI not being optimized. That definitely makes sense, it almost feels like the higher the difficulty, the better the straight line speed, but they stay the same as lower difficulties in the corners. Which is the complete wrong way to go about it.
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